diff --git a/backups/lnd-onchain-wallet-only.md b/backups/lnd-onchain-wallet-only.md new file mode 100644 index 0000000..1245d91 --- /dev/null +++ b/backups/lnd-onchain-wallet-only.md @@ -0,0 +1,39 @@ +# LND single seed multi-location backup scheme for the onchain funds only + +The aim is to create a redundant backup where the secret can be restored from any two locations. +If someone in charge bootstrapping an LND node can use this method to share the parts with 3 other people who will not be able to restore the wallet alone. + +The 24 words seed should not be split in more than 2 parts as 8 words are close to be brute-forceable. + +For the Cypher Phrase a good option is to use 12 words from the standard wordlist to ease the offline backup and keep the security of parts roughly the same. +An example to generate 12 words separated by spaces using a [diceware](https://github.com/ulif/diceware#diceware) sourcing the entropy from `/dev/urandom` : +``` +$ sudo apt install diceware +$ diceware -n 12 -d' ' --no-caps +``` +Note that the password asked first when generating the wallet is only used to encrypt the file and not relevant to the secret itself. + +More on LND wallet recovery: +LND seed format (different from Bip39 or Electrum): +Test at https://guggero.github.io/cryptography-toolkit/#!/aezeed + +--- +## Full backup required to restore +* Seed (24 words - split in two) + * Seed words #1 - #12 + * Seed words #13 - #24 +* Cypher Phrase (aka passphrase) + +--- +## Packages for a 2-of-3 setup +### Location 1 +* Seed words #1 - #12 +* Cypher Phrase + +### Location 2 +* Seed words #13 - #24 +* Cypher Phrase + +### Location 3 +* Seed words #1 - #12 +* Seed words #13 - #24 \ No newline at end of file