How do I store a bitcoin multisig wallet configuration file?
We do not recommend storing a copy of the configuration file long-term.
In bitcoin multisig, you don’t just need to protect your keys, you have to also protect your wallet configuration file. Your multisig wallet config file contains crucial details that describe how the wallet was constructed and allows you to recover your funds completely outside the Unchained platform using our open-source multisig wallet configuration software, Caravan.
How to store your multisig wallet configuration file
Warning: Downloading configuration details for your vault is a security-sensitive operation. Anyone with this file or information can see your balance and move bitcoin if they also have your keys. Do not store this file in online or cloud-connected storage.
Because of the sensitive nature, Unchained has currently locked this feature. Contact our Client Services team to schedule a video verification so we can manually enable it.
Handling your multisig wallet configuration file safely is important. While it can reveal private information such as your transaction history and address balances, it cannot be used to spend funds by itself. In fact, to spend funds from a multisig wallet, you need two of three keys and the multisig config file to reconstruct it. However, we have seen an increase in scam attempts where thieves steal your wallet configuration file in an attempt to take your bitcoin.
Unchained does not recommend that most clients download and store the wallet configuration file. Advanced users may consider using the file for external recovery in Caravan or Sparrow.
Keep it on an SD card or USB flash drive (Recommended)
If you must store your wallet configuration file long-term, keep it out of cloud backups like Google Drive, One Drive, iCloud, etc. Using removable storage allows you to physically disconnect the storage from your computer. Keep the storage device in a secure location like a locked home safe. Do not store the configuration file in the same location as your bitcoin keys.
Keep it in a secured password manager
Password managers typically back up to the cloud. This can introduce a security threat if the password manager itself is compromised or your signin credentials are hacked. If you choose to use a password manager, enable any additional security features like two-factor authentication, passkeys, or the requirement to retype your master password to access the configuration file.
There are many different products that can accomplish this, but two examples are LastPass and 1Password.