Three different secrets protect a hardware wallet, and mixing them up leads to mistakes. This guide is part of our guide to hardware wallets explained.

PIN, seed phrase and passphrase
PIN
  • Unlocks one device
  • Wipes after repeated wrong tries
  • Forgotten? Restore from your phrase
Seed phrase
  • Is the wallet
  • Works on any compatible device
  • Lost? No reset exists
Passphrase
  • Opens a separate wallet
  • Protects stolen words
  • Forgotten? Those funds are gone
Three secrets, three jobs. A PIN guards the device, the phrase is the wallet, and a passphrase opens a hidden wallet.

The three secrets

SecretWhat it isWhat it protectsCreated by
PINA short numberYour device, if stolenYou
Seed phrase12 or 24 wordsThe whole walletThe device
PassphraseYour chosen textA separate walletYou

The PIN

Your PIN stops someone from using your device. After too many wrong tries, most devices add delays or wipe themselves. It only applies to that one physical device. Someone who has your phrase can skip it entirely.

Use a strong, unique PIN, and do not make it your phone or bank PIN.

The seed phrase

Your seed phrase is the master secret. It can rebuild your wallet on any compatible device. It has no PIN and no lockouts. Whoever has it controls your funds. See how to write it down.

The passphrase

A passphrase is an optional extra, mixed in with your words. Each passphrase opens a different wallet. It protects you if someone finds your written words. See should you use a passphrase?.

What happens if something goes wrong

What happensForgotten or lostStolen
PINReset the device, and restore from your phraseThief still needs the device, so move funds if you can
Seed phraseIf the wallet still works, move your fundsEmergency: move your funds now
PassphraseFunds behind it are lostAttackers still need your phrase

How they work together

Imagine that someone steals your device:

  • With no PIN, they have everything.
  • With a PIN, they need to guess it before the device wipes itself.

Now imagine that someone finds your paper backup:

  • With no passphrase, they have everything.
  • With a passphrase, they see only an empty or decoy wallet.

The PIN guards the device, and the passphrase guards the paper.

Common mix-ups

  • "I changed my PIN, so my stolen phrase is safe." It is not. The PIN has nothing to do with your phrase.
  • "My passphrase is my PIN." They are separate.
  • "My wallet password is my seed phrase." An app password only unlocks that app on that device.

For a broader look, see passphrase vs PIN vs password.