Wallets vs Vaults - which are better?
What is the difference between Wallets and Vaults? Why you need both Wallets and Vaults for back up and inheritance.
What is Vault12?
The Vault12 app is an intelligent digital vault that knows how to back up and inherit your digital assets like passwords, PINs, seed phrases, private keys, files associated with your NFTs, and digital artwork. Basically, everything that you know and love in the world of Web3.
What is the difference between a Wallet and a Vault?
One of the questions that we get a lot of is, what's the difference between a wallet and a vault?
So basically a wallet which is initialized using a seed phrase or a private key, interacts with the blockchain and allows you to send and receive, buy and sell cryptocurrency. It enables you to sign transactions on the blockchain.
So very much a lot of transactions and interactions with the blockchain.
A Vault on the other hand is completely inert. It's completely separate. There are no transactions going on. It's simply a place to store valuable things like seed phrases, passwords, private keys, and digital art.
So a Vault is completely different from a wallet.
Why do you need a wallet and Vault?
There are three reasons.
- The first reason is backups. It's very important that you've backed up your precious assets, whether they're pINs or passwords or seed phrases or artwork, and that everything has a backup and is available to you should you need to access it.
- The second reason is inheritance. It's very easy to lose track of assets that you need to pass on to the next generation. So having a single inventory in one place with all of your digital assets, all of the instructions, the PINs, the passwords, the seed phrases, private keys, digital artwork that you want to pass on in the case of incapacitation, or when you pass, having that in one place and having a mechanism to smoothly transfer is really, really important.
It's not something you're going to be able to do with a wallet.
- The third reason is centralized services are prone to loss. We've seen this time and time again every year for the last decade. They're subject to fraud. They're subject to hacking. They're subject to companies going bankrupt and people losing all of their assets.
So if you're interested in having a backup, in having inheritance that works with whatever your trust & estate's attorney wants you to do, please, please, please make sure you have a backup and make sure ou've created a vault, and you've downloaded the Vault12 app from vault12.com/download.
Next Up From Vault 12
Inheritance and self-custody for CryptocurrencyVault12 Explainer
Vault12 Product Demo
Vault12 Digital Inheritance is the first solution to offer a simple, direct, and secure way to ensure cryptocurrency, NFTs and other Web3 digital assets can be inherited by future generations.
Digital Inheritance enables investors to designate an individual or a mobile device as a guardian that will inherit their entire portfolio of digital assets inside a secure digital Vault once the time comes, eliminating undue risk and the need to continually update an inventory or issue updated instructions which result in privacy leakage.
Designed to be used alongside traditional hardware, software, and online wallets, Vault12 helps cryptocurrency owners, professional crypto traders, and high-net-worth investors safeguard their digital assets without storing anything in the cloud or in fact, any one single location. This increases protection and decreases the risks of loss.
The Vault12 app enables decentralized self-custody, back up, and provide legacy inheritance for all your web3 digital assets, including NFTs, wallet seed phrases, secrets like keys, PIN codes, DAO project keys, and digital art.
Whether your digital art is suitable for a phone, or represents much higher resolution multimedia, make sure that you have backed up a copy in case the resource link is disrupted in the future. Digital art can easily be added to the Vault either via the mobile app or via the desktop utility. Once you have stored your artwork in your Vault, it will also benefit from inheritance once you activate that in your app.
As a creator you can use Vault12 to safeguard not just your NFT and crypto wallets, but also original digital artwork. Project creators will always have to deal with multiple wallets - inventory, treasury as well as future royalty wallets.
Vault12 safeguards your project assets, increasing protection and decreasing the risks of loss, whilst ensuring that everything is ready to go to be passed onto future generations, when the need arises.