Sparrow Wallet 101: Self Custody Your Bitcoin

This article describes how to self custody your bitcoin using your laptop or desktop PC.

 Articles   November 18, 2022

Sparrow Wallet 101: Self Custody Your Bitcoin

How to self custody bitcoin using your laptop or desktop PC

Read the entire article including the FAQ below before attempting this at home.

STEP 1: Download and install Sparrow Desktop. It is available for Windows, Mac and Linux. The website is here.

STEP 2: Connect to a public server from the URL list. I've used the Blockstream server for this example.

STEP 3: Create a New Wallet by going to File > New Wallet (CTRL+N). Give it a name. Click on "Create Wallet".

Click on "New or Imported Software Wallet".

Under the Mnemonic Words (BIP39) dropdown select "Use 12 Words". Click on "Generate".
WRITE THESE WORDS DOWN ON A PIECE OF PAPER. THE ORDERING OF THE WORDS MATTERS. DO NOT SHOW THESE WORDS TO ANYONE. DO NOT SCREENSHOT. DO NOT UPLOAD TO CLOUD. IF ANYONE ASKS FOR IT, THEY ARE SCAMMING YOU.

Leave the Passphrase blank. Click on "Confirm backup...". You will be asked to re-enter the words to ensure you have captured them correctly. Click on "Create Keystore". Leave the default derivation path as is (m/84'/0'/0') and click on "Import Keystore".

Click on Apply