The Dutch Taihuttu family, consisting of father Didi, his wife and three more children, took a completely opposite direction from a traditional family life: they sold all their belongings and assets to buy bitcoin (BTC) in 2017. At the time, just before the first cryptocurrency boom, it was worth about $900. Now, the amount of digital currency held by the family has become a fortune held mostly in secret vaults spread across four different continents.
“I’ve hidden the hardware wallets in several countries so I never have to fly too far if I need to access my physical wallets in order to jump out of the market,” explained Taihuttu, father of the self-proclaimed “Bitcoin Family”.
Taihuttu revealed in an interview with CNBC which has two caches in Europe, another two in Asia, one in South America and a sixth in Australia, totaling six vaults in which he keeps his separate cryptocurrency fortune. All wallets are also physical, so-called hardware wallets, without an internet connection. Thus, it ensures that it has greater security and prevents possible hacker attacks.
As much as the story sounds like something that came off the movie screen, there is no “hidden treasure”. In fact, the family stored their wallets in a variety of common places, such as rented apartments, friends’ houses and warehouses.
The undertaking has been accompanied by a radical change in life and is based more on political-economic ideology than actually on a fancy plan of enrichment. “I prefer to live in a decentralized world where I have a responsibility to protect my capital,” said Taihuttu.
Family uses physical digital wallets to store bitcoin
The way the Taihuttu family store their cryptocurrencies is relatively common, especially among those who don’t trust 100% digital wallets and brokerages to manage their money.
So-called hardware wallets physically store bitcoin and other cryptocurrencies held by the family, but they are more difficult to manage and require greater responsibility. For example, if you lose the device, similar to an external flash drive or hard drive, you lose your bitcoins forever.
“‘Cold’ storage generally refers to cryptocurrencies that have been moved to wallets whose private keys, which are the passwords that allow the coins to be accessed from the wallet, are not stored on computers connected to the Internet so hackers cannot break into the wallet. device and steal the keys,” Philip Gradwell, chief economist at Chainalysis, a blockchain data company, told CNBC.
In the case of the Taihuttu family, 26% of Didi’s cryptocurrencies are “hot”, that is, connected to the network to facilitate their conversion and access. He refers to this way of holding your assets as your “venture capital”. Thus, Taihuttu uses these cryptocurrencies for day trading and potentially risky bets, such as when he sold his dogecoin (DOGE) at a profit and then bought back the digital asset when the price plummeted.
The other 74% of the Taihuttu family’s total cryptocurrency portfolio is in physical storage. These hardware wallets, which are spread across the world, include bitcoin, ethereum and some litecoin. The family refused to say the full value of their assets.
With information: CNBC