I use Electrum with just a passphrase. I don't actually have a digital file that once can steal, I simply have a written sequence of words that I keep in a safe

I use Electrum with just a passphrase. I don't actually have a digital file that once can steal, I simply have a written sequence of words that I keep in a safe place. I've actually memorised them but I'm too paranoid to destroy the paper copy. I write them in to reconstruct the private key only when I need it. I do this on an old laptop that is only used for this purpose. For my personal convenience vs security threshold it's quite helpful but for those who trade daily it's probably too much effort.