We have received many questions as to the purpose of the BarterDEX seed/passphrase. Below is an explanation of what a seed is and how it is more secure than a password:
A mnemonic phrase, mnemonic recovery phrase or mnemonic seed is a list of words which store all the information needed to recover a cryptocurrency wallet.
A wallet will typically generate a mnemonic backup phrase and instruct the user to write it down on paper. If the user's computer breaks or their hard drive becomes corrupted, they can download the same wallet again and use the paper backup to get their bitcoins back.
- In the case of BarterDEX, your passphrase is linked to your smart addresses. You can import the passphrase into BarterDEX or Agama and access your funds.
- Anybody who discovers the phrase can spend your coins. It is of utmost importance that you keep it safe.
- Mnemonic phrases are a superior way of backing up and storing cryptocurrencies so all good wallets use them.