Is Trezor (Crypto Wallet) Safe? An Honest Review
In an increasingly connected world where cybersecurity challenges are constant, it’s more important than ever to protect digital assets. For many cryptocurrency investors, this can be a challenge as most crypto wallets are online, making them more vulnerable to cyber attacks.
But thanks to hardware wallets, investors can use a more secure method for storing digital assets. A hardware wallet like Trezor allows investors to generate and isolate the keys to their cryptocurrencies in a way that keeps them out of the wrong hands and eyes.
In this review, we’ll discuss the safety of Trezor as a hardware wallet, and whether or not you can trust the device to protect your crypto.
Is Trezor Safe? How Is Trezor Protecting Your Money?
Yes, Trezor is a reliable wallet for storing your cryptocurrency assets. The crypto wallet is well-known for its security, which is no wonder why 1 million crypto users across the globe are leveraging Trezor to keep their coins safe.
Trezor is a hardware wallet—which is a physical USB-connected device—offering secure cold storage that allows you to store your crypto assets offline. So, what sets Trezor apart from other wallets is that its customers aren’t storing their assets through an exchange or online wallet provider.
Instead, they can manage and trade their cryptocurrencies in an offline wallet to keep hackers from copying and stealing their information. Trezor holds your private keys on a physical device, rather than a mobile phone, tablet, laptop, or desktop computer.
Although you must connect the device to your computer via USB to buy and sell crypto, the wallet is never connected to an internet server. Therefore, it’s virtually impossible for a hacker to access your funds.
Trezor provides top-notch security for lots of different cryptocurrencies, protecting against both physical and virtual theft. What makes Trezor so secure is the fact that you must enter your personal PIN number each time you need to access your wallet, whether it’s to send or receive coins.
You’ll also get a backup passphrase, which you should memorize or at least, write down. This allows you to protect your funds in the event someone steals your Trezor wallet. By entering your backup passphrase on another device, you can recover your funds.
Nano X and Nano S
Like Trezor, the Ledge Nano X and Nano S offer a hardware wallet. The main difference between Trezor and Nano S is that Trezor is more like a mini-computer, while the Ledger Nano S uses a secure chip.
Compared to Trezor, the Ledger Nano X has a more sturdy build, nicer screen, and Bluetooth capability.
Has Trezor Had Any Security Compromises?
In 2017, one Trezor wallet was hacked. Due to a firmware vulnerability, a hacker was able to obtain the PIN and passphrase of the wallet. This involved a loophole in the Trezor security mechanism, helping hackers gain access to the 24-word backup phrase and PIN. Luckily, SatoshiLabs, the creator of Trezor, was able to immediately fix the issue and recover the stolen assets.
More recently, another hacker was able to hack into a Trezor wallet also because of a firmware vulnerability. After forgetting their PIN, the user was able to access their own account during an update on the firmware. They recovered $2 million in “lost” crypto.
This more recent security compromise isn’t likely to occur on newer devices. Since these incidents, Trezor wallets haven’t been hacked. This is likely due to the many firmware updates the wallet has implemented.
Trezor Security Rules
Despite security incidents, Trezor is a safe, reliable hardware wallet. This is due to its many security measures, which include:
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Firmware verification: The Trezor software has a bootloader that can verify the firmware signature. The firmware will only run once it’s been verified. Otherwise, your device will issue a warning.
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Protected key operations: When you make a transaction where you enter the private key and public key, Trezor keeps you protected with user authentication. For authentication, you’ll need to enter your PIN.
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Additional passphrase support: If you’ve lost or failed to memorize your PIN, you can enter your 24-key passphrase to access your wallet again. This also comes in handy if someone steals your device, and you need to regain access to your funds.
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Reliable backup and recovery: Trezor has a recovery seed, which is used for backing up your digital assets. So, if your device is stolen, lost, or damaged, you’ll be able to restore the recovery seed, allowing you to regain access to your wallet.
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Trezor Trusted Display: The display on Trezor devices shows only the exact details of ongoing transactions. If your computer or phone is somehow compromised, you’ll be able to see any information that isn’t matching up. This gives you plenty of time to cancel any unauthorized transactions.
Another plus Trezor offers in terms of security is that you don’t have to create a username or password for your account. Your credentials are your Trezor device.
Therefore, if someone doesn’t have physical access to your device, they can’t access your account, or will at least have extreme difficulty trying to. This is especially true when you use additional passphrase protection.
Trezor Pros and Cons
👍 Trezor Pros
• Supports a wide range of cryptocurrencies: Trezor supports over 1,800 types of crypto. However, keep in mind that the device only allows you to handle 10 crypto accounts. This is to keep their servers more manageable.
• Keeps funds safe with offline storage: Through offline or cold storage, you can store your private keys in a physical wallet. Even when you connect your Trezor wallet to your computer, your private keys never have contact with the computer. So, by connecting your wallet via USB, you’re never putting your crypto at risk, even if the computer you connect it to is infected with malware.
• Open source firmware: Trezor uses a mix of open-source hardware and software. This means that all of the components of Trezor devices that protect your crypto funds are completely transparent. So, third parties can review the parts of the software and test it for vulnerabilities.
• Regular firmware updates: The team behind Trezor regularly releases firmware updates to ensure the wallet remains protected against new threats. Because the updates aren’t automatic, be sure to stay on top of updates as they’re released.
• Easy to use: Users can set up their Trezor wallet in as little as 10 minutes. Beginner crypto traders don’t have to register through an exchange to make their first purchase.
• Portable design: Trezor wallets are tiny and can easily fit in the palm of your hand, which makes them very portable. This means you’ll have accessible protection, that’s always ready for use.
• Top-notch security features: With an open-source code that everyone can inspect and audit, cold storage, funds recovery options, and a PIN that prevents unauthorized access, Trezor is highly secure.
👎 Trezor Cons
• Doesn’t support the use of crypto exchanges: More advanced traders may prefer to use crypto exchanges to buy and sell coins and store them on a hardware wallet. Trezor doesn’t support this, however.
• Impossible to withdraw funds to or from debit cards: With a physical wallet like Trezor, you can’t directly withdraw your funds or send them to your bank. Instead, you must transfer your coins to an exchange, trade them for the fiat currency supported by your country, and wire the money to your bank account.
Summary
While many cryptocurrency investors may be concerned about Trezor’s security incidents in the past, the wallet features airtight security. And those were likely just isolated incidents.
Although no device is ever 100% safe from hackers, Trezor is pretty close. Offering a secure PIN, a 24-key passphrase, and firmware signature verification, Trezor users can rest knowing that their crypto assets are safe and protected.
Top 10 Trezor Reviews
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While Trezor, the crypto exchange, offers some commendable features, my overall experience was bad. The customer support was lacking, with slow response times and limited assistance available, leaving users feeling stranded when encountering issues. Potential users should weigh all factors carefully before committing to this exchange.
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Trezor Wallet spammed me in the mail where they call me by my first and last name. Where is the information from? You can guess.
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Opened an account. The password was not sent to the email. Change password only after verification. The desire disappeared immediately. I read reviews about Trezor Wallet in time.
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Trezor Wallet is my personal top! In terms of security, yes. And the conditions… Do you know a lot of exchanges where there are more than a thousand instruments? Here I am no. And there are really so many of them in Trezor Wallet. I just wanted to take a hardware wallet, but in the end I found the best crypto exchange for myself. I was also surprised that Trezor Wallet does not take a commission. As I understand it, they have enough wallets to sell, so they do not affect what happens on the stock exchange, in particular, quotes. So everything is more transparent. To trade here, you definitely need a Trezor Wallet hardware wallet, but I see it as a plus: it is to protect my own money. I quickly figured out the terminal, although I hadn’t traded anywhere before, but then I got really involved.
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Comment
I mainly use the Trezor Wallet to store assets, but sometimes I also exchange Litecoins for Bitcoins here. I like that you can exchange directly from the Trezor interface and that many cryptocurrencies are supported. The whole process is always fast and safe. Conveniently, there is an observation mode where you can view the information in your personal account even when the wallet is not connected to a computer. I would like the commissions to be lower, then this service will be a real catch.
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I bought Trezor Wallet 2 years ago when I started trading on the Forex market. I stored all the available cryptocurrency in it, but I do not change it very often because the on-site exchangers offer hefty fees. At the same time, the speed of receiving funds is quite adequate: on average, money is credited within 40 minutes. The exchange rate changes in real time and is displayed next to the selected exchange service. After confirming the exchange, a link appears to the official website of the exchanger, on which you can click and see the exact information on the transaction. There is also a link to the blockchain explorer, which might come in handy.
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My buddy has been using Trezor Wallet for storing cryptocurrencies for 5 years. He was one happy customer, so I purchased one for myself. You need to pay only $100 and your money is under reliable protection. I admired that the Trezor Wallet can store all ERC-20 tokens. There are so many types that you will need more than one wallet. Trezor easily solves this problem, besides, here you can exchange currencies without an internal commission.
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I have been storing Litecoin and Ethereum on Trezor Wallet since last year and recently I tried my hand at exchanging. I did not understand the functionality of the device itself from the outset. I purchased a ground-breaking Model T, but I had to start with One. I had to contact technical support more than once for help. By the way, the guys answer precisely, although not quickly. I constantly had to wait for an answer for several hours. There is no chat on the trezor.io website, and the phone number is also not listed. The only option is to email support, which is not very convenient when you need an answer proto.
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Trezor currently supports over 1,000 coins and tokens. It’s a phenomenal opportunity since you can store (and more recently also exchange) all available cryptocurrencies in one place. I won’t say that Trezor is the best crypto exchange, because there are platforms with lower fees. However, I still believe that Trezor Wallet currently holds the lead among cold wallets for storing digital currency, including hardware ones.
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Comment
Trezor Wallet was tested by my sidekicks who have a knack for trading cryptocurrencies. Fair enough, the choice of built-in applications is limited, so not all coins are available. But it integrates seamlessly with other wallets such as MyEtherWallet and MyCrypto. I entered the wrong PIN once and was on tenterhooks that my wallet would be blocked forever. It turned out that you can recover your PIN in no time — you just need to enter a backup phrase. But this does not mean that it will be so easy for others to hack you. The phrase consists of 24 words (not letters!), So you don't have to worry about the safety of your own funds and data.
FAQs
What is a hardware wallet and how does Trezor work?
A hardware wallet is a portable key that allows you to access your crypto assets safely, without the risk of compromising your sensitive information. With Trezor, you can make secure payments and manage cryptocurrencies, all without having to expose sensitive data to a potentially compromised phone or computer.
Can Trezor devices be hacked?
Yes, Trezor devices can be hacked, just like any device. However, the chances of this are pretty small. Someone would have to gain physical access to your Trezor device, and would need your PIN to access your wallet. Plus, by enabling the passphrase feature, it would be virtually impossible for an unauthorized user to gain access to your assets.
What happens if I don’t update my firmware?
Not all firmware updates are mandatory. But firmware updates that contain major security fixes are critical to the security of your device.
Where are my coins stored? Are they on the device?
No, in fact, they’re technically not coins. Cryptocurrencies are digital assets that are stored on the blockchain, a digital ledger of transactions. Your private keys allow you to sign transactions and generate receiving addresses for cryptocurrencies.
Team that worked on the article
Glory is a professional writer for the Traders Union website with over 5 years of experience in creating content in the areas of NFT, Crypto, Metaverse, Blockchain, or Web3 in general. Over the last couple of years, Glory has also traded on different cryptocurrency and NFT platforms including Binance, Coinbase, Opensea, and others.
“I understand a lot about this space, being familiar with CEX, DeFi, and DEX, as well as operating across the Ethereum, Binance, and Polygon networks. Also, I know the intricacies and subtleties of NFTs and crypto, thus I am able to bring to table the best content and help connect with the audience better.”
Olga Shendetskaya has been a part of the Traders Union team as an author, editor and proofreader since 2017. Since 2020, Shendetskaya has been the assistant chief editor of the website of Traders Union, an international association of traders. She has over 10 years of experience of working with economic and financial texts. In the period of 2017-2020, Olga has worked as a journalist and editor of laftNews news agency, economic and financial news sections. At the moment, Olga is a part of the team of top industry experts involved in creation of educational articles in finance and investment, overseeing their writing and publication on the Traders Union website.
Olga has extensive experience in writing and editing articles about the specifics of working in the Forex market, cryptocurrency market, stock exchanges and also in the segment of financial investment in general. This level of expertise allows Olga to create unique and comprehensive articles, describing complex investment mechanisms in a simple and accessible way for traders of any level.
Olga’s motto: Do well and you’ll be well!
Mirjan Hipolito is a journalist and news editor at Traders Union. She is an expert crypto writer with five years of experience in the financial markets. Her specialties are daily market news, price predictions, and Initial Coin Offerings (ICO). Mirjan is a cryptocurrency and stock trader. This deep understanding of the finance sector allows her to create informative and engaging content that helps readers easily navigate the complexities of the crypto world.