Deterministic Wallet

A deterministic wallet is a type of cryptocurrency wallet that uses a seed phrase to generate a sequence of private and public keys. This seed phrase, typically a set of 12, 18, or 24 randomly generated words, allows users to back up and restore their wallet easily. The seed acts as the root for generating all the wallet’s keys. Losing the wallet can be mitigated by simply restoring it using the seed phrase. As long as the seed phrase is kept secure, the wallet can be restored even if the original device is lost or damaged. Customers only need to back up the seed phrase instead of each individual private key, simplifying wallet management.