One Bitcoin user shared his story about losing more than $ 100,000 in BTC during a wallet transfer. The bitcoiner tried to transfer a wallet to a new computer without ensuring that it had access to the encryption passwords tied to its private key store.
The password manager did not store any passphrases required to access its private keys
According to the testimony published on Reddit, the crypto user known as “Onnar” said he lost access to 2.6 BTC by transferring his wallet to a new computer purchased over the Christmas holidays.
He wiped the hard drive of his old computer, which he only wanted to use for work-related matters. However, he did not check the password manager that he used to store the passphrases required to access the wallet’s private keys.
Onnar stated that he had already encrypted backups of his private keys on two USB drives that were stored in different locations. He then inserted one of the USB drives into the computer to check that everything was saved properly. He later found that this was not enough.
Could a hardware wallet have prevented this error?
Although the crypto user admitted that a ledger device would be more convenient than handling their bitcoins, at the time they didn’t believe their method was any less secure. Onnar continued:
Let’s start with BTC. To import the private key, I just have to decrypt the file from one of the two USB drives and … well … just import … The terminal now asks for … the password. No problem, I have all of my passwords in my password manager that I trust 100%. I go to my password manager to get it and … it’s not there. No mention of a BTC password to be found anywhere. I spend the next 30 minutes checking and checking again, but it’s not there.
The bitcoiner made a mea culpa of the incident, admitting it didn’t know that passwords weren’t automatically saved in the manager.
In closing, he took full responsibility for missing bitcoins worth over $ 100,000 according to the latest data from Markets.Bitcoin.com. He concluded:
It’s 100% my fault anyway.
What do you think of this incident? Let us know in the comments below.
Photo credit: Shutterstock, Pixabay, Wiki Commons
Disclaimer of liability: This article is for informational purposes only. It is not a direct offer or an invitation to make an offer to buy or sell, or a recommendation or approval of products, services or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author are directly or indirectly responsible for any damage or loss caused or allegedly caused by or in connection with the use or reliance on the content, goods or services referred to in this article.