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Protecting Your Wallet

With a Flooz wallet you are in total control of your money. Unlike bank accounts or crypto exchanges, we do not hold your crypto. Your crypto is actually yours. You can do whatever you want with it, whenever you want.

Because of this, it's important for you to be on guard and keep your information secure and properly backed up. Thankfully, this is easy to do and something we’ve covered in our getting started guide.

An overview:

Web3 is a bit different from how we usually surf the internet. A crypto wallet doesn’t have a username or password associated with it. Instead, it has 3 things:

  1. Public wallet address
  2. Your wallet address is publicly accessible, anyone who knows your address can see all of your transaction history, and what assets you have inside of your wallet. They can also send things to your wallet without your permission.

  3. Seed phrase Your master password to access your crypto.
  4. Private key
    • Similar to a seed phrase, a private key or secret phrase grants control over everything inside of a wallet.

All of these are generated for you when you create a wallet and cannot be changed, that’s why it’s so important to keep this information secret.

Doing your part to keep access to your wallet:

If you lose your wallet's private key and secret phrase, there's no way of getting access to your wallet. There are no "forgot password" options, and there's no 2-factor authentication. Wallet providers like Flooz don't even know your private key, so it can't be retrieved for you either.

You need to back up your private key and/or secret phrase. We covered this in detail in our getting started guide.

No more barriers

One of the big differences between crypto and banking is that you can take your wallet's private key or seed phrase and use them with a totally different wallet. If you decided Flooz wasn't for you, then you could easily use them somewhere else. You could even have your wallet in two or more places/wallets at the same time.

A term used to describe this kind of tech is interoperable. It means that data and software made by totally different organizations and can work together seamlessly.

The traditional internet doesn't work this way, adding complexity as well as eating into your time when you want to switch providers. In Web3, your identity and data stay with you. Crypto wallets are more like portals, passports, and digital identities for Web3.

The Stay Safe Checklist ✅

1. Only share a wallet address if you’re comfortable with it

  • Because the blockchain is public, anyone with your address can see your entire transaction history. Is that something you’re okay with? We’d recommend not giving anyone your wallet address unless you need to e.g. receiving crypto from a friend.

2. Consider having more than one wallet.

  • Many people choose to have multiple wallets for different purposes. The most common example is having a “social wallet” that is tied to their public identity while also having other wallets for connecting to dApps, to hold long term investments or a “hardware wallet” that is anonymous. Flooz lets you create as many wallets as you need.

3. Backup your seed phrase or private key somewhere safe.

  • As we mentioned earlier, these two things are what can give someone control over a wallet. You must back them up someplace safe, preferably not electronically.

4. Never share your seed phrase or private key with anyone.

  • You should be the only person who can control your wallet. Accidentally leaking, or sharing your private key and seed phrase means your wallet is permanently compromised. You cannot reset your password. Private keys and seed phrases can’t be changed. Your only course of action would be to create a new wallet and transfer your assets.

5. Invest in a hardware wallet.

  • Getting a "cold" hardware wallet like a Trezor or Ledger can protect your crypto. They require a physical device to interact with your crypto wallet.

6. Follow the tips outlined in our “Avoiding Crypto Scams” guide.

  • Just like in the traditional finance world, there are some bad actors looking to steal your assets. It’s not hard to avoid these scams though if you know what to look for. Learn more about avoiding crypto scams.