BIP84 (Bitcoin Improvement Proposal 84) is a standard for the Bitcoin wallet address format. It is further extended based on BIP32 (hierarchical deterministic wallet) and BIP44 (multi-account hierarchical deterministic wallet structure) and is designed for Bitcoin's SegWit (segregated witness) address. Mnemonic phrases, as a method of representing wallet private keys that is easy to remember and recover, play a vital role in BIP84 and similar standards. Here are eight aspects to pay attention to when using BIP84 mnemonics:
1. Correct generation
Use official or trusted software: Make sure to use well-known, open source, and community-verified wallet software to generate mnemonics. Avoid using unverified third-party tools to prevent malware attacks.
Random number generation: The generation of mnemonics should be based on high-quality random numbers to ensure that they are unpredictable, thereby protecting the security of private keys.
2. BIP39 vocabulary
Use a standard vocabulary: BIP39 defines a standard list of English words (also called a vocabulary) for generating mnemonics. Always use this standard vocabulary and avoid non-standard words, as these may not be supported by all wallet software or may pose security risks. Word order is important: The order of the mnemonics is crucial, and any change in word order will result in completely different private keys.
3. Check digit verification
Verify check digit: BIP39 mnemonics usually contain check digits to detect whether the mnemonics are wrong when they are copied or entered. Be sure to verify the check digit immediately after the first generation. Manual check: Although most wallet software will do this automatically, it is also a good habit to check it manually, especially when using new software or new equipment.
4. Secure storage
Physical isolation: Store the mnemonics on physical media, such as paper documents or metal nameplates, and keep these media away from digital devices to prevent digital attacks. Fireproof and waterproof: Choose a durable, fireproof and waterproof storage method to ensure that the mnemonic is safely stored even in catastrophic events.
5. Multiple backups
Dispersed storage: Create multiple backups of the mnemonic in different physical locations to prevent data loss caused by a single point of failure.
Encrypted storage (if applicable): For electronic backups, encrypt them with a strong password and ensure that the encryption key is stored separately from the mnemonic.
6. Use a seed password (passphrase)
Optional security layer: Many wallets support adding an additional password (called a seed password or passphrase) on top of the mnemonic, which can add an extra layer of protection to your wallet security.
Remember the password: Make sure your seed password is equally secure and easy to remember, but do not store it in the same place as the mnemonic.
7. Regular checks
Verify backups: Regularly verify that your mnemonic backups are still valid, including restoring your wallet using the backup and checking that the balance is correct.
Software updates: Keep your wallet software updated to the latest version to take advantage of the latest security fixes and feature enhancements.
8. Avoid electronic storage
Minimize risk: Although electronic storage may be necessary in some cases, try to avoid storing your mnemonic directly on an Internet-connected device, such as a phone, computer, or cloud storage service. These devices are more vulnerable to hacking and malware. Offline operations: If electronic operations must be performed, consider using an offline device, such as a dedicated hardware wallet.
Following the above precautions can greatly improve the security of your use of BIP84 mnemonics and protect your Bitcoin assets from potential threats.
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