Setting up a Bitcoin wallet for the first time is not complicated, but there are steps that matter a great deal and are easy to skip if you do not know why they are important. This checklist covers what to do, in order, and flags the steps where mistakes are most common.
Work through this list carefully. The safety steps in section two are the ones where skipping or rushing creates serious risk.
Before You Start
Choose where you are setting up
- You are in a private location, not a public space where screens can be seen
- You have paper and a pen nearby (for the recovery phrase - do not skip this)
- You have at least 30 minutes without interruption
Choose your wallet
For a first mobile wallet, choose a well-established, non-custodial wallet application available in your region. Non-custodial means you control your own keys. Examples of well-regarded options include Phoenix Wallet (Lightning-focused), Muun Wallet, or Green Wallet. Ask a trusted local facilitator what is most commonly used and supported in your community.
- You understand the difference between a custodial and non-custodial wallet
- You have chosen a non-custodial wallet
- You downloaded it from the official app store (not a third-party website or link)
Setting Up the Wallet
Installation
- Installed the wallet from the official app store
- Opened the wallet app for the first time
- Selected “Create new wallet” (not “Restore” unless you are restoring an existing wallet)
The Recovery Phrase
This is the most important step. Your recovery phrase is 12 or 24 words that represent your wallet. Anyone with these words can access your bitcoin. If you lose these words and lose your device, you cannot recover your wallet. Read all of this before you do anything.
- The wallet has displayed your recovery phrase (12 or 24 words)
- You have written down every word, in order, on paper
- You have checked that your written words match the screen exactly
- You have NOT taken a photo of the phrase
- You have NOT saved it in a notes app, messaging app, or cloud service
- The wallet asked you to verify the phrase by selecting words in order, and you completed this
Storing the Recovery Phrase
- The paper with your phrase is stored somewhere safe and private
- A second copy is stored in a different safe location (optional but recommended)
- You have told a trusted person where the phrase is stored, in case of emergency (optional)
Wallet PIN or Password
- You have set a PIN or password for the wallet app
- This PIN is not the same as your phone unlock code
- You will remember it (or have stored it safely elsewhere)
After Setup: First Steps
Receiving Your First Small Amount
Before you send bitcoin to this wallet, test that it works with a small amount.
- You can find your wallet receive address or payment QR code
- You have received a small test amount (even a very small amount)
- The balance appeared in your wallet as expected
- You understand that pending transactions have not fully confirmed yet
Understanding What You Have
- You understand that your wallet app is not where your bitcoin is stored - your keys are
- You understand that if your phone is lost or broken, you can restore your wallet using your recovery phrase on a new device
- You understand that no one can recover your funds if you lose your recovery phrase
Safety Checks to Complete Now
Before you add significant funds to this wallet, work through these checks.
Scam awareness
- You know that no legitimate service will ever ask for your recovery phrase
- You know that no legitimate person needs your recovery phrase to send you bitcoin
- You know that anyone asking for your phrase is attempting to steal from you, regardless of the reason given
- You know that investment schemes promising guaranteed returns are scams
Transaction habits
- Before sending bitcoin, you always verify the destination address carefully
- You understand that Bitcoin transactions cannot be reversed once confirmed
- You know to send a small test amount when sending to a new address for the first time
If Something Goes Wrong
Device lost or stolen
If your phone is lost or stolen, someone with your phone can only access your wallet if they have your PIN. Your bitcoin itself is not on the phone. Restore your wallet on a new device using your recovery phrase.
Recovery phrase lost
If your phone fails and you have lost your recovery phrase, your bitcoin cannot be recovered. This is the most important reason to keep the phrase safe.
Transaction not arriving
A Bitcoin transaction can take up to an hour to confirm on the main network, depending on network conditions. Lightning transactions are usually instant. If a transaction has not arrived after a reasonable time, check that the payment was actually sent and that the address or invoice you provided was correct.
Unsure whether something is a scam
If you are unsure, do not proceed. Contact a trusted facilitator or community member before taking any action. Real opportunities do not disappear in five minutes.
Next Steps
Once your wallet is set up and you are comfortable with the basics, see the Guides section for deeper reading. The Bitcoin Safety for Beginners guide covers the safety points in this checklist in more detail.