Whenever the term cryptocurrencies come to mind, bitcoin is usually the first thought for most people. For close to twelve years now, venturing into bitcoin investments has become a worthwhile venture.
Even as the digital coin faces numerous oppositions, the concept of global adoption is slowly kicking in. Its ever-growing value is brought about by many factors surrounding it: privacy, faster transactions, and transparency, all running within a decentralized architecture.
However, certain uncertainties have become a common occurrence for bitcoin savvy investors, one of them being the impossibility of accessing lost bitcoins.
Usually, private keys grant us easy access to the cryptocurrency while offering security through a unique password. Like any password, private keys are meant to be secret as it allows users to manage their coins on a digital wallet. Therefore, it is impossible to spend or even access your funds without the keys that are usually a 256-bit string of numbers.
No matter the level of experience in trading the dominant coin, accidents like losing your keys is highly possible. There are mechanisms of recovering back your lost keys and the coins you had in possession on the bright side.
Recovery Tools
Generally, users may lose access to their BTC through accidental deletions or forgetting your passcode information. Statistics from 2018 reveal that the number of bitcoin lost during that period amounted to $20 billion. These precious coins were permanently lost, representing close to a fifth of bitcoin’s supply at that time.Â
The numbers have steadily risen to $140 billion, which makes up 20% of the 18.5 million BTCs in the market. As such, restoring your lost coins may be futile, but that doesn’t mean there isn’t any room for trial and error. Below are some tactics that the affected parties can leverage to recover their lost bitcoins.
BTC Recover
First on the list is BTC Recover which operates as an open-source protocol. Asides from bitcoin, BTC Recover assists users to retrieve their wallet passwords from a variety of coins such as Litecoin, Bitcoin Cash, Dash, ethereum, just to mention a few.
The platform recognizes how the crypto space can be, which is why it is effortlessly relaying simplified information concerning the crypto security. Using specialized data collection methods, the retrieval network ensures readers receive an update on every coin lost in the market once it happens.
On top of that, a recovery team is in place to give you a heads up on where precisely the lost bitcoins are. Losing your hard-earned investments can be devastating, so BTC Recover values the security of each wallet holder no matter how big or small the funds may be.
The FinderOuter Option
FinderOuter is an exceptional open-source protocol that simplifies the retrieval procedure for everyone. The platform contains an easy to use interface best suited for novice and experienced users.Â
There are various recovery options under this protocol, along with empty boxes needed to be filled and finally wrapping up with the “find” button. The simple process eradicates the tiresome process of following a comprehensive guide on getting back your bitcoins.
Furthermore, the tool offers a brief example of how to go about each option a user chooses. FinderOuter is still under construction, but it seeks to add a feature whereby users can retrieve their BTCs using partial information on their passwords.
Wallet Recovery Services
WRS software was developed by an anonymous developer going by the name Dave Bitcoin. The platform specializes in retrieving a customer’s digital wallet through a multi-threaded C++ decryption mechanism.Â
As per WRS, every algorithm is detailed and designed to handle any additional needs during the retrieval operation. It has gained a lot of trust from many as previous satisfied customers present positive reviews on its effectiveness.
Moving From the Bitcoin Core Wallet
Despite being a free software, the Bitcoin Core wallet contains many complexities requiring massive amounts of time to acquire and adequate memory space. To be precise, downloading the whole blockchain can accommodate up to 100GB.
Hence, users who transfer their BTCs to the core wallet may have difficulty syncing the entire wallet with its unimaginable size.
Instead of going through this strenuous process, users can opt to transfer their private keys to another lightweight wallet and start the recovery process from there.
Since the coins in this scenario are not lost, the user can select a wallet that syncs easily to access and spend the digital coins.
Sweeping Method
The sweeping method is another way to retrieve your bitcoins, particularly when you lose your mobile wallet. A malicious party may still access a user’s digital wallet through the original device even after importing the keys to a new wallet.
On top of that, seed phrases are used when importing the private keys to the newly formed wallet. To avoid any further risks, users initiate a transaction through the new wallet, which transfers the bitcoins from the old wallet to the new private/public keys.
The procedure can be viewed as clearing out the remaining balance from the old wallet in simple terms. Most digital wallets such as MetaMask offer the sweeping option, which removes and transfers your lost BTCs.Â
Safety Precautions
To avoid losing your BTCs, there are specific measures you can take to maintain your coins or, better still, retrieve them in the event of a loss.
Create Copies
Making a variety of copies for your private keys and seed keys is an effective way to increase your digital coins’ access. As mentioned earlier, without the private key code, users cannot reach their bitcoins. But with a few copies in place, private keys and the coins will be retrievable in the event of a loss. After formulating copies, it is advisable to transfer the documents to different locations.
Engraving Tactic
The engraving technique inputs your private key information on a stainless steel instrument. Cryptosteel is the leading stainless tool that enables users to engrave up to 96 characters. However, the instrument doesn’t come free since acquiring Cryptosteel will cost you around $100. Once you get a hold of Cryptosteel, you will have a durable tool in your possession that is fireproof and waterproof.
Hardware Wallets
Cold wallets are deemed to be the most appropriate way to safeguard a user’s bitcoins. Considering that the hardware wallets operate without an internet connection, your investments and private keys are guaranteed the ultimate security.
Trezor and Ledger are among the best hardware wallets available today, offering the safest features to a user’s digital coins.
Final Word
Misplacing the private key information holding the bitcoins is an unavoidable circumstance since users are prone to do it someday. It creates a lot of frustrations as users do not know how to recover their funds.
Hence, it is a personal responsibility to act fast since any delays can make the retrieval process difficult.
The methods available today do not assure a successful recovery, but on the bright side, the process works well with the right mechanisms. Besides, making duplicate private keys will save the regular investor from financial losses in the future.
