Create 4 independent wallets within 1 Cypherock X1

November 07, 2022 7 min read
Create 4 independent wallets within 1 Cypherock X1

As Web3 expands, there are numerous blockchains trying to solve the blockchain trilemma in their own different ways.

Wallet Trilemma

The rise in the number of blockchains leads to an eventual increase in the number of wallets, and with it, the concerns of securing multiple seed phrases.

Having multiple wallets can be frantic, simply because the user needs to safeguard all the recovery phrases for each individual wallet, losing any seedphrase could lead to the loss of all the funds stored in that wallet.

Other problems revolve around accessibility issues. Using multiple wallets leads to the dilution of portfolio funds into multiple wallets that are usually stored separately and not always readily accessible. As the user could have multiple wallets stored on multiple desktops and find it difficult to keep all of them accessible at all points in time.

Cypherock allows you to have 4 separate wallet accounts in your single Cypherock X1. The wallet account is created in such a way that each wallet account has a separate seedphrase and each wallet account acts as an individual hardware wallet. Each wallet uses the Hierarchical Deterministic (HD) Wallet algorithm in accordance with BIP44 to create a new wallet set, each with a different seed phrase.

Having four hardware wallets in one opens up an array of possibilities:

Using Cypherock X1 as a Seedphrase Vault

Having multiple software and hardware wallets can be frustrating since all these wallets have a recovery phrase. These seed phrases are the end solution, what that means is, they are only required when the user has lost all options to recover his funds. This highly scarce usage frequency of these phrases rises the probability of losing the phrases to possibilities like worn out recovery page, fire, spillage, earthquakes or worst lost or stolen.

With Cypherock X1, you can back up up to four of your seed phrases of any of your BIP39 supported existing hardware wallets like Metamask, Ledger, Phantom Wallet, Trezor, etc.

Interested in learning more about how to use Cypherock X1 as a seed phrase vault? Read the blog here.

Manage Multiple Portfolio

Investors tend to have multiple portfolios that they may need to manage at once. The current model requires users to use various platforms, connect various wallets, and eventually view their portfolio in its entirety. Additionally, users end up buying multiple hardware wallets and assign each hardware wallet to a separate portfolio, which further complicates portfolio management.

With a single Cypherock X1 device, users can create up to 4 independent wallets that can be managed from one single place - Cypherock’s desktop application CySync.

Read here how you can manage your crypto portfolio, across wallets using Cypherock.