Used Hardware Wallets

[aoluain]

Standard advice is that we should buy a hardware wallet directly from the manufacturer.

While I consider hardware wallets particularly Trezor to be great value given the security
they offer I have seen where people were selling used wallets at a cheap price. Its not the case
because Trezor model 1's are half price ATM.

So if we buy cheap used hardware wallets wouldnt the prudent thing be to just reset the
device and install official firmware from the manufacturer?


I was thinking this while resetting an old Trezor after moving Bitcoin off of it so
24 new seeds and a new password and its ready for use again!

[Charles-Tim]

If you know how to check the internal components, I do not see anything bad to buy it. But if you are a newbie, buying from the company directly or from a reseller is better.

I will recommend buying from the company directly or from a verified reseller instead of buying a used one. You buy it for huge amount of coins storage. The new wallet is better because the amount you bought it will be far less than the amount of coins that you want to use it for.

[PX-Z]

..
So if we buy cheap used hardware wallets wouldnt the prudent thing be to just reset the device and install official firmware from the manufacturer?

Yes, you can, as long you reset or reinstall its firmware using suite. But of course you will get different response and opinions from the community, and most will recommend to buy it from official sources. As well as, make sure you only buy used trezor or HW on trusted or known sellers/person.

[Meuserna]

With all due respect, anyone who cares more about saving a few dollars by buying a used device rather than guaranteeing the security of their Bitcoin by buying a new one...  they shouldn't be buying Bitcoin in the first place.  They're not ready.  And they're certainly not ready for self custody.  I say this as a huge advocate for Bitcoin and self custody.

Self custody isn't hard, but it needs to be done right.  Buying a used hardware wallet is proof that somebody isn't serious about the responsibility that comes with doing self custody.

[Ruttoshi]

Of course, if you can restore it back yo factory settings and generate a new seed phrase, it might be safer if you know how to check the component in order to confirm that the wallet hasn't be affected with malware. You should also check the authenticity of the wallet that it's the original one.

However, I wouldn't risk my money to buy a used hardware wallet when I know how to get the new one directly from the manufacturer. I prefer using a brand new wallet to be sure that I am at the safe side of not getting my wallet compromised.

[aoluain]

With all due respect, anyone who cares more about saving a few dollars by buying a used device rather than guaranteeing the security of their Bitcoin by buying a new one...  they shouldn't be buying Bitcoin in the first place.  They're not ready.  And they're certainly not ready for self custody.  I say this as a huge advocate for Bitcoin and self custody.

Self custody isn't hard, but it needs to be done right.  Buying a used hardware wallet is proof that somebody isn't serious about the responsibility that comes with doing self custody.

Yes but you got to realise there are people who think like that and would rather save
a few bucks and buy as cheap as possible and also bear in mind there are people
who wont even buy a used hardware wallet but instead will find it more "convenient"
to use an exchange for example.

It would be a better step to buy a seemingly cheap hardware wallet and do a
"factory reset" than use a third party. Maybe not everyone earns large amounts
of Bitcoin or Satoshi's so buying a new hardware wallet seems like an extremely
expensive way of storing their coins (disregarding security.

The key though is to not use it as received but do a reset.

[Meuserna]

The key though is to not use it as received but do a reset.

You can't prove the device wasn't tampered with.  Eventually, scammers are going to start adding a chip inside used devices with code to give the scammer the coins.

Flashing firmware isn't going to be enough of a way to truly prove the device is safe.

I'll say it again:  anyone who cares more about saving a few dollars by buying a used device rather than guaranteeing the security of their Bitcoin by buying a new one...  they shouldn't be buying Bitcoin in the first place.  They're not ready.  And they're certainly not ready for self custody.  I say this as a huge advocate for Bitcoin and self custody.

Self custody isn't hard, but it needs to be done right.

Anybody who thinks they can cut corners shouldn't be buying Bitcoin.  They should buy an ETF instead.

[m2017]

Standard advice is that we should buy a hardware wallet directly from the manufacturer.

Standard advice: hardware wallet is not a device you should skimp on (trying to buy a used one).

While I consider hardware wallets particularly Trezor to be great value given the security
they offer I have seen where people were selling used wallets at a cheap price. Its not the case
because Trezor model 1's are half price ATM.

If you want to buy a harsware wallet below market price, you can wait for discounts, which are common during holidays like christmas or black friday (there are also occasional non-holiday discounts).

I don't understand why people sell used hardware wallets (without malicious intent) when they can keep them as backups, even if they have more advanced models.

So if we buy cheap used hardware wallets wouldnt the prudent thing be to just reset the
device and install official firmware from the manufacturer?

Theoretically, it's possible, but are you willing to risk the future contents of your wallet for the sake of minor savings?

[Lucius]

I would never buy a used hardware wallet because I agree with @Meuserna that there's really no point in saving a few $ and wondering if someone modified the device so that even a reset doesn't guarantee that the private keys are safe. Of course I understand that some people simply can't afford new hardware wallets, but if you're going to buy a used device, make sure it's from someone you know, not a complete stranger online.

[rdluffy]

I would never buy a used hardware wallet from a stranger (or online)
Maybe I could buy a hardware wallet from a friend or family member

It would be better to use a USB stick + Linux offline to create a cold wallet
And I'll go even further: it's safer to use a hot wallet than a hardware wallet from a stranger

[Forsyth Jones]

I would never buy a used hardware wallet because I agree with @Meuserna that there's really no point in saving a few $ and wondering if someone modified the device so that even a reset doesn't guarantee that the private keys are safe. Of course I understand that some people simply can't afford new hardware wallets, but if you're going to buy a used device, make sure it's from someone you know, not a complete stranger online.

Thankfully, DIY hardware wallets (Krux) exist in this case, they're more affordable, especially for those who can't afford a Trezor. Air-gapped wallets are even better and more secure.

DIY wallets should be more encouraged.

In fact, buying a used hardware wallet will always be insecure, and any user with even the slightest understanding of digital security will never deposit large amounts into it.

[dkbit98]

So if we buy cheap used hardware wallets wouldnt the prudent thing be to just reset the
device and install official firmware from the manufacturer?

I would NEVER buy used hardware wallet and use it myself, except maybe for some testing purposes.
Only exception for used hardware wallet is if I get it from family member and reset it myself, but even that can be risky.

I was thinking this while resetting an old Trezor after moving Bitcoin off of it so
24 new seeds and a new password and its ready for use again!

You can do that with your own old Trezor device.

PS
New hardware wallets are not that expensive this days.

[jerry0]

How do you know if the hardware wallet bought directly from ledger or trezor isn't a customer return?  Can people return for a refund or exchange or credit with them if it isn't opened?  So when you receive it, aren't they going to send a returned one if the packaging looks fine?  The thing is it seems it isn't hard for people to open and reseal packaging right?


So wouldn't it be hard for someone to know if someone just is very careful with the box when opening and putting it back in and returning it?


The other thing is wouldn't it be not safe buying it at best buy even more?  I believe the nano ledger is out in the open right at best buy and it isn't like behind the counter?  Someone could just return it and do something to it and best buy would just put it back in the shelves?

[adaseb]

How do you know if the hardware wallet bought directly from ledger or trezor isn't a customer return?  Can people return for a refund or exchange or credit with them if it isn't opened?  So when you receive it, aren't they going to send a returned one if the packaging looks fine?  The thing is it seems it isn't hard for people to open and reseal packaging right?


So wouldn't it be hard for someone to know if someone just is very careful with the box when opening and putting it back in and returning it?


The other thing is wouldn't it be not safe buying it at best buy even more?  I believe the nano ledger is out in the open right at best buy and it isn't like behind the counter?  Someone could just return it and do something to it and best buy would just put it back in the shelves?

The hardware wallets at Bestbuy are all behind the counter. Its a very small device and easy to steal hence they keep it locked up. But I suppose its possible someone can buy one, use it, and return it the next day. However the shrink wrapping would be off and you would know it was previously owned. There are checks in place like inspecting the hardware inside or doing some genuine check however how do you know for sure if the genuine check cant be tricked in some way? Its rare but possible.

Hardware wallets arent expensive, there is no point in trying to save $40 and risking thousands as a result. Sure most likely there will be no issues. Many people don't have the means to hack the device in a way that you cant tell its tampered with. But why risk it in the first place?