Recovery Sheet

What Is a Recovery Sheet?

A recovery sheet is a specialized paper card that comes included in the box with every Ledger device. It provides a secure, offline method for users to record their 24-word Secret Recovery Phrase (also known as a seed phrase or mnemonic phrase) by hand. This physical backup serves as the primary method for recovering access to your cryptocurrency wallet if your Ledger device is lost, stolen, damaged, or malfunctions.

Recovery sheets have numbered spaces corresponding to each of the 24 words in your recovery phrase, ensuring you record them in the correct order. This simple yet critical piece of paper represents your master key to all cryptocurrency accounts and assets associated with your Ledger wallet, making it the most important thing to protect when it comes to self-custody. Anybody with access to your recovery sheet can access your crypto, so it’s critical that it doesn’t fall into the wrong hands.

How Does a Recovery Sheet Work?

When setting up a new Ledger device, the hardware wallet generates a unique 24-word Secret Recovery Phrase using the BIP-39 standard. This phrase is mathematically derived from your private keys and serves as a human-readable backup that can regenerate all your wallet’s accounts and addresses. During the initial setup process, your Ledger device displays each word on its secure screen, and you must write them down in order on the provided Recovery Sheet.

Recovery sheets are offline backups existing completely independent of any digital system or internet connection. If you need to restore your wallet, you can use any compatible hardware or software wallet to enter the 24 words from your sheet, which will regenerate all your private keys and restore access to your asset holdings. The restoration process works because the 24-word phrase contains all the mathematical information needed to recreate your wallet’s entire key structure.

Recovery Sheet Limitations

While writing down your 24 words on a recovery sheet is always the first step in backing up your Secret Recovery Phrase, it does have inherent limitations. Most notably, the paper can be damaged by water, fire, or general wear and tear over time, potentially making the words illegible. It can also be lost, stolen, or accidentally discarded, which would result in permanent loss of access to your funds if no other backup exists. Additionally, anyone who gains access to your recovery sheet can read it and thus, can potentially take control of your assets.

To maximize the security and reliability of your recovery sheet, write clearly using a permanent pen or pencil, double-check each word against what’s displayed on your Ledger device’s screen, and store the completed sheet in a secure location separate from your hardware wallet. Consider making multiple copies stored in different secure locations, but never store copies together or photograph/digitize them, as this defeats the purpose of offline storage. 

For the most resilient backup strategy, consider using additional backup methods like Ledger Recovery Key to complement your paper backup while maintaining the same offline security principles. And for more tips on how to keep your recovery phrase safe, read our full article on Ledger Academy.