Hardware Wallet Offline Initialization via Local Key Generation
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Solution Overview
Problem
Hardware wallets require online initialization, which risks user private information being intercepted by malicious software, potentially leading to digital asset loss.
Innovation Solution
A method for off-line initialization of hardware wallets, involving user input of a mnemonic phrase and PIN code, where the hardware wallet generates and authenticates a master key without internet connection, ensuring secure initialization.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Ease of operation
If hardware wallet connects to upper computer via cable for initialization, then initialization process can be completed, but user private information may be intercepted by malicious software
Solution Approach 1:
The patent extracts the initialization process from the online environment and moves it to an offline environment. The hardware wallet performs initialization locally without connecting to the upper computer, thereby extracting the sensitive operation from the potentially compromised online context and eliminating the risk of information interception through cable connections.
Solution Approach 2:
The patent introduces a random number generator as an intermediary component that produces random numbers locally within the hardware wallet. This intermediary mechanism enables secure key generation without external communication, acting as a self-contained mediator that eliminates the need for dangerous online initialization while maintaining cryptographic security.
2Loss of time
If hardware wallet performs online initialization, then user can set up wallet quickly, but digital assets may be lost due to security risks
Solution Approach 1:
The patent implements preliminary action by pre-loading a secure random number generator and all necessary initialization algorithms into the hardware wallet during manufacturing. This preliminary preparation enables the device to perform secure offline initialization immediately upon first use, eliminating the need for subsequent online connections while maintaining fast setup times.
Solution Approach 2:
The hardware wallet performs self-service initialization by generating all cryptographic keys and secrets locally using its built-in random number generator. The device serves itself during initialization without requiring external assistance or communication, thereby eliminating security risks associated with online initialization while maintaining efficient setup.
3Loss of information
If hardware wallet uses offline initialization, then user privacy is protected, but initialization process becomes more complex
Solution Approach 1:
The patent replaces the mechanical/external initialization system (cable connection to upper computer) with an internal electronic system (built-in random number generator and local processing). This substitution eliminates the need for physical connections and external software while maintaining cryptographic functionality, thereby protecting privacy without proportionally increasing complexity.
Data Source
AI summary
A hardware wallet generates a key seed according to a mnemonic phrase length when receiving information of building hardware wallet, generates multiple mnemonic word identifications according to the mnemonic phrase length and the key seed, searches for a corresponding mnemonic word from a preset dictionary according to the mnemonic word identification, joints the mnemonic words to obtain a mnemonic phrase, generates a master key according to the key seed and stores the master key; searches for a corresponding mnemonic word from the preset dictionary according to a letter of a word when receiving information of restoring hardware wallet, obtains a key seed according to a length of selection information, generates a master key according to the key seed and authenticates the master key, stores the master key if the master key is authenticated successfully; and sets the hardware wallet state as initialized.