Bitcoin Forum

Hi guys.

I'm a newbie, and I need some help . . .
I wanted to try invest some money in BTC, and I made a Bitstamp account and downloaded Electrum wallet.
Anyway, all this security talk really scared me, so I goggled a lot on hot vs cold storage, and making a cold wallet for me sounded a bit complicated.
I have a bit of a dilemma now. Since I plan to buy only about 2BTC for starters, Is it better for me to keep it in a cold or hot wallet?
I was reading about Bitstamp's recent breach in security so I was going for the colde wallet, but it seems a lot of hussle just for a 2btc.
Is it a really that risky to keep it on some server somewhere?

PS. Sorry for my bad English. It is my second language . . .
:)

What do you want to do with your bitcoins? Will you be looking to trade or buy stuff with them?

The most important thing is that you control your coins. If they're on an exchange or a wallet where you don't have the private key then they're out of your control.

If you plan to hold them long term then a cold wallet is a better idea. They're simple to make.

If it is for a "investment" where long term storage, and you are not going to spend them.  I highly suggest cold storage.  It's just safest way.

The decision really lies if you plan on spending them and need quick access.  Or if you plan on holding.

Yes, I plan to hold on it, wait until it's price get higher and sell . . .
I've read about making a Linux bootable flash disk, but it just seems so darn complicated . . .
I have had less problems with quantum physics . . .

Anyway, I don't have a spare PC to make it my cold storage wallet, so I was trying to find some way to put it on a external media, and just put it away . . .
Is the bootable flash disk the only option?

I've just read the instruction for the 100% safe cold storage, and it is a little bit clearer . . .
But, I do have some followup questions:
1. When I generate those addresses, the Bitcoin client will generate a physical file for my wallet, and than to backup it, I just copy that file places?
2. Every time i want to put some money in my wallet, I need to boot from that flash disk?
3. How do I physically get my BTC, into my wallet, after I buy them? 

Experiment before dismissing it. It's actually pretty straightforward to do.

I did it today to save some files and used this - http://puppylinux.org/main/Long-Term-Supported%20Puppy.htm#lucidpuppy

Download it as as ISO.

Use this to install the ISO on a USB stick as a bootable linux installation http://www.pendrivelinux.com/universal-usb-installer-easy-as-1-2-3/

Plug in the USB and it should do everything else for you.

Once you're on the internet with it find bitaddress.org if you want to create a paper wallet, or download whatever wallet you want, and away you go.

2 - all you need is the address created and noted down to send BTC to it. It'll arrive there without you having to start anything to receive it.

3 - exchanges and places like localbitcoins will have the coins in their wallet ready to send out to you. Put in the address you've created for yourself and send them there.

Look into either storing it on a few flash drives, or paper wallet.  Either one can be very effective.    Just be careful where you store them as if you lose them it can cause loss of btc if someone else uses it.

look here:

https://www.youtube.com/watch?v=I1uefzJJ6nM


play with little amounts before you move bigger amounts.

----

OVERVIEW: BITCOIN HARDWARE WALLETS

https://bitcointalk.org/index.php?topic=899253.0

Just to be clear,
what do you mean by bigger amounts?
Depending on the market, for someone even a 1btc can be a lot of money . . .
:-/

Maybe he's mean play/invest with little amount of your btc for the first, and then after you understand move to bigger investment(my advice is use Hardware wallet for bigger amount).
Try paper wallet for now if you cant store on cold wallet.


~iki

Ok.
This is much clearer now.
But, I still have some concerns:
1. My public address is for receiving the BTC, but what is the master for? I presume that it's for sending/spending money. That means that if I were to sell some BTC online, I need to write it on some website somewhere . . .
Isn't that a safety issue?
2. So, I have a address. If I understood correctly, it acts as a reference to my wallet. So, physically, there is no money on my cold stored wallet? It is just connected with that address? But, the master and the wallet file that I store somewhere is like a claim for my money?

Sorry for boring you guy, but it's all very abstract to me . . .
Which is really weird since I do abstract for living . . .
XD

What do you mean by master? Do you mean the private key?

You don't need to input that into a website if you want to send. You do need to open the wallet but you do that with the password that you created with the wallet. That's separate from the private key.

To send elsewhere open your wallet, input the address you want to send it to and away it goes.

Yes, I meant the private key . . .
Sorry. I don't know why I called it a "master" . . .

Aha, so it works like this:
I go to Bitstamp, I buy some BTC, send it to my wallet and than, when I want to sell it, I open my wallet, send my BTCs to my Bitstamp account, and than sell it over there?

Am I being correct?

You are indeed. That's all it takes.

No other individual or website should ever be given your private key and if anyone asks for it then they're guaranteed to be thieves. That's what allows them to steal your BTC even if your wallet is closed.

Don't trust any online service. Bitcoin means freedom and it's better if you keep them yourself. Follow some tutorial here to make a cold wallet, if you want to move your bitcoins at the beginning, hot wallet is ok, just follow basic computer security.

of course 1 BTC is a good amount.

if you own 1 BTC, first get comfortable with BTC in general. sent 0,50 $ in BTC back and forth. create a paper wallet; copy your wallet, deleet and install it somewhere else; buy a cheap hardware wallet (35$) and use it.

in the end i would recommend the Ledger Hardware Wallet for 1 - 1,5 of your BTC. when you are not tech-savvy, you are alot safer with that device because maleware can steal your BTC !

and it is always wise not to store all your BTC at one place.

Every thing that you mentioned Required a lot of experience except Gambling. Because In gambling One will loose every thing What he Gambled eventually.

Hm . . .
Hardware wallets sound nice and simple . . .

Has anyone tried HW.1?

Trezor seems a bit pricey . . .

If you are going for hardware wallet I would not let price be the main concern. 

If you don't like trezor look at btc wallets that can use YubiKey.

Hi LeonardoFibonacci, i think some forum user you what to say, one Bitcoin is not much to invest, but beware that gambling can lose it fast. If you do not need that Bitcoin you can trade, if you are unsure save it.

Greetings.

OMГ!
The things just started being complicated again . . .
:O

I really cannot understand the system of random generated passwords . . .
How does that thing works, when the password is random every time?!
:O

I don't know anymore . . .

I think, I'll just go with regular Unix bootable flash disk . . .

:'(

There is a heck of lot of options.   Yubikey has a neat feature that you can use it not just on BTC wallet.   

I think you can't go wrong as long as you use cold storage, and preform making it properly.  But Hot wallets do have their place aswell.

I found Ledger wallet really easy to use, according to the online videos, at least . . .
But, do you guys find it safe?
It comes at about 50EUR, with shipping for Serbia.
That is reasonable for me to invest in a wallet . . .

Why not if you have a budget to purchase a HW(of course for store big amounts) and have some btc for vacation :D
I also for the future want to purchase a HW.

First of all try to get a clear cut distinction between what is investment and what is ponzi..
All investments are not ponzis but all ponzis are investments..
Try to get a clear thought in it before you do anything with your btcs..
Best of luck

Look at ROI rate or price.  If they are super low prices (especially things like cloud mining) then there is a good chance of ponzi.  If you have a investment that promises tons of ROI really quick.. chances are ponzi.

I think common sense comes into the decision alot.

Not able to get what u r saying..I think you ate saying the same thing in two ways ..just you are pointingbponzis in both the sense..right??

*pointing ponzis

You got the point, exactly. First thing you must check if you want to invest in some company is look at their license, place(if exist or not), and the testimony.

Maybe notlist means if company offer big roi(something shit about big profit) is big chance to their used ponzi scheme and reversal, actually always like that .

You're definitely right. If you want to invest then hold your bitcoins. Don't spend them.

If you're going to invest, you need to evaluate the business itself. 99.99% of the people here throw their money blindly at anything and everything, then claim "scam" after, when it was an obvious scam to begin with. If someone has to ask what a good investment is, they shouldn't be investing.

This thread has gone on far to long my quote is from April :).   But you should do lot's of research and evaluation.   

With cloud mining look for concrete information they even have miners, most cand even do this.  We have seen some that are photo shopped pics to make data centers.  There is a famous one where every blue rack looks exactly the same, they were copied and pasted.   

I agree sadly some throw money before looking into it at all.  This should never happen but it does.

Cloud mining, by its very nature, is going to cause a loss of funds. Whether the company is legitimate or not doesn't even matter. The math speaks for itself. You will not ROI with cloud mining. It doesn't matter what company. It doesn't matter how much you throw at it. You've lost the second you pay.