Before using Coinosh, there are several important aspects to consider and know:
Control of Funds: With a non-custodial wallet like Coinosh, you have complete control over your funds. Unlike custodial wallets or exchanges where a third party holds your funds, Coinosh allows you to manage and control your own private keys and wallet addresses. This also means if you ever misplace your seed phrase, Coinosh cannot recover them as we do not have such access.
Self-Custody: Coinosh gives you the ability to be self-custodial. This means you are responsible for the security and storage of your private keys and recovery phrase. It's essential to keep this information secure to prevent unauthorized access to your funds because, as earlier said, Coinosh cannot recover them.
Decentralization: Coinosh relies on blockchain technology, which is distributed across a network of nodes. This decentralization ensures that no central authority has control over your funds or can restrict your transactions.
Wallet Backup: It's crucial to create a backup of your wallet's recovery phrase. This recovery phrase is a set of words that can be used to restore your wallet on a new device or in case of loss. Keep your recovery phrase secure and accessible only to you.
Privacy: Coinosh offers a certain level of privacy as we do not require you to provide personal information to use the crypto wallet. Your transactions are pseudonymous and recorded on the blockchain, but your personal identity is not directly linked to them. We might require some personal information for you to create Naira wallet.
Responsibility: As a user of a non-custodial wallet, you are responsible for your own security and the management of your funds. It's important to stay informed about security best practices, such as using strong passphrase, and keeping your seed phrase secure.
Freedom and Autonomy: Non-custodial wallets like Coinosh offer you the freedom to manage your funds without relying on a third party. You have the autonomy to send, receive, and control your cryptocurrencies on your own terms, your account cannot be frozen.
Understanding these aspects of non-custodial wallets will help you navigate the Coinosh wallet and take full advantage of its self-custodial features. It will also give you the awareness that you need in terms of security.