19Jun
Crypto fraud in Singapore is rising. In 2024, Singapore lost over S$1.1 billion to scams, with cryptocurrency fraud accounting for 25% of the total. Many victims lost access to their wallets due to compromised seed phrases.
Your cryptocurrency seed phrases provide access to Bitcoin, Ethereum, and other digital assets—loss or theft can deny access to your crypto wallet in seconds. Proper security protocols and safe deposit boxes can protect crypto assets from unauthorised access, theft, and damage.
This guide outlines practical steps to store your cryptocurrency holdings, with STARVAULT's professional vaults serving as a trusted solution to keep your digital assets safe.
Why Seed Phrase Storage Matters
A crypto seed/recovery phrase is a set of 12 or 24 words (based on the BIP-39 standard) that serves as the master key to recover a crypto wallet. Backup keys serve a similar purpose for hardware wallets like Ledger or Trezor. If your seed phrase is lost, stolen, or damaged, you may never recover your wallet.
Poor storage practices can result in devastating losses:
- Digital storage: Storing seed phrases in cloud services or email presents vulnerability to cyberattacks such as phishing and hacking.
- Paper storage: Writing your seed phrase on paper risks damage from fire, water, or misplacement.
- Unsecured physical storage: Home safes and drawers lack professional security measures against theft.
STARVAULT's safe deposit boxes provide advanced security protocols and physical safeguards that address these storage vulnerabilities.
Best Practices for Protecting Your Seed Phrase
Protecting your digital wealth starts with you. Here are some practices you can adopt for storing your seed phrase or backup key in Singapore.
Use Durable Metal Backups
Paper backups are fragile, but metal storage devices like CRYPTOTAG, Cryptosteel, or ColdTi offer a durable solution. You can safely engrave your seed phrase on these stainless steel or titanium plates, which are resistant to corrosion, heat, and impact.
Steps to secure your seed phrase:
- Purchase a reputable metal backup kit
- Carefully engrave your seed phrase
- Place the plate in a sealed container to prevent scratches or tampering
- Store it in a high-security vault, like a STARVAULT safe deposit box
Metal backups ensure your seed phrase can persist through environmental threats, making them suitable for long-term storage in secure locations like STARVAULT.
Avoid Digital Storage
Never store seed phrases digitally with cloud services (Google Drive), email, or phone notes. These platforms are connected to the internet, which makes them a prime target for hackers. Approximately $2.2 billion was lost globally in 2024 due to hacking.
Hence, it's best to keep your seed phrases offline, away from digital risks. STARVAULT's safe deposit boxes provide a secure, offline environment for metal backups.
Store in a Secure Location
The best place for your seed phrase is a high-security, offline location like a safe deposit box. STARVAULT’s vaults at 506 Chai Chee Lane, BOXPARK, Singapore, offer unmatched protection:
- Multi-layered access control: Biometric authentication (facial recognition, fingerprint), PIN, physical key, and access card ensure only you can access your box.
- 24/7 automated vaults: Access your box anytime without staff interaction, ensuring privacy.
- Physical safeguards: Located 28 meters above sea level, with a professional fire protection system tested annually by Singapore authorities.
- High capacity: Boxes hold up to 25kg, accommodating multiple metal backups, private keys, or other valuables.
Store your metal backup in a STARVAULT box for Fort Knox-level security and peace of mind.
Add a Passphrase for Extra Security
Adding a custom passphrase to your seed phrase provides an additional layer of protection (e.g., "Tr0ub4dor&3xtr1c4t3"). This functions like a password, requiring both the seed phrase and passphrase to access your wallet.
Store the passphrase separately from your seed phrase, ideally in another STARVAULT safe deposit box, to prevent unauthorised access. Ensure the passphrase is complex, unique, and never stored digitally.
Consider Advanced Techniques (With Caution)
Some crypto investors explore advanced methods like multi-signature wallets (that require multiple keys to authorise transactions) or Shamir's Secret Sharing (splitting a seed phrase and storing it in different locations). These methods are complex and can lock you out permanently if managed poorly.
Disclaimer:
STARVAULT does not recommend advanced techniques like Shamir's Secret Sharing or multisig wallets. These methods can be complicated to manage, and losing even one part can render your seed phrase unusable. We recommend storing seed phrases in our secure safe deposit boxes to minimise risks and ensure reliable access.
Common Storage Mistakes to Avoid
Avoid these frequent pitfalls to keep your seed phrase secure:
- Storing on Cloud or Email: Digital storage can be susceptible to cyberattacks.
- Using Paper Backups: Use more resilient methods like metal backups to ensure that your seed phrase remains legible.
- Sharing Your Keys: Never share your seed phrase or storage access with others.
- Storing in Home Safes: Despite its convenience, home storage lacks professional monitoring and security protocols.
- Not Testing Recovery: Verify the functionality of your recovery phrase before storing it.
Ready to Protect Your Crypto with STARVAULT?
Protecting your crypto wealth begins with reliable seed phrase storage. By using metal backups and storing them offline in a STARVAULT safe deposit box, you can enjoy peace of mind for your asset security.
Get a quote and join other fellow investors today to secure your seed phrase in one of Singapore's most advanced vaults.
Frequently Asked Questions (FAQs)
How do I engrave a metal backup?
Purchase a CRYPTOTAG or Cryptosteel kit, follow the provided instructions, and engrave your 12/24-word seed phrase carefully. Double-check each word for accuracy and store it in a STARVAULT safe deposit box.
Can STARVAULT store my Ledger or Trezor device?
Yes, STARVAULT’s safe deposit boxes are ideal for storing metal or paper backups for hardware wallets like Ledger or Trezor, ensuring maximum security.
Can I store multiple seed phrases in one box?
Absolutely. STARVAULT boxes, with up to 25kg capacity, can securely hold multiple metal backups or other valuables, protected by multi-layered access control.
Where can I access my box?
You can access your box 24/7 with no restrictions, using biometric authentication, PIN, physical key, and access card.
