4 ms·

I researched the state of the art of self-custody cold storage and it seems both complex and fraught with places where workflow accidents could lose a wallet.

I researched the state of the art of self-custody cold storage and it seems both complex and fraught with places where workflow accidents could lose a wallet. The safest most reasonable thing I could find was Smart Custody but phew there are a lot of moving parts: https://github.com/BlockchainCommons/SmartCustodyWhitePapers/blob/master/%23SmartCustody-_Simple_Self-Custody_Cold_Storage_Scenario.md https://github.com/BlockchainCommons/SmartCustodyWhitePapers... What is your recommended cold storage option?

StavrosK 7y ago
A Ledger/Trezor.
- philips 7y ago
  What happens if the device breaks or the place it is stored is destroyed?
  - xiphias2 7y ago
    You can create multiple backup paper copies, and also 2-of-3 or 2-of-4 multisig helps you in the second case. You can also have multisig between different devices.
    - philips 7y ago
      Is there any automation or tooling to help you do inventory management on devices and integrity checking on wallets?
      - xiphias2 7y ago
        Can you be more specific? You can check the recovery seed that you are creating (what you write on the paper). Trezor's software and hardware is open source, so you can check any part of it. There are different things you can do to prepare for different failure scenarios, though not everything is automated, it's better to test some things by hand.
        philips 7y ago
        Essentially, I am looking for a guide I could hand to someone who is moderately technical that would describe: 1. Failure scenarios a scheme can/can't protect against 2. How to setup the system for that scenario 3. Recommendation on how often to confirm system and backups 3a. How to recover from failed hardware 4. Recommendations on lifetime of system until replacement 4a. Recommendation on recovery if system is compromised (physical theft) Essentially where is the best practices guide?
        xiphias2 7y ago
        https://wiki.trezor.io/User_manual-Security_best_practices https://wiki.trezor.io/User_manual-Security_best_practices This is the best Trezor has, it's quite limited though, but good for koderately technical user. For storing large amount of money you can hire experts.
JMTQp8lwXL 7y ago
Better to lose your digital asset due to your own incompetence than to a hacker of an exchange. Taking the money out of exchanges makes them less appealing targets, too.

StavrosK 7y ago

A Ledger/Trezor.

philips 7y ago
What happens if the device breaks or the place it is stored is destroyed?
- xiphias2 7y ago
  You can create multiple backup paper copies, and also 2-of-3 or 2-of-4 multisig helps you in the second case. You can also have multisig between different devices.
  - philips 7y ago
    Is there any automation or tooling to help you do inventory management on devices and integrity checking on wallets?
    - xiphias2 7y ago
      Can you be more specific? You can check the recovery seed that you are creating (what you write on the paper). Trezor's software and hardware is open source, so you can check any part of it. There are different things you can do to prepare for different failure scenarios, though not everything is automated, it's better to test some things by hand.
      - philips 7y ago
        Essentially, I am looking for a guide I could hand to someone who is moderately technical that would describe: 1. Failure scenarios a scheme can/can't protect against 2. How to setup the system for that scenario 3. Recommendation on how often to confirm system and backups 3a. How to recover from failed hardware 4. Recommendations on lifetime of system until replacement 4a. Recommendation on recovery if system is compromised (physical theft) Essentially where is the best practices guide?
        xiphias2 7y ago
        https://wiki.trezor.io/User_manual-Security_best_practices https://wiki.trezor.io/User_manual-Security_best_practices This is the best Trezor has, it's quite limited though, but good for koderately technical user. For storing large amount of money you can hire experts.

JMTQp8lwXL 7y ago

Better to lose your digital asset due to your own incompetence than to a hacker of an exchange. Taking the money out of exchanges makes them less appealing targets, too.