What is Private key?
The secret that proves ownership of a wallet; anyone holding it controls the funds.
A wallet does not hold coins, it holds keys. The private key signs transactions, and possession of it is ownership — there is no customer support to reverse a mistake.
Keys are stored in wallets, sometimes encrypted by a password. Whoever has the key has the funds, so the only real protection is where it is kept.
Related terms
- Seed phraseSecurity
Twelve or 24 words that regenerate every key in a wallet; never type it into a website.
- WalletWallets
Software or hardware that holds keys and signs transactions; it does not hold coins.
- Cold storageSecurity
Keeping keys offline on a device that never connects to the internet.