**Follow along with this video:** --- Social recovery wallets are an excellent option for advanced users, providing a balance of security and convenience similar to multi-signature wallets. This type of wallet is particularly favored by Vitalik Buterin, one of the leading figures in the cryptocurrency space. ### How Social Recovery Wallets Work A social recovery wallet operates with a single private key used to sign transactions. Additionally, it involves a set of at least three guardians who can collectively change the signing key if necessary. This system combines the simplicity of a single-signature wallet with the added security of multiple guardians. > **Vitalik Buterin on Social Recovery Wallets:** > > "Under all normal circumstances, the user can simply use their social recovery wallet like a regular wallet, signing messages with their signing key so that each transaction signed can proceed with a single confirmation click, much like it would in a traditional wallet like Metamask. > > If they lose the private key used to sign transactions, that is when the social-recovery functionality kicks in." ### Addressing Security Concerns You might worry about whether your guardians could access your wallet. This is where a 'Shamir' backup comes into play. A Shamir backup splits your private key into several parts, giving each guardian only a share of the key. This way, no single guardian has access to the full private key, ensuring your security. **Example:** The Trezor T hardware wallet includes this 'Shamir' backup feature, making it an excellent choice for those who want a social recovery option. ### Pros and Cons of Multi-Sig and Social Recovery Wallets #### Pros - **Enhanced Security:** Multiple steps are required to take actions, reducing the risk of unauthorized access. - **Easy Recovery:** If a private key is compromised, you don't need to move your funds; simply replace the compromised key. #### Cons - **Compatibility Issues:** Multi-sig wallets may have limited compatibility with web3 apps. - **Address Differences:** Wallet addresses may differ across multiple chains. ### Suggested Wallets **Multi-Sig Wallets:** - Safe **Social Recovery Wallets:** - Safe - Argent - Trezor --- ### Next Steps In the next lesson, we'll set up a Safe wallet. But before we dive in, I've prepared a more entertaining lesson about Safe. Let's explore that first! ---