How to Create a safe wallet to store my ADA

Until a hardware wallet is available, for people with limited computer knowledge, I’d say Daedalus is the safest option, assuming you record the seed phrase properly (on paper, not digital), and you take normal anti-malware precautions. Probably best to do a full malware scan before anything else though.

Hey Panthers,

keeping the whole blockchain on a flash drive is impractical and unnecessary. You can just store your wallet seed on encrypted flash drive. If you don’t want to move your funds anytime soon follow the steps I’ve written. If you do need to move them but you are not sure how secure you are I advice you to dedicate one PC with clean Windows install (use Microsoft’s media creation tool). Keep Windows up to date, install just Firefox or Chrome, bookmark exchanges you are using (never google them), install wallets you are using (make sure they are genuine).

Blockquote Encryptic USB flashdrives give out your keys once connected don’t they? Whereas the Nano S and Trezor never give out your keys when doing transactions right?

Yes. Hardware wallets have encrypted connection. Definitely get one, preferably Ledger since there is no word of Trezor support coming soon. I hope support for Ledger will come soon.

Vladimir and RobJF,

Sorry for the late reply. But thank you both for taking the time to reply and providing your insights and suggestions. They both are appreciated and helpful.

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Thank you RobJF for your answer.
I’ve got two more questions:

  • since unfortunately I haven’t followed the post Vladimir wrote some days ago about installing Daedalus properly (I didn’t install it and then cancelled it and then reinstalled it again) I’d like to doublecheck my 12 pass phrase.
    I tried before to send some coins to Binance but I was asked just the password, not the seed.
    How can I doublecheck it if I wrote it down correctly (I did it, I just want to be sure 101%)?
  • in any case, is it possible to install Daedalus on another computer and use properly the wallet from there (I.e. on two different devices)?
  • to retrieve the wallet is necessary to know the name of the wallet plus the seed right?

Thank you

David

To double check, just try to restore your wallet on another computer you trust, and yes, the name of the wallet is needed when restoring :slight_smile:

Not true. I have successfully restored my wallet multiple times under different names. The 12 words phrase is all you need.

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Didn’t know that. I wonder why it asks the wallet name when you restore it then

the name does not count…it’s for your internal management only.
setting a different name after restoring won’t be an issue.

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Good responses here.

I would also recommend buying a Ledger Nano S direct from the manufacturer — they’re on backorder till March 28th but I would still pre-order one if you don’t have one yet:

This is because Ledger Nano S integration for Cardano (and Daedalus I assume) is coming soon™.

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Thanks everybody for the prompt reply :facepunch:
Btw, after checking on another computer and after that disinstalling Daedalus, obviously it won’t affect minimally my ADA right?
Another question for an issue I don’t quite understand: I bought some ADA at 0,65$ and some others at 0,31$, but even though all the different transactions are reported on Daedalus, how can I make sure that I’m sending to Binance (or to whatever platform) the ADA bought at 0,65 instead of those bought at 0,31?

Thank you

David

I for example have my ADA spread over two accounts with different addresses (just in case). I can access them both in Daedalus wallet without problem, they’re just there under different names.

haha… but… why?

I’m asking that
to understand how it works the wallet.
I think it can be very useful for all users: if,say, ADA’s value will be 5$ in 2020, it is important to know if you are selling the ADA bought at 0,65 instead of those bought at 0,30$…

No it’s not, ADA is ADA. They’re all the same. If you’re talking accounting, then it’s still not relevant for FIFO or LIFO (whatever you apply).

You should just note down how many ADA you bought for 0.65$ and 0.30$, and sell accordingly.

thank you for your reply Jam35x but I have some doubts about it.
Let’s suppose that in your wallet you have the 40% of ADA bought at 0,70$, another 30% bought at 0,45$ and the last stake (always 30%) bought at 0,30%.
If within two or three yrs, supposing that ADA will grow to 6$, according to your reasoning you would be compelled to sell the entire stake bought at 0,70$ (the 40% stake) in order to make sure you are selling the shares bought at the highest price (and at the same time keeping the others, that will bring a bigger gain in ther future).
But, if you wanted to sell JUST the 15% of the ADA bought at 0,70$ (and not the ones bought at 0,45$ or 0,30$) I think there is no way to do it. Right now it’s not that important but if the price in the future will grow, as we all hope, I think that the wallet itself should show what stake exactly you want to keep and which one, in case, you would like to sell.

Cheers

David

Sorry David but in terms of basic economics you’re simply wrong. All of your ADA (and all other ADA) are absolutely identical, regardless of when you bought them or at what price – the difference in what you’ve gained (or lost) is in the past, not the future. This is the quality of currency known as fungibility and it is fundamental to all accounting theory and practice.

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You can note down how many ADA you bought at 0.70$ and sell 15% of it.

What RobJF said is right.

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Thanks RobJF and Jam35x for the replies.
@Jam35x I know how many ADA I bought when they were at 0,70$ but how would you differentiate those bought at 0,70 from those bought at 0,30$?
Because if this were not possible then when you will sell ADA at a higher price (let’s suppose again 4$), and you bought ADA in different times, the future gain can only be calculated through an arithmetic mean between the two prices (0,70 and 0,30). Or this possibility or what you suggested, not both.

Standard spreadsheet function XIRR does this for you.

Edit: Actually, that might be overkill in this situation, but the main point is you’re right, if you buy at different prices you have to use the average price to work out the gain.