People here always say you absolutely must use a hardware wallet for any bigger amount, but as long as you have the seed phrase, your bitcoin is on the blockchain and accessible to you, aren't the apps like Blue Wallet etc only used as something to create and use the wallet with? what if you just used them to create the wallet and sent bitcoin to its address, what exactly is the risk? how could they access your pass phrase if the company gets compromised or something

    Why would one not use a hot wallet app?
    byu/Useful_Blackberry214 inbtc



    Posted by Useful_Blackberry214

    2 Comments

    1. Realistic_Fee_00001 on

      Hot wallet = Seed existed on an internet connected device at one point in time, therefore it could be compromised

      Cold wallet = Seed never existed on an internet connected device therefore it cannot be compromised.

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