In the last article, we learned about sending cryptocurrency using Shareable Links. In this article, you will learn the basics of shared wallets.
A shared wallet, sometimes called a multisig wallet, is a crypto wallet controlled by more than one person. There are many reasons to use shared wallets.
Security: Shared wallets provide enhanced security by requiring more than one person to approve transactions. This makes it less likely that your funds can be stolen if a person’s wallet or secret information is compromised.
Redundancy: Shared wallets can be set up to protect against loss of access to your crypto. For example, if you have a 2-of-3 shared wallet (meaning 2 out of 3 people’s approval are needed to move funds), you can still access your funds even if one person’s wallet or secret information is lost.
Shared Access: Shared wallets can be used when multiple people need access to the same wallet. For instance, a married couple can set up a Shared Wallet.
Reduced risk of single point failure: Since shared wallets require multiple people for authorization, they eliminate the risk associated with having a single point of failure.
Check out some concrete use cases in this article for how you can use a shared wallet in your daily life.
Let’s make a shared wallet designed to allow your loved ones access to your cryptoassets in case you lose the password to your Wallets or have a medical emergency.
Set up the shared wallet
Tap the “Funds” icon at the bottom of the screen.
At the bottom of the page, tap the “ADD/IMPORT” button.
Press “Add new shared wallet.”
Enter the asset type. The app supports shared wallets for Bitcoin (BTC) and Bitcoin Cash (BCH).
Decide the number of approvals and participants. We want to give our spouse access to our crypto, so we want to make a “1 of 2” wallet. This means that only one approval from either shared wallet is needed to complete transactions.
Enter a name for the wallet (eg. My Family Shared Wallet).
Enter your name or alias (this is the name that will be seen by the shared wallet participants).
Share the shared wallet
After you’ve set up your shared wallet (see above), you’ll be prompted to invite participants. There are two ways to invite participants.
Ask them to scan the shared wallet’s QR code.
Tap the SHARE button and send them a link to the wallet.
Join a shared wallet
There are two ways to join a shared wallet.
Scan the QR code provided by the wallet creator (tap the scan button at the top-right of the app’s home screen).
Tap the shared wallet link sent to you by the wallet creator.
You’ll be prompted to enter your name or alias. This is the name that other wallet participants will see you as. Finally, tap JOIN to complete the process.
Now that you know the basics of using Shared Wallets, it's time to set one up.
For a more in-depth exploration of shared wallets and how to use them in the Bitcoin.com Wallet app, please see this guide.
This article is part of the Bitcoin.com Wallet Tutorials Series, which is designed to get you up to speed on the app and its features. Read the next article in the series:
Bitcoin.com Wallet - Connect to a DApp: Discover how to unlock access to thousands of decentralized applications from the Bitcoin.com Wallet app.
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