How is Bitkey more secure than a mobile app for storing Bitcoin?

00:01 hey everyone uh someone asked me this 00:03 week uh how is bit key which is this 00:06 little device right here it's about the 00:08 size of my year I suppose how is bit key 00:11 more secure than storing uh Bitcoin on a 00:14 website or a mobile app such as uh 00:17 PayPal or venmo or cash app or Square or 00:21 Robin Hood or coinbase or any of those 00:23 things so let's talk about that all 00:25 right so the first way is that security 00:29 involves here I'll keep it to the video 00:30 so hopefully the uh the preview will 00:32 show it uh security involves one of 00:35 three things uh one something you know 00:38 such as a password two something you 00:41 have such as your smartphone or a chip 00:44 and a credit card or something like that 00:46 or a key like a physical metal key or 00:49 something you are like a fingerprint or 00:53 the shape of your face for a face scan 00:55 or something like that so why is a bit 00:58 key this thing I'm holding here um why 01:00 is bitkey more secure than a mobile app 01:04 well let's talk about how mobile apps 01:06 secure your Bitcoin uh they typically 01:08 secure your Bitcoin using a password and 01:11 also two-factor authentication which is 01:13 a code that they send to your phone 01:16 sometimes uh it's actually more secure 01:19 rather than just a code to your phone to 01:21 use an authenticator app like um there's 01:23 a a variety of them Microsoft has one 01:25 Google has one uh aie has one there's a 01:28 variety of them um but uh an 01:30 authenticator app is uh gives you a code 01:33 so it's two- Factor authentication one 01:35 of those which is your password is 01:37 something that you know which is your 01:39 password um one of those is something 01:42 that sort of is a substitute for 01:44 something you have like a code on your 01:46 phone uh but the problem is the code on 01:49 your phone goes to whoever controls your 01:51 phone number so if somebody can sweet 01:53 talk a um your uh service provider your 01:57 cell phone service provider into giving 01:59 them a code 02:01 uh or sorry into porting your number to 02:02 a new device then they have the ability 02:05 to uh get the code when you don't have 02:08 it so if um if you have uh you know 02:12 T-Mobile AT&T Verizon um anyway Cricut 02:16 whatever you got if somebody calls that 02:18 service provider and is able to sweet 02:20 talk them into uh porting your number to 02:23 their device that means when the 02:25 two-factor authentication is triggered 02:27 that the two-factor authentication will 02:29 come to a device they control control 02:30 rather than you control so as a result 02:33 of that um it's you know potentially 02:35 dangerous and even if you use an 02:37 authenticator app like Google 02:38 Authenticator if it's tied to your 02:40 Google account and someone gets access 02:42 to your Google account then if your 02:44 authenticator app uh is backed up to 02:46 your Google account what that means is 02:49 your authenticator app is going to be 02:51 able to be uh sort of regenerated by a 02:54 hacker so um and you should always 02:56 assume that a uh your password for any 02:60 device or sorry any service or website 03:03 will get leaked uh and the reason for 03:05 that is that hackers are just very 03:07 clever at giving you to getting you to 03:09 accidentally enter your password they 03:11 send you emails saying uh click here to 03:13 authenticate to confirm your password 03:16 they uh often will reach out to you 03:18 saying that you've received a fraudulent 03:20 charge on your credit card or on venmo 03:23 and you need to log into this website to 03:25 cancel the charge anyway p uh hackers 03:27 are just very very very good at getting 03:30 you to accidentally copy and paste your 03:32 password into someplace you shouldn't or 03:35 to um enter your password somewhere you 03:37 shouldn't or to somehow get access 03:40 through some hacked website to your 03:42 password and if you use the same 03:44 password on any two websites then if 03:46 they hack one they get access to the 03:48 other as well so as a result of that you 03:50 should always assume that your passwords 03:52 even though they should all be unique 03:54 and you should be using a uh password 03:56 manager app uh even though uh all of 03:59 that is true you should assume that that 04:01 is only your first line of defense and 04:03 that your password will ultimately you 04:05 need to assume it's at risk so two 04:07 Factor authentication like a code that 04:09 is sent to your phone or on 04:10 authenticator app is fantastic and most 04:13 of the time that is plenty of security 04:16 and for most websites and everything 04:17 else uh that is good enough so uh why 04:20 then does something like bit key this 04:22 incredible little device here that I'm 04:23 holding again that's that's the size of 04:26 it it's about the size of my it's 04:27 smaller than my palm in uh real life it 04:29 actually looks smaller than it it looks 04:30 on the video um here I'll show you if a 04:34 on my palm it's there you go it's just a 04:38 very small little thing that's uh anyway 04:40 so the bit key device gives you uh the 04:44 uh uh security not just of something you 04:46 know but something you have and 04:48 something you are so in order to use bit 04:51 key uh you have to uh once you move your 04:54 Bitcoin to bit key which is super simple 04:55 it only takes a minute or two super 04:57 super simple in order to move the 04:59 Bitcoin you have to have something you 05:01 know which is a password uh something 05:04 you have which is the bit key device and 05:07 something you R which is the fingerprint 05:10 reader which is this little uh place on 05:12 the bit key device so if I put my 05:15 fingerprint on the bit key device um it 05:17 will there you go it will turn green if 05:20 it's got the right uh fingerprint now 05:22 this is a demo device and I just set it 05:24 up with my left thumb uh for this demo 05:26 device purposes because then I could use 05:29 my left hand hold the device and the 05:31 right hand to hold my camera uh and it 05:33 was just easier that way um so anyway 05:36 but um it's only paired you can pair it 05:38 to up to three fingers which allows you 05:40 to pair it to for example uh one of your 05:43 fingers and maybe one of your 05:45 significant others fingers so that in 05:47 case you pass away or something like 05:48 that there's a way that they can unlock 05:49 it even though there's incredible 05:51 recovery uh uh built in so even if you 05:54 do um you know there's there's a million 05:57 ways where if you lose the device you 05:59 can um you know you can restore the 06:01 password with a recovery process through 06:03 block the company that makes this which 06:05 is uh Square uh they make payment 06:07 Terminals and it's run by Jack dorsy one 06:09 of the uh co-founders of Twitter um so 06:11 anyway you can uh if you lose the device 06:14 you can restore uh through a 7-Day 06:16 waiting process with a lot of 06:17 authentication if you lose your phone 06:19 you can do the same thing with the 06:20 device and if you lose your device and 06:23 the phone uh bit key device and your 06:24 phone simultaneously you can restore 06:27 using an encrypted copy of your password 06:31 that is stored in your iCloud account 06:33 and that has to be authenticated by one 06:35 of your trusted contacts to make sure 06:37 that even if your iCloud account is 06:39 hacked that nobody has access to it so 06:41 essentially the uh the tagline of bit 06:43 key is easy to use hard to lose and they 06:46 have absolutely nailed that they've made 06:47 this device incredibly easy to use and 06:50 literally nearly just completely 06:52 impossible to accidentally lose your 06:54 Bitcoin so uh the reason using bitkey is 06:57 more secure is to move your Bitcoin 06:60 requires three things something you know 07:02 a password something you have the bit 07:05 key device and something you are which 07:06 is a fingerprint reader and it is 07:08 virtually impossible for a hacker to get 07:11 access to all those three things it's 07:13 just virtually impossible now that does 07:15 not mean you can't get conned or scammed 07:18 by somebody convincing you to move your 07:21 Bitcoin but they have to convince you uh 07:24 to send the Bitcoin to an address put 07:27 your fingerprint on the fingerprint 07:28 reader um 07:30 and then uh unlock the device they have 07:33 to you know convince you to hold it to 07:35 the back of your phone and then you have 07:37 to have your password to access it so 07:39 the probability that a hacker is going 07:40 to be able to do all of those things 07:42 without you is zero because they 07:44 actually need the physical access to the 07:46 bit key device and they don't have it uh 07:48 and the probability that um that they 07:50 can convince you to do that is much much 07:53 much much harder than convincing you uh 07:56 to accidentally give up your password 07:58 somehow and then convincing your service 08:00 provider to do what's called The Sim 08:02 swap which is when they Port your phone 08:04 number to another phone um so as a 08:06 result of that having Bitcoin stored in 08:08 the bit key device is more secure than 08:11 having it on Robin Hood PayPal uh vinmo 08:15 cash app uh coinbase um uh all of them 08:19 and you know it's just nothing is as 08:21 secure as this now a good in between 08:25 step is coinbase has something called 08:27 coinbase Vault which allows you to put a 08:30 48 hour lock on bitcoin so you can take 08:32 between I always recommend between 70% 08:35 and 90% of your Bitcoin is in Cold 08:38 Storage so if you're using coinbase you 08:40 can use the Vault feature and then in 08:41 order to move the Bitcoin there's a uh 08:44 48 hour waiting period so if somebody 08:46 does hack your account you're getting 08:47 multiple alerts saying hey we just want 08:50 to confirm you do want to move your 08:51 Bitcoin are you sure so that way you can 08:54 just cancel it if you get uh you know a 08:56 hacker gets access to your account or 08:59 you something like that that you have 09:00 the ability to cancel it uh before the 09:02 Bitcoin actually moves with that 48 hour 09:04 waiting period but still nothing's going 09:07 to be as secure as a physical device 09:09 that requires you that something you are 09:11 a fingerprint something you have a bit 09:14 key device and something you um um you 09:18 you know which is a password uh so 09:20 anyway so for all those reasons bit key 09:23 is is the most secure thing out there uh 09:25 there are ways to secure other accounts 09:28 for example uh coinbase support UB key 09:31 and uh things like that but again it's 09:32 you're just never going to get as secure 09:35 as something like bit key uh especially 09:38 if what you care about I I guess maybe 09:40 the caveat here is especially if you 09:42 want complete control of your money so 09:45 anytime someone else controls your money 09:48 they have the ability to turn it off or 09:50 they have to uh are require could be 09:52 required by a judge or something like 09:53 that to um you know to uh to not allow 09:57 access to funds if there's a lawsuit or 09:59 dispute or they can get an order from a 10:01 judge to freeze or something like that 10:03 any platform you keep your Bitcoin on is 10:05 required to comp uh comply with things 10:07 like that and so you could just wake up 10:09 one day and find out that you're not 10:11 allowed to move your Bitcoin even though 10:13 you thought you were uh and with 10:15 something like bit key uh you don't have 10:17 to worry about that because it's called 10:18 Uh self- custody which means there's 10:20 literally nothing in the world that can 10:21 keep you from moving your Bitcoin if you 10:23 want to move your Bitcoin um it's just 10:25 self- custody is completely uh 10:27 autonomous and independent and there's 10:29 no way to stop it uh whatsoever without 10:32 sort of physically arresting you or 10:34 something like that um so anyway um it's 10:36 just it's a great way to uh avoid 10:38 scammers avoid hackers and avoid a 10:41 situation where your Bitcoin you know 10:43 wires get crossed or your name ends up 10:45 on uh you know some list because it's 10:47 similar to a name of somebody else and 10:49 suddenly you you know temporarily have 10:51 your funds Frozen or something like that 10:53 so um anyway for a bunch of reasons uh 10:55 bit key is safer and more secure than 10:58 any other option uh which is why 10:59 recommend it to people um one thing that 11:02 does happen when people first put put 11:04 Bitcoin on something like bit key is if 11:06 they're comfortable with another 11:07 platform it always makes them a little 11:09 nervous they're they always feel like 11:10 wait I'm moving my Bitcoin over but this 11:13 thing just doesn't feel like what I'm 11:14 used to well that is totally normal um 11:17 but if you know I guess if it gives you 11:19 any comfort uh the the the company 11:21 behind it again is a very very reputable 11:23 publicly traded company which is the 11:24 company Square formerly know or block 11:27 formerly known as Square um and you just 11:29 have more you the the likelihood you're 11:31 going to wake up one day and think uhoh 11:33 something's wrong with my Bitcoin is 11:35 just lower if it's secured in a way that 11:37 you are the only person on the world 11:39 that can control nobody can stop you 11:41 from moving it nobody can stop you from 11:43 spending it you know it's just 11:44 completely self- custody and to move it 11:47 requires something you are something you 11:48 have and something you know all three 11:51 which is a hacker's worst nightmare a 11:53 hackers worth nightmare is having to try 11:55 to hack something that is using 11:57 something you are something you have and 11:59 something you know which is the way 12:00 bitkey does it um a a hacker's dream is 12:04 for a username and password to be the 12:06 only way that they need to move your you 12:08 know to move Bitcoin because they will 12:10 eventually get that password one way or 12:12 another if they try hard enough and so 12:14 um anyway so their dream is to have that 12:17 um you know as a as a backup they're you 12:20 know they they don't you know they they 12:23 have to work way way way way way harder 12:25 to try to get your uh your phone number 12:27 Sim swapped so that the two-factor 12:29 Authentication comes to them instead of 12:31 to you or they have to try to scam you 12:33 by being on the phone with you and 12:35 convincing you to read them the the 12:37 two-factor authentication code uh which 12:39 is typically what they'll do they'll try 12:40 to get you to read the two-factor 12:42 authentication code um if they have your 12:44 password they'll call you and they'll 12:46 try to scam you into reading the 12:48 two-factor authentication code to them 12:50 even though the text message that you 12:51 get from vinmo will or wherever else 12:53 will say do not read this code to anyone 12:56 uh people still do it because they're 12:57 live on the phone and they don't read 12:59 you know don't read the text message 13:00 that comes through they just read the 13:01 code to the person on the phone uh but 13:03 again if you got something like bit key 13:04 you don't have to worry about that 13:05 because uh moving your Bitcoin is uh 13:08 again requires something you have 13:10 something you know and something you are 13:12 which is the most secure way to secure 13:14 stuff and in the case of bit key it 13:16 gives you complete and total self- 13:17 sovereignty over your Bitcoin so uh if 13:20 it feels sort of foreign or you're not 13:22 sure because you think you know this 13:24 just feels so new and so different then 13:26 I would say a that's totally normal and 13:28 B starts small move a little bit of your 13:30 Bitcoin over get comfortable with it get 13:32 comfortable with the features of bitkey 13:34 uh get comfortable with how it works 13:36 read about it on their website read 13:38 about it in their frequently asked 13:40 questions until you get more comfortable 13:42 and as you get more comfortable move 13:44 more of your Bitcoin over to bit key as 13:46 your comfort level builds which frankly 13:48 is the exact same way that people onramp 13:50 to bitcoin right I mean nobody wakes up 13:52 one day and buys you know converts all 13:54 of their you know savings and net worth 13:56 into Bitcoin uh Nobody Does that all at 13:58 one time in my case for my liquid assets 14:01 I've got 96% in Bitcoin and the other 4% 14:05 are in stocks bonds 14:21 and get there all at one time I got 14:23 there little by little uh over the 14:25 course of uh you know 7 years since 2017 14:28 it's now 202 for so I got to 96% Bitcoin 14:32 uh total and you know the vast majority 14:34 of that is in Cold Storage uh it is not 14:37 on a you know website or app that could 14:39 be hacked by someone somewhere else um 14:41 but anyway but that level of my net 14:44 worth was put in Bitcoin little by 14:46 little and the same way with where 14:48 Bitcoin is uh once you have a lot of 14:51 your net worth 15:07 uh hope this helps as always hit me up 15:08 with any questions text me 15:10 60207 0813 if you have questions again 15:15 60127 15:17 0813 uh bitkey bit T ke y. World w rld d 15:23 uh bitcoin. world is the website um and 15:27 uh anyway I think it's the great the the 15:29 the best sort of ultra secure Cold 15:31 Storage solution for Bitcoin that you 15:33 don't plan to need to move in at least 6 15:36 months 15:50 or so that's your quick video for Friday 15:54 night on bit key why it's awesome why 15:56 you should use it and why something like 15:58 bit key that requires you to know 15:60 something have something and uh be 16:02 something which is your fingerprint uh 16:04 is more secure than uh than any app or 16:07 website uh could be and it also enables 16:10 you to be completely Sovereign as in you 16:12 are your own bank and nobody you know 16:14 controls your bit Bitcoin but you and 16:16 you can do whatever you want with it 16:18 whenever you want to um so anyway that's 16:21 the 16:36 really really well designed and again if 16:38 you're worried about losing your Bitcoin 16:40 they they designed the bit key device 16:42 where it's I mean literally nearly 16:45 completely impossible for you to 16:47 accidentally somehow lose your Bitcoin 16:49 they thought of everything everything 16:51 you could possibly do wrong they built 16:53 in some sort of unlock mechanism that it 16:56 might take a week to do with a 7-Day 16:58 waiting period but virtually anything 16:60 you could possibly do wrong with Bitcoin 17:02 they thought of and they built in an 17:04 elegant and safe way uh after a 7-Day 17:06 waiting period for you to recover from 17:09 whatever misstep you might take but they 17:10 made this thing really so easy to use 17:12 that that shouldn't be a problem so 17:14 enjoy your Bitcoin Journey I'm always 17:15 here for questions if you have them 17:16 thanks