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