You may have heard the phrase "not your keys, not your coins" in the crypto world. This refers to self-custody of cryptocurrencies by holding private keys, enabling users to have full control over their assets.
In this guide, we’ll explain what private and public keys are and how to use OKX Wallet to manage your keys while keeping your assets secure.
TL;DR
- Transaction Signing: Private keys allow you to sign and verify transactions. Securely holding your private key ensures no third party can authorize transactions without your permission.
- Seed Phrases: Represent private keys as human-readable 12–24 randomly generated words, making them easier to memorize and recover.
- Receiving Crypto: Wallets generate unique receiving addresses hashed from your public key for private transactions.
- Wallet Import: Self-custody wallets can be imported to any device using seed phrases or private keys.
How Cryptographic Keys Work
For all cryptocurrencies, there’s a pair of public and private addresses:
- Public Address: Lets others send coins/tokens to your address and can generate additional receiving addresses.
- Private Key: Grants the holder authority to withdraw assets and sign transactions.
Think of it like a locked mailbox: Anyone can drop mail (send crypto) into the public address, but only the private key holder can unlock it (access funds).
What Is a Private Key?
A private key is a complex, randomly generated password that unlocks your crypto. Anyone with access to your private key can control your assets—including signing transactions.
Example Private Key:
xprv9s21ZrQH143K49eAc63EJwi4uct9JvZnkxEGrz7FBQA1YgNZ5dcbZU3Lrgk1wYxVPZsek7ymmhZJc38zdM8uaQ5bYUiGyrEviNnxRXsd8e6Security Tip: Never store private keys online. Use encrypted formats or seed phrases instead.
What Is a Seed Phrase?
Seed phrases are human-readable representations of private keys, typically 12–24 words long. Example:
ginger fiber talk margin fresh hundred oxygen aim trim crisp state artwork sunny crack clock patch minor claw catch theory theory father razor edgeBest Practices:
- Write it offline or engrave on metal.
- Avoid digital screenshots or cloud storage.
- Verify the phrase during wallet setup (e.g., OKX Wallet prompts this).
What Is a Passphrase?
An optional security layer added to seed phrases, supporting letters, numbers, and special characters. Even if someone obtains your seed phrase, they can’t access funds without the passphrase.
Pro Tip: Store passphrases separately from seed phrases.
What Is a Public Key?
Public keys are generated alongside private keys but don’t require the same level of security. Blockchains use public keys to verify digital signatures from private keys during transactions.
Key Details:
- Early Bitcoin used public keys as receiving addresses.
- Modern wallets hash public keys to generate multiple addresses for privacy.
Where Are My Keys Stored?
Crypto wallets (e.g., OKX Wallet) create and manage keys for you. Since private keys are complex, wallets simplify transaction signing without memorization.
Security Steps:
- Set a strong wallet password.
- Store seed phrases offline.
How to Transfer Private Keys to Another Device
To migrate wallets (e.g., from browser extension to mobile):
- Preferred Method: Import your seed phrase into the new wallet.
- Alternative: Export individual private keys for each crypto asset.
OKX Wallet Guide: Follow our step-by-step tutorial for seamless transfers.
FAQ
1. Can someone steal my crypto with just my public key?
No. Public keys only allow others to send funds. Private keys are needed to access/assets.
2. What if I lose my seed phrase?
Without it, you cannot recover your wallet. Store backups securely.
3. Are hardware wallets safer than software?
Yes. Hardware wallets keep keys offline, reducing hack risks.
👉 Explore hardware wallet options for added security.
4. Why use multiple receiving addresses?
It enhances privacy by making transactions harder to trace.
Final Thoughts
Self-custody via private keys empowers true ownership of crypto. OKX Wallet simplifies key management while prioritizing security.
Ready to take control? 👉 Download OKX Wallet today.