What does private key wallet mean on blockchain? If you are buying cryptocurrencies for the first time, you will get two keys: a public key and a private key. Public key, its role is similar to the email address (which means you can share it safely with others and allow you to send or receive funds); private keys are usually a string of letters and numbers (not shared with anyone) Essence You can treat the private key as a password that unlocks the virtual vault stored in your funds. As long as you (and only you) can access your private key, your funds are safe. Let's focus on what is the role of private keys in the blockchain?

What is cryptography?

The term "cryptography" originated in Greek, originally meaning "secret writing". Over time, cryptography has evolved from intelligence agencies and military compilation and decoding confidential information to become an independent branch of computer science. Similar to the Internet, the origin of cryptocurrencies can be traced back to academic and military cases, and eventually expand to the private field.

People participating in this campaign call themselves "password punk", and since the late 1980s, they have advocated to turn to better privacy and control of our data.

The origin of cryptocurrencies can be traced back to academic and military cases, and ultimately expand to the private field.

What is a private key?

Private key is a secret number used in cryptography, similar to passwords. In cryptocurrencies, the private key is also used to sign the ownership of transactions and proof of the blockchain address.

The private key is an indispensable part of Bitcoin and cottage coins, and its security composition helps protect users from being visited by theft and unauthorized funds.

The key points of the private key

Private key is a secret number used in cryptography and cryptocurrencies.

The private key is a large random number, with hundreds of digits. For briefly, they usually represent the letter numbers.

Cryptocurrency wallet consists of a set of public addresses and private keys. Anyone can deposit cryptocurrencies into the public address, but without corresponding private keys, they cannot withdraw funds from the address.

Private key represents the final control and ownership of cryptocurrencies. It is essential to prevent the loss of personal keys or leakage.

What is the use of private keys?

The private key is only used to prove that you are the holder of a specific cryptocurrency address. When you control your private key, you have the right to trade and spend the assets held by the address. Private key is something you should never share with individuals or entities; in fact it is called a clue of the private key.

What is the private key?

Among Bitcoin and many other cryptocurrencies, the private key is a 256 -digit number, but this is not the format it displayed. 256 digits are expressed in hexadecimal -a simpler form.

The example of the private key is:

E9873D79C6D87DC0FB6A5778633389F4453213DA61F20BD67FC2333262

*This private key should not be used under any circumstances*

In the early stage of Bitcoin, you will have a private key to be associated with a public key and an address. This is unrealistic and easy to ensure safety. Since then, many BIP (Bitcoin improvement agreements) have emerged to improve the user experience. Today, the wallet has created its own roots and represented by another letter.

From this root seed, the infinite private key can be exported. This is too complicated for a good user experience, so many improvements have been made since the early days. Root seeds are too long numbers, so we use a better system. We use notes to help memories or record our roots.

What is the difference between address, key and wallet?

There are many misunderstandings about the differences between address, key and wallets. To explain this theme more clearly, let us understand their characteristics one by one.

address

The address is a set of random numbers and letters, representing a unique number like a bank account. For example, this is the Bitcoin Creation address -the first Bitcoin address ever ever ever: 1A1ZP1EP5QGefi2DMPTFTL5SLMV7DIVFNA.

The difference is that anyone can create a address for free within a few seconds without a third party. You can create any number of public addresses as needed.

You can freely share your public address with others. In this way, people can send cryptocurrencies to your address.

Because Bitcoin or Ethereum network is not anonymous but pseudonym, anyone who knows your public address can view your assets and transactions.

key

There are two types of keys: public key and private key. The public key is similar to an account. They can be freely shared with everyone, and anyone can send them to them.

On the other hand, as the name suggests, the private key should be kept secret. You can regard them as a PIN or verification code, and a grant to you to access the permissions of the actual funds on the blockchain with the corresponding public key.

In any case, you should not share your private key with anyone else. It is best to store them in the safest way (for example, in paper wallets or hardware wallets).

Please note that the key is not stored on the blockchain. Instead, they can be saved in a (encrypted) file, and the file can be saved anywhere and stored offline.

wallet

You can regard your wallet as a encrypted virtual key series, which contains all the information you need to access your funds on the Bitcoin blockchain. Wallet knot merged contains your address and digital key.

The simplest wallet form is a document containing the database. It can also be stored offline because it does not need to be connected to the actual blockchain.

How does the private key work?

The private key is just the way you say "this address is mine, I can access it". Coins are stored on the blockchain instead of in your private key. The key is stored in a wallet, so the coins are not stored in cryptocurrency wallets; a common misunderstanding.

You don't necessarily need a wallet to store your key. However, it is quite dry to not take sufficient security measures. For most users, it is recommended to store private keys in a reliable wallet.

In order to use cryptocurrencies for transactions, you need to prove that you are the holder of the address. This is proven by the holder of the private key. At first, it seems logical to broadcast your private key in some way, but this is not the case. Your private key will never be broadcast.

Public your key to disclosure your private key in some way to violate the purpose of privacy and encryption. You use a special equation to transmit the signature generated by your private key. Fortunately, this is automatically completed. Cross -check is very easy and make sure you can sign at will.

Each private key generates a public key. The public key is a completely safe*broadcast. You need to do this to receive funds from another sender. You can easily derive the public key with a private key, but this function is almost impossible.

This will require unpredictable computing capabilities. Simply expressing this process, it is easy to calculate how 6983x3793 is. However, if I ask the sum of the two prime numbers to be 26,486,519, it is impossible. It is also impossible to try to use the public key to calculate only the public key.

*However, you should not share the public root key

How is the private key generated?

For simplicity, the private key is generated by a random number generator. You can even do it yourself! The private key is a 256 -digit number. This means that it represents 256 0 or 1 numbers in the form of binary. In general, this means (almost) 2^256 private key combinations.

For simplicity, this number can also be expressed as 10^77. For the purpose of the four houses, these numbers are almost the same. Once again, fortunately, most wallets can press the button to generate a private key list for you.

Is it possible to generate duplicate private keys?

Given that the private key is randomly assigned, in fact, both wallets can provide the same private key. As mentioned above, the number of private key combinations is represented by numbers 10^77. This is 77 zero after 10! In contrast, there are about 10^18 sand on the earth.

This is an unfathomable number, so you must believe in our words -this is almost impossible. 

Why use a dual key system such as Bitcoin and other cryptocurrencies?

The basic concepts behind the dual key system are as follows: The public key allows you to receive transactions, and the private key is necessary to send an exchange. When we look at how this clever system is actually working, it becomes a bit complicated.

The use of two different keys (public key and private key) is called asymmetric encryption, which is an important aspect of the blockchain. These two keys are related to each other in mathematical terms.

The only public key originated from the private key. This connection allows users to create an irreplaceable signature, which can only be verified by other participants who know the corresponding public key.

Use two different keys -a public key and a private key -called asymmetric encryption.

Public key and private key control your cryptocurrency

How the public key and private key work are the basis for understanding how cryptocurrency transactions operate. When you say you have cryptocurrencies, what you really say is that you have the private key to prove the ownership of the cryptocurrency. Since it is stored on the blockchain, anyone can use your public key to verify that you are the owner.

Choose "holding your own key" or trust the custodian depends on your philosophy, risk tolerance and many other factors. If you hold your own private key, consider using a modern HD wallet, it can manage your private keys well and remember never to share them. If you choose a custody solution like a exchange, make sure you choose a trusted and reputable company that attaches great importance to safety and supervision.

How to store your private key

In the end, it is important to emphasize that you must keep your private keys or assistant words, or keep confidential at the same time. Stay it down and store it in multiple places, because if you lose or fall into the hand of the bad guy, it will not be recovered. Do not take a screenshot or take pictures with your mobile phone, because these number copies often become the goal of hackers.

What is the best way to store private keys?

The private key can be stored on a computer or mobile phone, U disk, special hardware wallet and even a piece of paper. The ideal storage form will depend on the frequency of you plan to use cryptocurrencies. The protected mobile phone or computer is the most convenient way to store daily cryptocurrencies. For long -term or "cold" storage, the private key should always maintain an offline state, preferably on equipment that has never been touched by the Internet. Even printers may be damaged. Hardware wallets can promote cold storage by signing transactions in a manner without damage to the private key.

The above content introduces the meaning and role of private keys in the blockchain. The private key grants the capital ownership of cryptocurrency users to the fund ownership on the given address. The blockchain wallet can automatically generate and store the private key for you. The private key guarantees the security of personal virtual assets and must be kept properly. Once you forget or lose, you may not be able to find your assets.