The BAGGS Field Guide to Self-Custody
Welcome to self-custody in style.
If you’re getting ready to sport your device in a sick BAGGS accessory, we salute you. We’ve prepared this field guide to help you talk about self-custody when you’re inevitably bombarded with complements and questions about your extra cold hardware wallet.
Here’s how the convo typically goes:
What’s in the BAGG?
My Ledger hardware wallet! It’s a device that generates the keys necessary for me to access my address on the blockchain, where I can securely store my crypto, NFTs, and other digital assets.
So all of your crypto and NFTs are on that device?
My crypto isn’t actually on this device. It’s stored securely at my public address on the blockchain, and this device generates my unique private key so that I am the only one who can access and control my assets.
What if you lose it or it gets stolen?
Losing your Ledger is more secure than losing your credit card! Unlike a credit card, your Ledger is secured by a PIN code, and it factory resets, or “bricks”, if the code is entered incorrectly 3 times. As long as you store your recovery phrase, or seed phrase, somewhere safe, that only you have access to, you don’t need to worry about losing your device because you can replace it and restore your keys onto the new device.
Watch: Losing Your Ledger with Ian Rogers, CXO of Ledger
Why not just use a software wallet like Metamask?
Software wallets simply aren’t secure. Web2 devices like laptops and phones aren’t designed for the web3 ecosystem, and can be hacked and exploited. Period.
… or keep your assets custodied on an exchange?
Ever heard the phrase, ‘not your keys, not your coins’? Or maybe you’ve seen the #NYKNYC hashtag on Crypto Twitter?
While custodied exchanges, like Coinbase, allow you to keep your crypto on their platform, it’s not really your crypto. Whoever holds the keys, owns the crypto, so if you’ve given up control of your crypto to the exchange, they can do whatever they want: including seizing your assets, freezing withdrawals, or lending out your coins without your permission. Need examples? Think Celsius, FTX, Blockfi, etc. Don’t trust others with your value — self-custody your assets and trust yourself.
What is self-custody?
Self-custody is the act of taking sole possession of your assets. The idea of being your own bank and the sole owner of your value is foundational to crypto and blockchain. Crypto is decentralized, permissionless money. It’s about giving the power to store, save, and exchange money, back to individuals, without the need for centralized gatekeepers. As web3 continues to evolve, we will evolve with it. The digital economy is expanding beyond cryptocurrency and collectibles— in the future, your identity will be digital too. Self-custody will be the only way to have full ownership over your life, so start out on the right foot and start self-custodying now.
Sometimes, people will be excited about what you’re saying. Other times, they’re going to disagree with you. But that’s ok, everyone is entitled to their own opinion and journey when learning about web3.
Want more info? Check out this short video series by Ledger that covers security, hackers, self-custody, and more. Or, if reading is more your thing, Ledger Academy has you covered.
Now, go and spread the good word.
Love,
Monty
Creator of BAGGS
