Reminder to update your Bitcoin wallet firmware

The smell of fall in the air, this weekend I indulged in apple treats, watched the leaves change, and yes, traveled to make sure my Bitcoin stash was up to date…

If you follow me on X, you know that I hold Bitcoin with Casa, a multisig security provider, and use the service to manage a few different multisig vaults for various purposes.

This requires keeping up to date with a number of keys and wallets, and since I don’t keep key materials at home, it requires a certain degree of routine and dedication.

I have kept my Bitcoin since 2020 and built some good habits along the way. That said, something that always strikes me is how much more excruciating it is than trust configurations.

One thing that always gives me pause: updating firmware.

As I’ve written before, I’m not super technical. My specialty in Bitcoin is history, and while sure that requires me to know about network theory and architecture, there’s something about looking at digital gears and a loading bar that just makes me super uncomfortable.

I say all this because it’s a lesser known problem with the Bitcoin hardware wallets that most people use for self-storage. These devices, called “signing devices” by Coldcard creator NVK, do just that, manage your key material and sign on your behalf when you make a transaction.

But, being live digital devices, they are not infallible. They need some maintenance. All you have to do is scroll through some updates of people losing Bitcoin on firmware updates to know the downsides

It’s a common problem, and the culprit is always a corrupted hardware device (and a lost backup). Add in that multisig vaults, which require a combination of keys to sign a transaction, are not yet the norm, and the number of lost Bitcoins always seems to be up and to the right.

The most common problem – the user does not update their firmware often, waits and later freezes their device, then discovers that they have also lost their passphrase.

Here’s Andreas explaining firmware updates in more detail, although he’s not actually updating his firmware, he’s just managing his catchphrase.

Suffice it to say, it’s an example of why the self-guard world, as improved as it is, still makes me uneasy. In my case, I updated my wallets without too much trouble. Only one of the wallets even needed a firmware update and it was simple. (It takes me all of a few minutes to prove my coins are safe).

That said, I had to make sure I checked my other keys beforehand and had a plethora of multi-sig keys needed in the worst case, as well as my backups.

This is what makes Bitcoin custody such a big deal: you can never be too careful. When you’re your own bank, there’s always a chance something will go wrong.

This article is a Take. The opinions expressed are entirely those of the author and do not necessarily reflect those of BTC Inc or Bitcoin Magazine.