Concerning your question on whether or not it is helpful to use the same wallet for any project, it is noteworthy that you will need to change your habits if you pursue that practice.
Now think of your wallet condition and pick the best suited one:
A) I have one wallet for all, and I use the same wallet for every project.
B) I have several digital wallets, but I use one wallet for each project.
C) I keep much of my funds in a key wallet or in Binance.
If you fall into either option A or B, continue to dive in this article.
What is The Best Choice?
The best choice you can take is having multiple wallets. Each wallet will be used for each project and you can hold funds that are not actually being used in a main wallet that does not interfere with any deal, like a hardware wallet like Keepkey, Ledger or Binance.
Getting multiple wallets comes with many benefits, such as:
- Fewer privacy intrusions.
- A higher degree of protection.
While it is possible for your funds to be stolen in two major ways:
- Attack or hack from outside.
- Corruption when a suspicious project accesses your funds.
What is The Spending Allowance?
Let’s simplify things: Before you use any project, you will need to grant it permission to spend your tokens. The only step you can take without conceding to the notion is trading BNB for other tokens. In other words, to access the features of a contract, you must first grant permission to the contract to access your tokens. It is applicable to anything, from farming, staking to providing liquidity, swapping tokens and many more.
We need to remind you of the case of An Ethereum Customer Lost $140,000 in Uniswap (UNI) Tokens. This is the potential outcome that could happen if you authorize a contract to invest your tokens and the project is not safe.
Using multiple wallets, you can keep the funds that you don’t want to invest on a particular project secure, since the other wallets won’t encourage the spending on that project. Your key wallet should never accept any contracts whatsoever, since it should only be used for any other purposes than token transfers and token storage.
How to Manage Multiple Wallets
MetaMask makes it quite easy to handle multiple wallets. A simple example of having several wallets is having your PayPal, debit, and credit cards together on the same account.
You can create as many MetaMask-based wallets as you want and make them all accessible from a single press.
If you are switching computers, it may take a minute or two for MetaMask to import all of your wallets, but it is just a little task you have to do to keep your funds secure.
How to Set It Up
Step 1: Generate a main wallet
It is obviously better to create a brand new wallet, instead of keeping the old one as your main wallet.
- Have your MetaMask extension installed.
- Create a new wallet using a new seed phrase.
- Write down the seed term elsewhere (a crucial move that you must remember).
- We recommend that you move old wallet(s) tokens to this key wallet for now. It would make the guide itself simpler to follow.
Step 2: Create new wallets for each project.
Let’s say you move all of your tokens to the main wallet. The next step is to create a new wallet that is capable specifically of each project.
- Click on your wallet’s profile photo.
- Start creating an account by clicking on the “Create Account” tab.
- Pick a name. It could be as the following: “Project Name” + “Wallet.”
- Congratulations! You just completed creating a new wallet for the mentioned project.
- At this stage, you can transfer your tokens from the Main Wallet to the Project X Wallet.
The following is an example:
- You now have your CAKE in your PancakeSwap wallet.
- You now have your Medicine in your TrapHouse Wallet.
- You now have your NYA in your NyanSwop Wallet.
- You now have your NAR in your Narwhalswap Wallet.
- The idea should be clear to you.
Where Can You Find Your Private Keys?
It’s super easy to find your private keys with just a few clicks.
- Pick the three-dot line at the upper right.
- Access your account data by clicking on “Account details.”
- Import your private key by clicking on “Export Private Key”.
- Confirm your password before continuing.
- And here is your private key.
What are The Most Secure Ways to Store Your Private Keys?
The best way is to store your seed phrase on a piece of paper. That seems pretty easy, but writing down these keys on paper is a real hassle.
These are your two options:
A) Get them written on a sheet of paper.
B) Save them in a .txt file on a USB stick.
Additionally, make sure to scan your device for viruses before starting this step, always keep your private keys protected.
How To Revoke Spending Access
The simplest way to remove expense access is by using allowance.beefy.finance. This is a quick process:
- Decide which contract you want to cancel the access from.
- Go ahead and press “Revoke.”
- Accept the TX within MetaMask.
- By using only a few basic strategies, you can keep your money secure.
- Have a main wallet that has no interaction with any project.
- Each project should have one separate wallet.
- Store the assets you don’t use on the “Main Wallet”.
- Store high-value assets in either Binance or Ledger.