A while back my good friend @thedamus got me interested in cryptocurrency paper wallets (cold storage) for small amounts of coins so I thought I'd give some info and do a tutorial for those that have not used these and might be interested.

I'm going to start at the end with a piece of info I just learned but seems to be the MOST IMPORTANT info in regards to paper wallets...

HOW TO WITHDRAW

Sweep the entire balance of your paper wallet the first time you want to withdraw your coins.

Yes, keeping the private key private is truly the most important thing to do but beyond that it is also important to withdraw all funds on a paper wallet the first time you withdraw. I don't fully understand the mechanics behind it but they do not work like a debit card where you can spend a little here and a little there. It seems the thing to do is withdraw (sweep) the full balance to your hot wallet (mycelium, ledger, bread-wallet) then spend whatever portion you are spending from there. If you have leftover coins you can put them back on a new paper wallet

Do not use an old paper wallet once you have swept it. Recycle that bad boy and generate a new wallet if you need one. There are many out there but this one is my favorite
https://bitcoinpaperwallet.com/index.php

Now, being that these are made of paper they are rather vulnerable to things like water, fire and forgetfulness so keep that in mind if you plan on transferring coins to one. This guy hates paper wallets. :)

How To Generate a Paper Litecoin (or Bitcoin) Wallet

Navigate to https://bitcoinpaperwallet.com/index.php

For Litecoin, click here

Once there click the "generate litecoin paper wallets" tab

Then follow the instruction for generating a super-random private key

Once done your wallet will be available for printing, the wallet below has no LTC on it but I am sure you will check anyhow, I mean, the private key is right there!!
;)

This is the point where I transfer the coin to the wallet address, before I print it. I send to the public address then wait until I see it on a block explorer before I print.

Here is a wallet I put a small amount of LTC on in December.

Here is that public key on a block explorer.

These are a good way to hand someone some "physical" crypto if you wanted to, just remember to always move the ENTIRE balance of your paper wallet out, onto your hot wallet before you spend it. And, whatever you do, don't tell This guy you are using a paper wallet.

Posted via Steemleo