Hbar Paper Wallet
How to make an Hbar Paper Wallet
Cold Storage Wallets allow security for the user
SUMMARY: Paper wallets are printed representations of public and private keys of a cryptocurrency account. The wallet is a secure form of a digital asset like the Hedera Hashgraph (HH) hbar utility token that is resistant to online theft. Printing an hbar paper wallet allows one the ability to ‘store’ their information in a way that cannot be hacked or taken by an internet robber. A paper wallet is considered a ‘cold’ storage device, or something that cannot be hacked through the internet or an internet connection. A ‘hot’ wallet is one that is loaded on a mobile phone or computer and is vulnerable to being stolen by clever programmers.
Protecting one’s digital wealth is incredibly important in today’s world, especially if the hbar marketcap rises to extreme levels, as many expect. Following these simple instructions, meant for new users of hbar, will allow the ability to secure one’s new digital wealth in an impenetrable way. It is estimated by many hbar enthusiasts that Hedera Hashgraph is the winning solution to all of blockchain’s current limitations and that the hbar price will grow for many years to come.
Being an early user and hbar wallet holder has a responsibility attached to it. Knowing how to use private and public keys, securing that information in hot and cold storage and avoiding the risks of crypto theft is essential to a successful hbar cryptocurrency investment.
PAPER WALLET: A traditional wallet is a small flat object that can fit in one’s pocket and has been used for centuries to store everything from paper cash to personal identification papers. They have been made out of leather or some other durable material and usually fit into a user’s pocket. Without a doubt, the money-clip or wallet was a focal point of stored wealth and has always been important to secure. Advance now to the 21st century and you will still find the traditional billfold being used to port cash, credit cards and IDs even in an electronic age. However, in the current generation of cryptocurrency, a new spin on the age-old invention has occurred that any budding cryptocurrency investor or active user of digital currencies should be fully aware of.
With the amazing invention of distributed ledger technology first made manifest with bitcoin, the world began to learn about the democratic power of a network of computers. Bitcoin proved that wealth could be virtual, digital and stored in a democratic system of interconnected computers without censorship. However, after a series of high-value hacks into exchanges throughout the world, a vulnerability to this digital system of currencies occurred. Many people have lost 100’s of millions of dollars of crypto wealth due to faulty security on exchanges and the unprotected use of “hot” wallets.
A hot wallet is a virtual term, meaning that it is not truly like a physical wallet as first mentioned. It is a metaphor, or an example of a thing that can store wealth, or at least information about that wealth. A hot wallet is usually a reference to a very specific numeric sequence, or number code, that refers to a specific account stored on a distributed network. In the case of bitcoin, that hot wallet refers to an active wallet that is able to transact through a computer directly into the bitcoin blockchain network, either on an exchange or through a hosted node.
If you have purchased cryptocurrency before, then you will know that this hot wallet references your private key in your Coinbase, Kraken or equivalent account. This private key has the power to sign off ANY transaction with your coins and is perfectly immutable. That means that it cannot be fixed if done incorrectly. It is imperative to understand what the private and the public keys mean in order to avoid this cryptocurrency disaster.
All distributed ledger technology is encoded with asymmetric encryption, which means that transactions only occur one way, from private-to-public keys. The private key is usually a hexadecimal (16-based number sequence) that cannot be guessed or hacked by conventional computers. In the foreseeable future this theoretically could be hacked by a quantum computer, but it may take decades to do so. Understanding how to use your private key is vitally important in order to protect your digital wealth.
The opposite of a private key is a public one. This can be regenerated with cryptographic mathematics and should not be used over and over again. Public keys are generated from private keys, but in the reverse direction. A public key is used to direct another person’s wallet to your account in order to make a crypto transfer. In example, if your friend owes you $10 for a dinner you paid for, you would simply show him/her your PUBLIC key and they would send you the amount in crypto with their PRIVATE key. It always follows this direction: private-to-public, thus, asymmetric. Understanding how to store both of these keys is essential to securing your digital currency wealth in time.
The hbar paper wallet, as made in a paper wallet generator program, is meant to allow a person to generate a unique QR code that represents the private and public keys of their cryptocurrency account in hbars. It is meant to be printed on paper and stored in a water-proof bag (ziploc works well) in a safe place. This will allow someone the ability to access their account in case they lose their phone, forget their password or even get locked out of their accounts. A paper wallet is a secure way to maintain your account information in case of network or device failure. It should never be shared except with those that you want to help access your account. It is a ‘cold’ wallet, or a backup offline of your account info.
Protecting one’s account information is vital in the form of a cold wallet. It should never be underestimated how valuable a digital asset may become in the near future. Early bitcoin enthusiasts can testify to the wild growth that a digital currency can achieve in one’s lifetime. It is imperative to understand and protect one’s account ID, public and private keys, and to never share information with untrusted individuals. Hope you enjoy the paper wallet offering and secure it well. Hbars will likely be worth more than their weight in gold in the near future. There is little doubt amongst those that know that hbar is a high value cryptocurrency, built on solid technology and likely to have a large marketcap. Predicting the future price of an hbar may be difficult, but securing your hbars in a paper wallet is a no brainer.