Derivation Path
wallet · security
A notation that selects a branch and key within a hierarchical deterministic wallet.
- Also known as
- HD path
1.general
A derivation path identifies positions in a hierarchical deterministic key tree. Wallet standards use path segments for purposes such as script type, coin type, account, external or change branch, and address index.
2.compatibility
The same recovery words can show different accounts when wallets use different passphrases, derivation paths, script types, or gap limits. Before migrating, record the wallet software, network, address format, path, and any passphrase, then test recovery without moving the only copy of funds.
3.privacy
An extended public key can reveal a whole branch of addresses and balances even though it cannot normally sign. Share xpubs only when the monitoring need outweighs that privacy exposure, and never expose an extended private key.
Related terms
Mnemonic
→A human-readable word sequence used by many wallets to reproduce a seed and derive keys.
wallet · security
Wallet
→An app or device that helps you receive cryptocurrency, check your balance, and authorize payments.
wallet · security
Public Key
→Cryptographic data used to verify signatures made by the corresponding private key.
cryptography · technical
Bitcoin Improvement Proposal (BIP)
→A published proposal or information document for Bitcoin protocols, applications, or community processes.
governance · technology
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