pull/201/head
Andreas M. Antonopoulos 8 years ago
parent d38b240085
commit cc87e87678

@ -29,7 +29,7 @@ In the first bitcoin wallet (now called Bitcoin Core), wallets were collections
[TIP]
====
The use of non-deterministic wallets is discouraged for anything other than simple tests. They are simply to cumbersome to backup and use. Instead, use an industry standard based _hierarchical deterministic wallet_ with a _mnemonic_ backup.
The use of non-deterministic wallets is discouraged for anything other than simple tests. They are simply too cumbersome to backup and use. Instead, use an industry standard based _hierarchical deterministic wallet_ with a _mnemonic_ seed for backup.
====
[[Type0_wallet]]
@ -46,9 +46,7 @@ image::images/deterministic_wallet.png["Deterministic Wallet"]
==== Seeds and Mnemonic Code Words
Deterministic wallets are a very powerful model for managing many keys and addresses.
The invention of deterministic wallets was later augmented by another very important invention: a standardized way of creating seeds from a sequence of english words that are easy to transcribe, export and import across wallets. This is known as a _mnemonic_ and the standard is defined by BIP0039. Today, most bitcoin wallets (as well as wallets for other crypto-currencies) use this standard and can import and export seeds for backup and recovery using interoperable mnemonics.
Deterministic wallets are a very powerful model for managing many keys and addresses. They are even more useful if they are combined with a standardized way of creating seeds from a sequence of english words that are easy to transcribe, export and import across wallets. This is known as a _mnemonic_ and the standard is defined by BIP0039. Today, most bitcoin wallets (as well as wallets for other crypto-currencies) use this standard and can import and export seeds for backup and recovery using interoperable mnemonics.
Let's look at this from a practical perspective. Which of the following seeds is easier to transcribe, record on paper, read without error, export and import into another wallet?
@ -74,7 +72,7 @@ garbage claim echo media make crunch
|===
[[mnemonic_code_words]]
===== Mnemonic Code Words
===== Mnemonic Code Words (BIP0039)
((("deterministic wallets","mnemonic code words")))((("mnemonic code words")))((("seeded wallets","mnemonic code words")))Mnemonic code words are word sequences that represent (encode) a random number used as a seed to derive a deterministic wallet. The sequence of words is sufficient to re-create the seed and from there re-create the wallet and all the derived keys. A wallet application that implements deterministic wallets with mnemonic words will show the user a sequence of 12 to 24 words when first creating a wallet. That sequence of words is the wallet backup and can be used to recover and re-create all the keys in the same or any compatible wallet application. Mnemonic words make it easier for users to back up wallets because they are easy to read and correctly transcribe, as compared to a random sequence of numbers.

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