Not clear on the use of a hardware wallet.. ??

[Scataphagos]

Do you set up your account with the exchange/broker using hardware wallet (HW) right from the start?

Deposit money into the HW, buy cryptos through the HW, proceeds credited to HW?

When you sell, sell from HW, sales proceeds credited to HW? Currency wired/transferred from HW to your bank account?

Your cryptos are never held by the exchange/broker?

Would keeping a copy of your HW contents on a flash drive or 2 be a good idea?

Also... do exchanges have "max size" transactions or daily limits on how much you can transact?

 

[just21]

What do you mean by hardware wallet? I wire money to the exchange, buy coin, transfer coin to wallet on my pc. At the moment you want to keep the coin at the exchange until after the fork so you get the new segwit coin.

 

[Scataphagos]

Reading up on things... strong recommendation to "not keep your cryptos in exchange wallet", but rather store in "hardware wallet".... apparently some specific hardware you plug into your computer with security and recovery features??

https://trezor.io/

So... when you "wire money to the exchange"... where does it go initially? Into your wallet at the exchange?

 

[just21]

A wallet on your pc is fine. Use a very strong password. www.electrum.org uses seed words so you don't have to backup the wallet.

 

[Covertibility]

Get a ledger nano. I have the trezor but don't use it because the seed goes to their servers which I don't trust.

You have money at your bank account.
You send it to exchange, which is probably Coinbase.
The money is at the exchange.
You enter the dollar amount or coin amount you wish to buy.
You hit confirm. You now own crypto.
You look up the address of your hardware wallet.
You go back into your account at the exchange where you'll see a send button which will ask you where you want to send the crypto. You type in (or paste) the address of your hardware wallet. (You can send a little just to make sure your wallet works.)
There is a wait time for the crypto to show up in your wallet.


I wouldn't be surprised if there was a 20-30% drop after the Segwitx2 fork.

 

[Cuddles]

Download coinomi on your phone

 

[Hoi]

Get a ledger nano. I have the trezor but don't use it because the seed goes to their servers which I don't trust.
.

That's nonsense. Trezor doesn't transfer the seed to their servers. Where do you have that from?

Both hardware wallets: Ledger and Trezor are great and safe products, but I like Trezor more. They are very professional and on top of all current developments (had the first tools to Split BTC into BCH, and also offer Litecoin, Dash, Ethereum wallets). And what is very important to me: Trezor offers phaseprass (25th word) Seeds.

But if you do not trust the Mywallet website from Trezor, then simply use Electrum software and connect your Trezor to Electrum.

 

[Hoi]

A wallet on your pc is fine. Use a very strong password. www.electrum.org uses seed words so you don't have to backup the wallet.

No! a wallet on your PC isn't fine at all. Especially if you have huge investments in coins.

But you can use Electrum as PC software, if you like that, and connect your Trezor to that. Then Trezor will generate, monitor and safeguard all transactions while using your favorite Wallet-software: Electrum.
You can also walk around with your mobile with an app like Mycelium as wallet-software with a connected Trezor to your mobile to secure everything.

Some exchanges have a Trezor connection. I believe Bitstamp has, but I never used it. Be aware that when your coins are on an exchange they are not protected by your Trezor. You have to withdraw them to an address generated by your Trezor to get control again.

 

[Hoi]

Do you set up your account with the exchange/broker using hardware wallet (HW) right from the start?

No, you open an account on an exchange, wire fiat to it, buy coins, then Withdraw the coins to an receive-address generated by the hardware-wallet.

Deposit money into the HW, buy cryptos through the HW, proceeds credited to HW?
?

No see answer above.

When you sell, sell from HW, sales proceeds credited to HW? Currency wired/transferred from HW to your bank account?
?

That would be the future, but no not today. You send from your Hardware-wallet coins to a deposit-address on the exchange (you generated that in your exchange-account). Then sell the coins, and withdraw fiat to your bank.

Your cryptos are never held by the exchange/broker?
?

I wish !

Would keeping a copy of your HW contents on a flash drive or 2 be a good idea?
?

No you can't copy anything from the hardware-wallet (that wouldn't be safe).
You need to backup on paper the Seed, which is a 24 word sentence. And if you have a Trezor even a 25th word (which is very recommended). You keep that paper Seed in a very safe fire-free place!

Also... do exchanges have "max size" transactions or daily limits on how much you can transact?

If you take one of the big Exchanges, there aren't limits: you can move around millions without a problem. But they have levels of KYC/Privacy/Laundering-issues. The unlimited levels need a lot of paper work (just like opening an account at IB).

 

[sss12]

No, you open an account on an exchange, wire fiat to it, buy coins, then Withdraw the coins to an receive-address generated by the hardware-wallet.


No see answer above.


That would be the future, but no not today. You send from your Hardware-wallet coins to a deposit-address on the exchange (you generated that in your exchange-account). Then sell the coins, and withdraw fiat to your bank.


I wish !


No you can't copy anything from the hardware-wallet (that wouldn't be safe).
You need to backup on paper the Seed, which is a 24 word sentence. And if you have a Trezor even a 25th word (which is very recommended). You keep that paper Seed in a very safe fire-free place!



If you take one of the big Exchanges, there aren't limits: you can move around millions without a problem. But they have levels of KYC/Privacy/Laundering-issues. The unlimited levels need a lot of paper work (just like opening an account at IB).

This thread it just enforces my belief that BTC has a VERY long way to go before it even comes close to being accepted as modern day currency. The very people who champion it can not even agree on the transactional process or security protocols.