Post
Topic
Board Bitcoin Technical Support
Re: Multisig derivation paths and xpubs
by
o_e_l_e_o
on 07/08/2023, 15:55:24 UTC
Forgive my ignorance, but how does a hardened path help wallet recovery? I have the output descriptors and Sparrow and Electrum wallet files backed up on multiple media.
Simply because it is the standard. I am not aware of a single wallet which derives P2SH address at m/49/0/x by default, while there are hundreds which follow the BIP39 standard of m/49'/0'/x'.

Just like there is nothing stopping me deriving a single sig wallet at m/3894329'/284760'/1609266' and backing up my derivation path, it is much safer to just stick to the standard m/84'/0'/0'.