Crypto

Seed phrase

Also calledrecovery phrase · mnemonic phrase · backup phrase

A seed phrase is a sequence of words that can be used to back up and restore a crypto wallet, often by recreating the private keys it controls.

What Seed phrase means

Many wallets show a set of words when the wallet is first created. Those words are meant to be written down and kept secure, because they can restore access if the device is lost. In many systems, the phrase is a human-readable form of the secret material that generates wallet keys.

The seed phrase is often the only recovery method for self-custody wallets. If it is lost, access may be lost permanently; if it is stolen, someone else may be able to restore the wallet and move the funds.

A user buys a hardware wallet and writes down the 12-word recovery phrase on paper. Months later, the device fails, but the user restores the wallet on a replacement device using the same phrase.

Common questions

Is a seed phrase safe to store in a screenshot?+

Usually not. Screenshots and cloud backups can be copied or exposed more easily than offline storage.

Can a seed phrase recover every wallet?+

Not necessarily. It depends on the wallet standard and derivation path used by that wallet.

Go to the original material.

01CFTC Customer Advisory: Beware Imposters Posing as CFTC Officials02SEC submission on crypto custody and self-custody wallets03SEC Crypto-Asset Custody: A Blueprint for Regulatory and Market Integrity