Pros and Cons of having your cold storage on software running on your phone vs running on a computer.
First of all define "cold storage". large amount, medium amount, small amount, multiple wallets / seeds etc
A mobile phone device, if you use it regularly is NOT indicated to be your cold storage. If you have a dedicated old mobile device, that you do not connect it to internet, or you can connect it but only when is really needed (maybe just in your LAN), then maybe you can keep 1-2 seeds in a wallet, but not too large amounts.
I would use a mobile devices exclusively for using LN wallets, for spending only, small amounts, enough to cover your regular spending.
A computer.. again, if is a regular PC you are using daily,. DO NOT keep there your stash! Even if you are really good with security, mistakes can happen.
As a cache level, maybe yes, you could use 1-2 desktop wallets, but with caution. Will be strongly recommended to use a dedicated PC, clean, linux only for specific tasks using Bitcoin.
Cold storage is COLD for a reason: to setup the wallet, backup the seed and then PUT IT INTO A SAFE PLACE and forget it (I mean do not open it or use it).
Always use the 3 levels stash: HODL (cold storage, large amount), cache (desktop, medium amount, coin control), spending (LN, mobile, small amounts).
Also in cold storage use multiple wallets! I see many people using only one and having everything in only one. Damn it, are so many method for cold storage, use them all with multiple wallets, in multiple locations, with multiple consolidated UTXOs.
Is not that hard.
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how do you see this?
I am talking with a lot of people, daily. Some of them in person. My presence on SN is not the only one place where I interact with people using BTC.
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Could’ve worded this better, I’m not talking about holding the keys on a phone or computer.
Keys should be kept offline and I understand that
I am saying the software you use to generate your addresses.
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The randomness generation of software is always a viable concern and using casino dice to generate your seed phrase is always a viable option
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I am saying the software you use to generate your addresses.
For that is better to consider an offline method. Read here some methods:
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Small amounts (< 0.1 BTC): Doesn't matter. Large amounts (> 0.5 BTC): Hardware wallet (preferably several). Very large amounts (> 10 BTC): Hardware wallets + custodial storage (no exchanges, specialized entities).
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probably depends on what software you're using. I've had good and bad experience with different mobile software, but I'd say generally mobile software has less options for utxo management. also, having the software on your phone is cool but do you carry your signing device everywhere you go on a necklace or in a hat pocket like some ledger commercial? probably not.
I'd say for most people either is fine it just depends on how much control you want over your sats.
of course it might be best to run a node and electrum server so you can verify your own transactions with whatever software you use.
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phones can be easily lost/damaged, but are convenient for travel purposes. i keep my hot wallet on my phone, cold wallet on my desktop
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Electrum on both
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Keeping cold storage on a phone or computer each carries distinct advantages and drawbacks. Storing on a phone offers portability, enabling easy access and transactions. However, phones are prone to loss, damage, or theft. Their constant connectivity also exposes them to potential hacking risks or malware intrusion, despite stringent security measures.
Alternatively, using a computer for cold storage provides more storage space, facilitating larger backups and additional security measures. Yet, it's susceptible to malware, phishing attacks, or system vulnerabilities if not adequately secured. Regular updates and antivirus software are essential.
Both options demand robust security practices: strong passwords, multi-factor authentication, and consistent software updates. Utilizing air-gapped devices or hardware wallets could enhance security for both phone and computer storage.
Agreement with the article lies in acknowledging the balance between convenience and security. Both options present risks, emphasizing the need for stringent security protocols, regular backups, and staying vigilant against potential threats. Adapting best practices, regardless of platform, remains pivotal to safeguarding crypto assets. It's crucial to weigh personal preferences and lifestyle against the security measures each method demands to determine the most suitable storage approach.