Participating in DeFi often means more frequent on-chain transactions, which also brings more security risks. For example, computers are hacked or remotely controlled, hot wallet environments are affected by malware, or someone conducts targeted phishing via email, instant messaging, social platforms, etc. Malicious links, once clicked, can infect the device with malware. If your device has been compromised and you rely solely on a hot wallet such as MetaMask for DeFi activity, an attacker could immediately transfer funds from your wallet.

The core function of hardware wallet is to isolate private key from the network environment. Every time you make an on-chain transaction, you must confirm it by physically pressing a button on your hardware wallet, which will cause the approval device to complete the transaction signature using private key. This way, private key stays offline and protected. In contrast, mobile wallets and browser extension wallets usually complete private key related operations in network-connected devices and are therefore more vulnerable to attacks or theft.

No matter how advanced a hacker is, they won't be able to actually press the confirm button on the hardware wallet from the remote computer. Therefore, large amounts of money can greatly benefit from the protection provided by hardware wallet. Using UKey hardware wallet to participate in DeFi can significantly improve asset security.

Compared to software wallets, most hardware wallet typically have the following features:
● Security chip used to generate and store private key
● Physical buttons and screens to display transaction details
● All transactions are signed by hardware wallet and do not expose private key

hardware wallet is just a tool to protect private key or seed phrase; private key and seed phrase are the core information that truly determines asset control. Anyone who obtains your private key or seed phrase can control and transfer your assets. Therefore, private key and seed phrase are different from traditional passwords. Neither UKey nor any other wallet service provider can retrieve them for you. You need to make multiple copies of offline backup yourself and keep them safely.

private key or seed phrase must never be exposed to the Internet. Risky operations include but are not limited to copying and pasting, saving in computer documents or notepads, taking photos, and uploading to chat tools, cloud disks or note-taking services. A more prudent approach is to record offline on paper or metal media and store it separately in a secure location.

If your hardware wallet is damaged, you can gain restore access by importing your seed phrase to another hardware wallet or compatible secure wallet. But do not import hardware wallet seed phrase into hot wallets such as MetaMask or Rabby. In addition, if you need to reset the wallet, please first confirm that there are no assets in the wallet, or that the backup seed phrase has been secured and can be used in the restore wallet later.