SeedSigner

🚨BPI has just learned of an amendment buried in Kentucky HB 380 that would require hardware wallet providers to reset users' seed phrases on request. This would effectively outlaw self-custody in Kentucky. BPI is sending a letter to the Kentucky Senate informing them of the harmfulness of this language. Section 33 was added as a last-minute floor amendment to a 77-page virtual currency kiosk regulation bill. The underlying bill has political support and is expected to move through the Senate for final passage, possibly within the next week. The mandate is technologically impossible for non-custodial wallets. Hardware wallets are specifically designed so that no one — including the manufacturer — can access or recover a user's seed phrase. Requiring a backdoor for seed phrase recovery breaks Bitcoin's fundamental security guarantees and pushes users toward centralized custodians that are vulnerable to hacks and failures. Kentucky legislators should be protecting their constituents' right to secure their own property. We urge the Senate to strip this provision before the bill reaches a vote. Relevant text below

🚨BPI has just learned of an amendment buried in Kentucky HB 380 that would require hardware wallet providers to reset users' seed phrases on request. This would effectively outlaw self-custody in Kentucky. BPI is sending a letter to the Kentucky Senate informing them of the harmfulness of this language. Section 33 was added as a last-minute floor amendment to a 77-page virtual currency kiosk regulation bill. The underlying bill has political support and is expected to move through the Senate for final passage, possibly within the next week. The mandate is technologically impossible for non-custodial wallets. Hardware wallets are specifically designed so that no one — including the manufacturer — can access or recover a user's seed phrase. Requiring a backdoor for seed phrase recovery breaks Bitcoin's fundamental security guarantees and pushes users toward centralized custodians that are vulnerable to hacks and failures. Kentucky legislators should be protecting their constituents' right to secure their own property. We urge the Senate to strip this provision before the bill reaches a vote. Relevant text below

Did someone say printing?