Overview and Philosophy
Hardware wallets exist to separate your private keys from the internet. A secure setup process reduces attack surface and provides a durable path for restoring access to funds or credentials. The philosophy behind a robust onboarding flow is straightforward: verify, initialize, and protect.
Verify and Inspect
When you unbox any hardware wallet, start with a physical inspection. Check the seals, the packaging, and the device for tamper indicators. Verification is not just a step — it is a habit. Habitual verification means you will catch anomalies early and avoid user-level mistakes that turn into security incidents.
Initialize with Care
Initialization includes powering the device, reading on-device prompts, and selecting an option to create a new seed or restore an existing one. Choose "create new" if you do not have an existing recovery phrase. The device will display a sequence of words (the recovery phrase) one page at a time. WRITE THEM DOWN in order and double-check each word. Never store the full phrase on a digital device that is connected to the internet.
Seed Safety and Backup Strategy
Plan a backup strategy before generating a seed. Preferred strategies include split backups on multiple physical media (for example, one copy stored at home and another in a safe deposit box). A metal backup plate will survive fire, flood, and time. Consider the legal and practical implications of your backups so trusted parties can help if needed, but avoid placing the full phrase in a single, vulnerable location.
Firmware and Software Hygiene
Always download firmware and companion software from the official website. Authentic sources reduce the chance of a malicious binary. Verify signatures and checksums if those are provided by the manufacturer. Keep software updated, but update only from trusted channels and after confirming the legitimacy of the release.
Phishing and Social Engineering
Phishing often begins with a link, an email, or a fraudulent support request. Train yourself to verify URLs and to never reveal your recovery phrase to anyone — this includes support staff. Real support staff will never ask for your seed. If you're unsure, pause and ask in an official community forum or reach out to the vendor through an authenticated channel.
Operational Security (OpSec)
OpSec practices such as using dedicated devices for critical transactions, maintaining updated antivirus signatures, and separating identities for different financial activities can reduce risk. Consider using a separate laptop for signing large or important transactions, preferably air-gapped from the internet when possible.
Advanced Options
Advanced users may employ passphrases (a user-chosen string added to the recovery phrase), multi-signature schemes, or hardware-backed HSMs for institutional custody. Each adds complexity but also layers of protection if implemented correctly.
Recovery Drills
Practice a recovery drill with a disposable test account to ensure your backup process actually works. A recovery drill exposes weak links such as missing words, poor handwriting, or misunderstood storage locations. Fix any issues before you rely on the backup for an urgent restore.
Glossary — Short Definitions
Seed / Recovery Phrase: A list of words that represent your private keys. Keep it offline.
Passphrase: An optional extra secret appended to a recovery phrase to create a different wallet.
Firmware: Software that runs on the device; verify it before applying updates.
Air-gapped: A device intentionally disconnected from the internet to reduce risk.
Practice Makes Habit
Repetition of safe steps turns difficult tasks into habits. Habits reduce cognitive load, and reduced cognitive load reduces the chance of mistakes. That is why checklists, templates, and concrete playbooks are recommended for any setup involving valuable assets.
Community and Support
Trusted community resources, verified documentation, and official vendor channels help clarify confusing scenarios. When advice conflicts, prefer official documentation and double-check technical claims using multiple independent sources.
Legal and Estate Planning
Consider how your backups integrate with estate planning. Document who should have access after death, and whether they need instructions or coded access to retrieve funds. Legal instruments like wills or escrow agreements are common complements to physical backups.
Designing Training Programs
If you are responsible for onboarding other users, design a training program: slides, hands-on demonstrations, and a recovery drill make the process teachable at scale. Use the slides in this file as a starting template.