Why go through all that trouble when you can secure it with something that is more secure and convenient and costs only 89?
The reason is to have 100% control (you aren't relying on any 3rd-party for salvation).
The method I suggested is not less secure and is not troublesome for the sake of 100% control, max security, and cost far less.
But then, to each his own (for those who seek the easiest way out for max convenience regardless of less control may get the hardware wallet).
Even then using hardware wallet does not spare the user the trouble of securing the mnemonic phrases.
However, I dislike the video implying .rar file is insecure, that everyone needs to have Trezor, and that to me is false information.
Mike B could have educated the viewers on how to make a very secure cold storage in .rar with strong encryption instead, but he didn't.
In fact, I dislike (and never recommend) using hardware wallet also because if something screws up (such as the mnemonic phrases got lost or stolen), the whole savings is at stake.
With my method, savings can be segregated into multiple addresses and compartmentalized in varying level of security as the user prefers, and any address at stake will not jeopardize the others.
Nevertheless, to each his own.
I do not wish to impair nor harm anyone with my suggestion nor wish to be penalized for making a good suggestion.
"The reason is to have 100% control (you aren't relying on any 3rd-party for salvation)" - "users do not have to depend on SatoshiLabs servers availability anymore": https://news.bitcoin.com/trezor-moves-closed-source-backend-server-open-source-using-bitcore/
Even if SatoshiLabs shuts down, one will still be able to use Trezor and/or recover one's private keys: https://doc.satoshilabs.com/trezor-faq/threats.html
"Even then using hardware wallet does not spare the user the trouble of securing the mnemonic phrases" - It is not difficult to store a printable Trezor recovery seed separate from the wallet in a secure place. When the wallet gets lost/stolen, the recovery seed can be used to recover the private keys.
"In fact, I dislike (and never recommend) using hardware wallet also because if something screws up (such as the mnemonic phrases got lost or stolen), the whole savings is at stake" - You meant to say when "someone" screws up. Now when someone screws up, it is certainly not Trezor's fault. That being said, Trezor gives one the option to protect against recovery seed theft with a passphrase. Thus, one can completely eliminate risks attached to recovery seed theft. Is your method fully secure against lost and/or theft?
"With my method, savings can be segregated into multiple addresses and compartmentalized in varying level of security as the user prefers, and any address at stake will not jeopardize the others" - Trezor allows one to create multiple accounts and within each of those accounts one can generate an endless number of key pairs.
Don't get me wrong. I am open to multiple methods of security, including yours. However, not all methods are as secure and convenient as a hardware wallet such as Trezor.
