How To Create A Multisig Bitcoin Wallet: Caravan

[@BTCSessions]

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[@carousel9325]

worth noting that when you say you need all 3 devices to recover the wallet, you need 2 seeds + the 3rd remaining xpub. Since it's multisig and it makes sense to store each backup in different geographical locations, you should have 3 separate locations, each one containing a seed plus the 2 other xpubs.

[@n1mbusmusic606]

recommended reading source?

[@zachcain]

You always have the best shirts. lol. Great tutorial as always!

[@BTCSessions]

Haha thanks man!

[@tomwhalen9252]

Thanks for the great video. Wish you included command line for CORS issues/headers with the MyNode section.

[@harlemsfinest]

To clarify for people: the video says several times that if you don’t have your config backup info, you’ll need all 3 “devices”. However, if you lose a device and still have that devise’s backup seed phrase, your bitcoin isn’t lost.

[@robprice3659]

Thanks Ben. 1) I assume using a ledger/trezor for a multisig has zero implication on the original wallet on those devices? I.E. I'll still access my Trezor wallet as normal. It'll now just has additional functionality as the signer of my multisig...? 2) if you set-up a wallet to connect through your own node (MyNode), what happens if the node goes down? Is there a risk that you can't access your wallet because the physical node stops functioning, or can you easily change the wallets connection node back to the default node? Thanks again.

[@robert6026]

Hi Ben, great vid, 2 questions; first I have old ledger hw1 I believe. Wondered if I could use it as one of the devices. 2 I’m getting up there in age and wondered if you could do a video on legacy storage or something on passing down my crypto if I croak. Lol. Not sure if multidimensional is the answer for that. Thanks

[@JamesRoloff]

Great video! What is your opinion on using a multi-sig provider like Unchained or Casa to help facilitate the setup?

[@BTCSessions]

I think using Unchained as a partial custodian is actually great for mitigating risk of screwing something up on your own!

[@ra803g6]

Can you do a walk through of using third party signatures for their loan product? There is no reference on KZbin. Not even on unchained capitals KZbin.

[@DanielCalatayudFerrandez]

could you sign a multisig transaction remotely ? For example if the hardware wallets are owned by different people in different places.

[@federicoquintela8343]

Great video! Question: Once you create the multisig wallet with Caravan, do you send your btc from each hardware wallet to this new wallet? And just use the hardware wallets to sign transactions, or is it recommended to store btc also in those 3 hardware wallets? Thanks :)

[@harlemsfinest]

It’s been a long time since you asked this, but for newcomers wondering the answer: You have the option to keep bitcoin “on” any one (or more) of the the three devices, and/or the multisig wallet at the same time. What keys hold your bitcoin is up to you. The wallets themselves don’t actually “hold” any bitcoin though, multisig or not. They hold private keys that are used to sign off on spending. All bitcoin is truly stored in one place… the ledger / blockchain.

[@ToBTCoT]

When doing this, I assume the ledgers cannot have any bitcoin on them to start, correct?

[@jeremyperrotta6315]

Can a single sig wallet with a current balance be used for setting up a multi sig, or would all three wallets need to be fresh with 0 balances?

[@fenbeiro]

Excellent video ty!!!😀

[@hashrate207]

Good work.

[@AmandeepSingh-oe4te]

Can you pease make a tutorial on recovery of an electrum multisig account using Caravan or vice versa?

[@encryptedma8230]

So what is safest Electrum with multi-sig or Caravan with multi-sig? I am trying to find the most secure way to store my ₿. Thanks!

[@BTCSessions]

Both will give you the same level of security. Electrum has a bit more versatility in the number of potential devices you can use at the moment. Caravan is a tad more user friendly. I would advise caution with both, as user error will be the biggest danger here.

[@encryptedma8230]

BTC Sessions I highly appreciate the response! Thank you! I just wasn’t sure how Electrum worked. I thought it was a hackable software wallet, but if I setup 2/3 sig then even if it gets hacked, nobody can take anything from it because the funds would need a 2/3 sig to move it. I just need to protect the seed for the Electrum wallet and the devices I am using as a sig correct?

[@BTCSessions]

@@encryptedma8230 yup that's right. Without your devices, the worst a hacker could do is view your balance. As backup make sure you have the seeds of all your devices, along with the wallet file exported from Electrum. I show this in the demo.

[@encryptedma8230]

BTC Sessions you are a life saver! Thank you!!

[@yojd247]

thx for the vid. Good stuff man

[@muaawiyahtucker]

Excellent

[@sl523]

1. Can you use just 1 Ledger device but with 3 different passphrases? 2. Can you change the derivation path to m/84'? Thanks for your informative video, as always!

[@BTCSessions]

Answer to both questions is absolutely yes.

[@sl523]

@@BTCSessions Thanks much!

[@christostsiloglanidis]

Hi Ben, First, thanks a lot for your content! I appreciate the effort you put into it. I had a question. I saw a video of yours on the Coldcard MK3 hardware wallet and I used your link on the shownotes to get it. When it arrived a few days ago, it came in a FedEx envelope with no case or instructions, but the most important was that it came with no USB cable to connect it with my computer. I wanted to say that I didn't like that, considering I paid over $200 US dollars. I got a. the MK3 hardware wallet, b. the 3-pack bundle and c. one SD card for 128MB (isn't 128MB too low?) Is this legit? Thank you though for the discount from the show! Can I at least get a USB cable to connect it with my PC? Please follow up with me, because I do like and follow your show, but I wasn't too happy with this purchase.. Looking forward to hearing from you! Thanks, Christos

[@BTCSessions]

Hey Christos! You're right, the device doesn't come with an instruction manual, as the software and interfaces can vary so much it wouldn't make a lot of sense to have a dedicated pamphlet - which could very well be outdated before the item ever ships. That said, the Coinkite website has a variety of up to date tutorials and walkthoughs. Just to be sure, you bought it from Coinkite, correct? If so, it would have come in a tamper-evident bag with an identification number on it to prevent supply-chain attacks. Regarding the cable, this doesn't come with it because it is technically not necessary. The most secure way to use coldcard is exclusively through the provided SD card doing what is known as PSBTs (partially signed bitcoin transactions). This is what I show in my original coldcard tutorial video. That said, if you have any regular USB to micro usb cable sitting around, this will work just fine with the coldcard if you choose to use it that way. Most phones, cameras and other electronic devices use a cable like this so it's VERY likely you'll have one sitting around the house. If not, they can be grabbed for a few bucks at any store or on amazon. If you have any confusion or concerns just let me know, or alternatively reach out to the guys at Coinkite to see if everything is correct.

[@christostsiloglanidis]

@@BTCSessions Hey, I appreciate the reply! Yes, I did buy it from Coinkite. The wallet itself is in a plastic bag with a barcode and a number under it. Is this the identification number? And how about the SD card? Isn't the capacity too small (128MB)? Or is it supposed to be like that? Thank you!

[@BTCSessions]

@@christostsiloglanidis yup that's the identification number! Regarding the SD card are you sure it's 128mb? Not GB? That does sound small, but the average bitcoin transaction is only something like ~250bytes so it should still be fine

[@christostsiloglanidis]

@@BTCSessions Got it, thanks! As far as the SD card, it came in a separate little bag and it says "Micro SD 128MB industrial Delkin Devices", so yes, it's not GB.. Do you think they made a mistake, because I wrote to them and they told me the wallet doesn't come with a cable but they didn't answer me about the SD card..

[@BTCSessions]

@@christostsiloglanidis the SD card must be correct, since multiple GB would be total overkill. I've only ever used SD cards I already had sitting around so I didn't know what kind they sent.

[@michaellilienfeld4137]

Buy bitcoin.

[@BitcoinAndChess]

So many points of failure and extending trust to wherever the other 2 of 3 wallets will reside. This seems LESS safe than simply using a single Ledger. If my "trusted" family member loses or breaks their Ledger and another "trusted" party forgets their passphrase, I'm screwed.

[@BTCSessions]

Yes, for many the biggest risk here would be user error. I would say at this point Multisig is more of an expert setup where there is extreme risk of theft.