Despite all this technological progress, one of the basic prerequisites for entering any market is still having a bank account or a wallet (Wallet meaning a digital wallet).
Until technology advances to the point where every person’s financial information is stored inside their body like DNA, we must continue using software wallets. Mahdi Baikmohammadlou
Just as leather wallets or bank cards can be lost or stolen, cryptocurrency wallets can also be lost, become inaccessible, or be hacked. Therefore, it is essential to always consider the necessary precautions for protecting and maintaining your accounts, cards, and wallets.
On the other hand, if the owner of a bank account passes away, based on a predefined legal mechanism (whether or not there is a will), the assets and estate of the deceased are transferred to the heirs, and no rights or capital are lost. However, with cryptocurrencies, the situation is somewhat different.
Imagine someone has purchased some Bitcoin and Ethereum and stores them in a mobile wallet application. If the application is deleted, the mobile phone is stolen, or the person passes away, have you ever thought about what happens to that person’s Bitcoin and other cryptocurrencies? I will also point to the solution to this fundamental and very important problem later on.
As with other steps, I will try to guide you—through precise explanations—toward the successful installation and safe, fast use of a cryptocurrency wallet:
Choosing a phone or tablet
Take your mobile phone or tablet, ensure you have an internet connection, and to increase security, if a VPN, proxy, or filter breaker is active, disable it.
Downloading a wallet application
There is a wide variety of software and even hardware wallets with diverse features. In this article, only as examples, I list some features of well-known software wallets at the time of writing, and we will review the wallet creation steps in one of them as a sample:
Features of Trust Wallet
Ease of use.
Support for a large number of cryptocurrencies.
NFT support.
Ability to create and manage multiple wallets within one app.
Ability to swap some coins and tokens, similar to an exchange.
Ability to purchase some cryptocurrencies with fiat currencies such as US/Canadian/Australian dollars, euro, Turkish lira, Chinese yuan, and others via payment services like MoonPay and Mercuryo.
Features of SafePal Wallet
Ease of use.
Support for a large number of cryptocurrencies.
NFT support.
Ability to create and manage multiple wallets within one app.
Ability to swap some coins and tokens, similar to an exchange.
Ability to use several well-known exchanges inside the wallet in a decentralized manner.
Ability to connect to the SafePal S1 hardware wallet.
Features of Atomic Wallet
Although the correct pronunciation is “Atomic Wallet,” on the CryptoMentor website I try to use commonly used Persian terms as long as they do not harm the original meaning.
Ease of use.
Support for a large number of cryptocurrencies.
Ability to exchange some coins and tokens, similar to an exchange.
Support for blockchain domains.
Ability to purchase some cryptocurrencies with fiat currencies such as US/Canadian/Australian dollars, euro, Turkish lira, and Chinese yuan via international payment methods like MasterCard and VISA.
Downloading from Play Store or App Store
If you have an Apple phone or tablet with iOS, search for Trust Wallet in the App Store and download the official application.
If you have an Android phone or tablet, search for Trust Wallet in the Play Store and download the official application.
Be careful not to download fake or fraudulent applications. Official apps usually have a large number of downloads and user reviews. You may also consult a computer or software specialist.
Downloading from the official wallet website
You can find the official download link by visiting the wallet’s official website. Search the wallet name in Google (for example, “trust wallet”). Usually, the official website appears among the top non-sponsored results. Click the first non-ad link (for example, https://trustwallet.com) and look for download links for:
Android OS (Samsung, Huawei, Xiaomi phones and tablets, etc.)
iOS (Apple phones and tablets)
Windows OS (most PCs and laptops)
macOS (Apple computers and laptops)
Browsers (Firefox, Chrome)
Based on your device, click the appropriate link and complete the download and installation.
If I am unsure about the official website or download link of a wallet or any other product or service, I usually use all three methods above. If all of them ultimately lead to the same application, I download it with more confidence.
Creating a wallet
After installing Trust Wallet, open the app and tap “Create a new wallet.”
On the next screen, you are asked to create a backup. This means that if the app is deleted, the phone is lost or stolen, or you lose access for any reason, you can recover your wallet and its assets. Check the box next to “I understand that …” and tap Continue.
Prepare a piece of paper and a pen (using a pencil is also recommended) and write down all the words shown on your screen in the same order and with the same numbers (usually 12 or 24 words).
This is called the mnemonic phrase. You will need it to recover your wallet in the future or restore it on another device. These words are converted through cryptographic processes into your private key, which represents your digital signature on the blockchain.
When you send cryptocurrency to someone else, the wallet signs the transaction with your approval and transfers the asset. In the next step, I will explain more about wallet addresses and public keys.
Memorizing a private key is nearly impossible for humans, and copying or reusing it is not allowed for security reasons. Therefore, experts invented mnemonic phrases to make backups human-readable and safer.
Warning
Never take photos or screenshots of your mnemonic phrase.
Never copy or store the mnemonic phrase or private key digitally.
The mnemonic phrase is the key to your wallet and all its assets; protect it even more carefully than your bank password.
No person or company—including the wallet provider—will ever ask for these words.
If anyone requests them, you are facing a hacker or scammer.
If the mnemonic phrase is lost, no one can recover it.
After confirming the words correctly, your wallet will be created.
Congratulations. You have created your first cryptocurrency wallet.
Backing up the mnemonic phrase the ancient way
One of the best ways to store a mnemonic phrase is engraving it on special steel plates, similar to how ancient civilizations engraved information on stone.
Paper can tear, burn, or get wet, but special steel plates can withstand fire and moisture. I personally tested some of these plates and recommend only those proven to tolerate temperatures above 500°C.
Cloud backup of private keys
Some wallets, such as Bitcoin.com Wallet, offer encrypted cloud backup via Google Drive or Apple iCloud, protected by a password you choose.
Important additional information about wallets
Always note which wallets and applications use the same mnemonic phrase. This is important for staking, swapping, connecting to crypto websites, and accessing exchanges.
A vital and necessary action
Because of the sensitivity of mnemonic phrases, you may want to plan how trusted individuals can access your wallet in the future (for example, through a will).
Cybersecurity in the world of cryptocurrencies
Before using any wallet, always review your device’s security. One mistake can lead to theft. Use antivirus software, firewalls, hardware wallets, strong passwords, two-factor authentication, and never store mnemonic phrases digitally.
Why hardware wallets are usually safer
Hardware wallets like Ledger use Secure Element chips—the same level of security used in passports and bank cards. They keep private keys fully offline and resistant to both online and physical attacks.
Worth Noting
As adoption grows, wallet security has become a primary attack surface for hackers, especially through phishing, fake apps, and social engineering. Regulatory pressure in some jurisdictions may push custodial solutions, but self-custody remains critical for sovereignty and censorship resistance. Multi-signature wallets, social recovery, and account abstraction are emerging solutions that improve usability without sacrificing security. Planning digital inheritance is no longer optional—it is a necessity for long-term crypto holders.
How AI Helps
AI can assist by detecting phishing websites, fake wallet apps, and malicious smart contracts in real time. AI-powered security tools analyze transaction behavior to flag anomalies. Password managers with AI risk analysis, AI-driven fraud detection, and automated compliance scanners enhance wallet safety. Advanced users and institutions use AI-based blockchain analytics platforms to monitor wallet exposure, transaction risk, and inheritance planning workflows.
FAQ
What is a mnemonic phrase in a cryptocurrency wallet?
A mnemonic phrase is a set of words that acts as a human-readable backup for your private keys and allows full wallet recovery.
Can a wallet provider recover my funds if I lose my mnemonic phrase?
No. If the mnemonic phrase is lost, no company or individual can restore access to your wallet.
Is it safe to store a mnemonic phrase on a phone or computer?
No. Storing mnemonic phrases digitally exposes them to hacking, malware, and unauthorized access.
Why are hardware wallets considered safer than software wallets?
Hardware wallets keep private keys offline using secure chips, protecting them from online and many physical attacks.
How should crypto assets be handled in case of death?
Access instructions should be securely shared through legal mechanisms such as wills, trusts, or trusted custodians.
Can AI improve cryptocurrency wallet security?
Yes. AI enhances threat detection, scam prevention, behavioral monitoring, and secure asset management.