A recovery phrase (also called a seed phrase or backup phrase) is a list of 12-24 random words that backs up your entire crypto wallet. If you lose your phone or computer, these words let you restore all your crypto—but if someone else finds them, they can steal everything.
Why It Matters
Your recovery phrase is the ONLY way to recover your crypto if:
- Your phone gets stolen
- Your computer crashes
- Your hardware wallet breaks
- You forget your password
There's no “Forgot Password” button in crypto. No customer service can help you. These words ARE your backup.
Example
A typical 12-word recovery phrase looks like:
army curious hotel morning ocean puzzle river sunset table uncle victory wisdom
These 12 words can restore your wallet on ANY device. Anyone who has these words can steal your crypto—even years later.
Common Mistakes Beginners Make
- ❌ Not writing it down (thinking they'll remember)
- ❌ Storing it digitally (screenshot, cloud, email, notes app)
- ❌ Storing only one copy (fire, flood, loss)
- ❌ Telling family members where it is (they can be hacked/scammed)
- ❌ Storing it with your hardware wallet (defeats the purpose)
- ❌ Taking a photo “just to have a backup” (cloud sync = hacked)
Security Checklist
- ✅ Write on paper immediately when wallet gives it to you
- ✅ Double-check spelling of every word
- ✅ Store in fireproof safe or safety deposit box
- ✅ Consider a second copy in a different physical location
- ✅ Never store digitally (no photos, no cloud, no computers)
- ✅ Consider metal backup plates (fireproof, waterproof)
- ✅ Tell NO ONE where you keep it
Related Terms
- Private Key – Your recovery phrase generates your private key
- Wallet – Your recovery phrase restores your wallet
- Hardware Wallet – Always gives you a recovery phrase