Part 9/13:
Begin with a hot wallet on your phone, like Blue Wallet, for everyday use.
As your holdings grow ($2,000+), upgrade to a hardware wallet like Coldcard.
For larger amounts or more security, explore passphrases—additional secret words hidden behind your seed phrase.
Passphrases act as an extra mysterious layer: even if someone steals your 24-word seed, without the passphrase, they still can’t access your funds. Cole emphasizes that passphrases are invisible and add formidable protection—equivalent to a vault within a vault.
Multisignature (multisig) setups are the highest security level, requiring multiple seed phrases stored in different locations to access funds. However, multisig is complex and best suited for advanced users with sizable holdings.