Electrum Wallet Guide
Security is everything in cryptocurrency. The lack of oversight from a regulating body means that if your Bitcoin is compromised, then you’re entirely out of luck. It’s possible to lose everything you’ve worked for instantaneously.
Smart Bitcoin investors use a backed-up, encrypted, open-source wallet to protect their assets
For Bitcoin holdings, Electrum is the best choice. Electrum is free and has earned the trust of investors over time. Additionally, it is a deterministic cryptocurrency portfolio option.
With Electrum, you are fully in control of your passwords and Bitcoin security. Online wallets hold this power, which increases your risk as a user. Choosing to do slightly more work up front to set up your crypto storage ensures your protection for the long haul.
Luckily, setting up a secure Bitcoin storage wallet with Electrum is easy
To begin, you must download Electrum directly from the developer’s website. If you use a third-party download, you risk an infected file.
If your computer is secure and you follow these directions completely, then it is safe to use the portable version. However, if there’s any chance of sharing your computer, consider the standalone version.
Once Electrum is downloaded, it’s time to set it up
To begin, open the file and click “Run.” For your first time, it’s best to start with the standard setup. Be sure to select the options for “Create New Wallet” and “Standard Wallet.” Then, click next.
A white box with 13 words will pop up onto the screen. Write these words down on a piece of paper. We recommend keeping multiple, physical copies of these words in different safe places.
Whatever you do, do not store these words on your computer! If your computer is hacked or becomes infected with malware, this will make it easier for them to steal your Bitcoin.
Finish the setup by setting a program password to encrypt the file on your computer. Don’t use the same password as before, but choose one that is equally as strong.
Finally, select the default connection method. We recommend sticking with the default option – “Automatic Connection.” The program doesn’t run continuously, so it generally won’t affect your bandwidth.
Now, your wallet will open and is ready for transactions
It might take a short amount of time for the program to establish a server connection. You can check your connection with either the words on the bottom left or the coloured dot on the bottom right of the screen. If the dot is red or the phrase “Not Connected” is visible, it means that the connection is not established. If the dot is green and you see your Bitcoin balance on the bottom left, then you are connected.
To receive Bitcoin, you will create a receiving address for your specific seed
Click the tab that says “Receive” on the top of the screen. There, you’ll see your new receiving address. You can send this information to someone or pass along the QR code to scan and pay.
If you copy and paste the address, be sure to check the first and last digits. Malware can change this code and steal your Bitcoin.
When you send Bitcoin, Electrum will choose the most accessible combination of your existing funds
You don’t have to worry about which “used” address to send currency from when completing a transaction. Electrum makes the most efficient decision and sends it for you.