How can Ledger products help you manage crypto assets securely? What does it mean to own crypto assets?
Take control of your private keys
Owning crypto assets comes down to managing your private keys. To first receive your assets, you request a transaction to a public address created from your private key. To spend the crypto assets, you digitally sign a transaction using your private key as well.
By using a service that holds your crypto assets, you are putting trust in the service to keep the private keys secure from theft and to send your crypto assets when you request so. As long as you’re not managing your own private keys, you don’t really own your crypto.
Manage your private keys. Securely
Ledger hardware wallets enable easy and secure private key management. When you set up your device, a unique set of private keys is created by Ledger’s secure hardware and software. These private keys allow you to manage many accounts and crypto assets from a single device.
You transact by verifying and signing transactions on the device. To withdraw from an exchange, you request your crypto assets to be sent to a public address provided by your hardware wallet. That’s how you become the legitimate owner of your crypto.
Save the recovery phrase, it’s your only backup
When setting up your Ledger hardware wallet, it will provide a 24-word recovery phrase, sometimes called (mnemonic) seed, for you to write down carefully. This is the only backup of your private keys. It allows you to restore your private keys if you lose access to your hardware wallet.
You must write down your 24-word recovery phrase precisely and in the correct order before storing it securely. Never enter your recovery phrase on any other device. Anyone who gets your recovery phrase can take your crypto assets. Ledger does not store your private keys, nor ever asks for it.
Summary
- To own your crypto assets, you need to manage your own private keys.
- Ledger hardware wallets make private key management easy and secure.
- Each unique 24-word recovery phrase creates a new set of private keys.
- Make sure you secure your 24-word recovery phrase properly. Learn more
Important disclaimer:
When a user first receives their Ledger wallet, it must always be initialised by following this process:
- Powering on the device
- Generating a pin code
- Generating 24 words
If a user were to receive a device containing a pre-completed recovery phrase or a pin code, the user should not use the device, as it means that the device may have already been used by somebody else. Ledger will never provide a pin code or recovery phrase with the product, nor ever ask for them. Under these circumstances, the user must contact Ledger customer support.