By the end, you’ll be able to…
- Distinguish receiving information from a wallet secret.
- Describe the responsibilities of self-custody and the dependence of custodial use.
- Reject a dangerous support request without needing a wallet demonstration.
Three things. Three different jobs.
The wallet and the keys do different jobs
A wallet is software or a device that helps manage the credentials used to authorize spending. It does not store little digital coins inside your phone. The network records transactions; your keys let you authorize spending the funds they control.
A receiving address can be shared with someone who needs to pay you. A private key or recovery phrase is different: it can give someone the power to spend. A public username is not a recovery method, and knowing your address does not give a helper permission to move your funds.
Follow the source: Bitcoin developer guide · Wallets
Know who holds the authority
With self-custody, you hold the credentials and take responsibility for protecting and recovering them. Losing the only usable backup can mean losing access permanently. A custodian holds funds on your behalf; you depend on its security, solvency and withdrawal policies.
A friendly interface does not tell you which model you are using. Before choosing a real wallet, read its own documentation: who can authorize a payment, what happens if the provider disappears, and how recovery works. This lesson is a way to understand those questions, not a recommendation to move your money.
Follow the source: Bitcoin FAQ · Wallets and self-custody
A backup should remain under your control
Wallets have different backup designs. Follow the documented recovery process for the wallet you choose and understand it before depending on it. Recovery information belongs in a secure, private backup—not in a public document, cloud screenshot, support chat, AI conversation or GitHub issue.
For this course, use invented labels on paper such as “receiving address” and “private recovery information.” Do not write a real recovery phrase in an exercise. Satnam Satoshi never needs it to teach you, invite you to a meetup or offer you a meal.
Follow the source: Bitcoin.org · Securing your wallet
Protect privacy as well as access
Bitcoin transactions are public. Publishing a name beside an address can make that person’s activity easier to follow. Only share receiving information where it is needed; avoid posting someone else’s payment details or a screenshot of their wallet without permission.
If an unexpected message asks you to “verify,” “synchronize” or “unlock” a wallet by exposing a secret, stop. Return to the service through a known address rather than following the message. Urgency, a familiar logo and a helpful tone are not proof of legitimacy.
Follow the source: Bitcoin.org · Things you need to know
Sort three requests
Consider: (1) an artist gives a buyer an invoice; (2) a stranger asks for a recovery phrase to release a reward; (3) an organizer asks permission to publish a volunteer’s wallet address beside their name. Which request is a clear secret-exposure risk, and which needs a privacy decision?
I’ve tried it — show the worked answer
Request 2 exposes a secret and should be refused. Request 3 needs freely given consent and a good reason; public recognition should not require publishing a wallet. Request 1 is a normal payment request in principle, but the buyer must still check the recipient, network, amount and agreed terms.
Want to explore with buttons and instant feedback? Try the practice lab ↗
Make a choice. Discover why.
Choose an answer and check the explanation. You can retry as often as you like. These are practice questions, not a test of mastery; answers are not saved or sent.
One idea to take with you
Know who can spend, know how recovery works and keep private credentials private.
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