Key derivatives in HD portfolios: selection between the extensive private key vs hard derivation
Regarding the management of the Ethereum portfolio, the choice of the correct key derivation function (KDF) is decisive to secure your private keys. In this article, we plunge into two popular KDF options used in HD portfolios: extensive private keys derivatives and derivatives of hardened private keys.
Prolonged derivation of a private key
The extended derivation of a private key uses a more complex algorithm to generate a private key from a child from the parental key. This method is often preferred by users because of their higher safety functions, but can also lead to a longer key size. In chapter 4 “Mastering Bitcoin”, the book indicates that the extended derivation of a private key generally requires at least 256 bits per private key.
Derivative hardened from a private key
Derivatives tempered with a private key use a simpler algorithm with fewer parameters than the extended derivation of the private key, which makes it faster and more comfortable to use. However, this method can endanger certain security functions, such as the ability to protect against certain types of attacks or restore lost keys.
HD wallets and KDF selection
In HD portfolios, you generally have two main options for the derivation of keys:
1 and 1
- Derivative hardened with a private key
: This method can be partially used by HD portfolios or hybrid wallets that combine widespread and cloudy KDF.
Choose the right KDF for your wallet
When you choose KDF for your wallet, consider the following factors:
* Safety level : If you prefer high security features, use an extended private key algorithm. In case of requirements with lower security, the category may be sufficient.
* Key size : The derivative of the extensive private key generally requires longer keys (at least 256 bits on a private key), while the claim can generate shorter keys (generally up to 24 bytes).
* Collection vs Security : If the speed is crucial, use KDF faster than hardened. If your highest priority is secure, respect the extensive algorithm.
Conclusion
The choice of the right function of key derivation in HD wallets can be confusing due to compromise between safety and comfort. By understanding the differences between the generalized derivation of the private key and the derivative in the field of a hardened private key, you will make informed decisions on the method that best suits your wallet and your needs. When you choose a KDF for safe and practical key management in Ethereum, be sure to consider your priorities.
More sources
- “Mastering Bitcoin” by Andreas M. Antonopoulos
- Documentation Ethereum: [www.ethereum.org] (
- HD portfolio guides: [For example. Ledger Live, Safe Safe Walllet]