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07_3_Integrating_with_Hardware_Wallets.md
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@ -2,23 +2,23 @@
> :information_source: **NOTE:** This is a draft in progress, so that I can get some feedback from early reviewers. It is not yet ready for learning. > :information_source: **NOTE:** This is a draft in progress, so that I can get some feedback from early reviewers. It is not yet ready for learning.
One of the greatest powers of PSBTs is the ability to hand transactions off to hardware devices. This will be a great development tool for you if you continue to program with Bitcoin. However, you can't test it out if you're using one of the configurations we suggest for this course — a VM on Linode per [§2.2](https://github.com/BlockchainCommons/Learning-Bitcoin-from-the-Command-Line/blob/master/02_2_Setting_Up_a_Bitcoin-Core_VPS_with_StackScript.md) or an even more farflung option such an AWS per [§2.3](https://github.com/BlockchainCommons/Learning-Bitcoin-from-the-Command-Line/blob/master/02_3_Setting_Up_Bitcoin_Core_Other.md) — because obviously you won't have any way to hook a hardware device up to your remote, virtual machine. One of the greatest powers of PSBTs is the ability to hand transactions off to hardware devices. This will be a great development tool for you if you continue to program with Bitcoin. However, you can't test it out now if you're using one of the configurations we suggest for this course — a VM on Linode per [§2.2](https://github.com/BlockchainCommons/Learning-Bitcoin-from-the-Command-Line/blob/master/02_2_Setting_Up_a_Bitcoin-Core_VPS_with_StackScript.md) or an even more farflung option such an AWS per [§2.3](https://github.com/BlockchainCommons/Learning-Bitcoin-from-the-Command-Line/blob/master/02_3_Setting_Up_Bitcoin_Core_Other.md) — because obviously you won't have any way to hook a hardware wallet up to your remote, virtual machine.
>: ***What is a Hardware Wallet?*** A hardware wallet is an electronic device that improves the security of cryptocurrency by maintaing all the private keys on the device, rather than ever putting them on a device directly connected to the internet. Wallets have specific protocols for providing online interactions, usually managed by a program through a USB port. In this case, we'll be managing them with `bitcoin-cli` and the `hwy.py` program. >: ***What is a Hardware Wallet?*** A hardware wallet is an electronic device that improves the security of cryptocurrency by maintaing all the private keys on the device, rather than ever putting them on a device directly connected to the internet. Hardware wallets have specific protocols for providing online interactions, usually managed by a program talking to the device through a USB port. In this chapter, we'll be managing a hardware wallet with `bitcoin-cli` and the `hwy.py` program.
You have three options for moving through this chapter on hardware wallets: (1) read along without testing the code; (2) install Bitcoin on a local machine to fully test these commands; or (3) skip straight ahead to [Chapter 8: Expanding Bitcoin Transactions in Other Ways](08_0_Expanding_Bitcoin_Transactions_Other.md). We suggest option #1, but if you really want to test these commands out we'll also give some support for #2 by talking about using a Macintosh for testing (a hardware-platform supported by [Bitcoin Standup](https://github.com/BlockchainCommons/Bitcoin-Standup)). You have three options for moving through this chapter on hardware wallets: (1) read along without testing the code; (2) install Bitcoin on a local machine to fully test these commands; or (3) skip straight ahead to [Chapter 8: Expanding Bitcoin Transactions in Other Ways](08_0_Expanding_Bitcoin_Transactions_Other.md). We suggest option #1, but if you really want to get your hands dirty we'll also give some support for #2 by talking about using a Macintosh (a hardware-platform supported by [Bitcoin Standup](https://github.com/BlockchainCommons/Bitcoin-Standup) for testing).
> :warning: **VERSION WARNING:** PSBTs are an innovation from Bitcoin Core v 0.17.0. Earlier versions of Bitcoin Core will not be able to work with the PSBT while it is in process (though they will still be able to recognize the final transaction). The HWI interface appeared in Bitcoin Core v 0.18.0, but as long as you are using our suggested setup with Bitcoin Standup, it should all be fully integrated. > :warning: **VERSION WARNING:** PSBTs are an innovation from Bitcoin Core v 0.17.0. Earlier versions of Bitcoin Core will not be able to work with the PSBT while it is in process (though they will still be able to recognize the final transaction). The HWI interface appeared in Bitcoin Core v 0.18.0, but as long as you are using our suggested setup with Bitcoin Standup, it should all be fully integrated.
> :warning **FRESHNESS WARNING:** The HWI interface is very new. It may be hard to install correctly and it may have unintuive errors. What follows if a description of a working setup, but it took several tries to get right, and your setup may vary. > :warning **FRESHNESS WARNING:** The HWI interface is very new and raw around the edges as of Bitcoin Core v 0.20.0. It may be hard to install correctly, and it may have unintuive errors. What follows is a description of a working setup, but it took several tries to get right, and your setup may vary.
The methodology for integrating with a Hardware Wallet that is described in this chapter depends on the [Bitcoin Hardware Wallet Interface](https://github.com/bitcoin-core/HWI) released through Bitcoin Core and builds on the [installation](https://github.com/bitcoin-core/HWI/blob/master/README.md) and [usage](https://github.com/bitcoin-core/HWI/blob/master/docs/bitcoin-core-usage.md) instructions found there. The methodology described in this chapter for integrating with a hardware wallet depends on the [Bitcoin Hardware Wallet Interface](https://github.com/bitcoin-core/HWI) released through Bitcoin Core and builds on the [installation](https://github.com/bitcoin-core/HWI/blob/master/README.md) and [usage](https://github.com/bitcoin-core/HWI/blob/master/docs/bitcoin-core-usage.md) instructions found there.
## Install Bitcoin Core on a Local Machine ## Install Bitcoin Core on a Local Machine
_If you just plan to read over this section and not test out these commands until some future date when you have a local development environment set up, you can skip this instruction, which is about creating a Bitcoin Core installation on a local machine such as a Mac or UNIX machine._ _If you just plan to read over this section and not test out these commands until some future date when you have a local development environment set up, you can skip this subsection, which is about creating a Bitcoin Core installation on a local machine such as a Mac or UNIX machine._
There are alternate versions of the Bitcoin Standup script that you used to create your VM that will install on a MacOS or on a non-Linode UNIX. There are alternate versions of the Bitcoin Standup script that you used to create your VM that will install on a MacOS or on a non-Linode UNIX machine.
If you have MacOS, you can install [Bitcoin Standup MacOS](https://github.com/BlockchainCommons/Bitcoin-Standup-MacOS/blob/master/README.md). If you have MacOS, you can install [Bitcoin Standup MacOS](https://github.com/BlockchainCommons/Bitcoin-Standup-MacOS/blob/master/README.md).
@ -30,7 +30,7 @@ We will be using a Macintosh and Testnet for the examples in this section.
### Creating an Alias for Bitcoin-CLI ### Creating an Alias for Bitcoin-CLI
Create an alias that causes `bitcoin-cli` to run the correct command from the correct directory with any appropriate flags. Create an alias that runs `bitcoin-cli` from the correct directory with any appropriate flags.
Here's an example alias from a Mac: Here's an example alias from a Mac:
``` ```
@ -38,15 +38,15 @@ $ alias bitcoin-cli="~/StandUp/BitcoinCore/bitcoin-0.20.0/bin/bitcoin-cli -testn
``` ```
You'll note it not only gives us the full path, but also ensures that we stay on Testnet. You'll note it not only gives us the full path, but also ensures that we stay on Testnet.
## Installing HWI on a Local Machine ## Install HWI on a Local Machine
_The following instructions again assume a Mac._ _The following instructions again assume a Mac, and again are unncessary if you're just reading through this chapter._
HWI is a Bitcoin Core program available in python. HWI is a Bitcoin Core program available in python that can be used to interact with hardware wallets.
### Installing Python ### Installing Python
Because HWI program is written in `python`, you'll need to install that first, if you haven't already. Because HWI is written in `python`, you'll need to install that as well as a few auxilliary programs.
If you don't already have the `xcode` command line tools, you'll need them: If you don't already have the `xcode` command line tools, you'll need them:
``` ```
@ -60,11 +60,11 @@ $ /bin/bash -c "$(curl -fsSL https://raw.githubusercontent.com/Homebrew/install/
For a first time install, you should also make sure your `/usr/local/Frameworks` directory is created correctly: For a first time install, you should also make sure your `/usr/local/Frameworks` directory is created correctly:
``` ```
sudo mkdir /usr/local/Frameworks $ sudo mkdir /usr/local/Frameworks
sudo chown $(whoami):admin /usr/local/Frameworks $ sudo chown $(whoami):admin /usr/local/Frameworks
``` ```
If you have `brew` installed, then you can then easily install `python`: If you've got all of that in place, you can finally install Python:
``` ```
$ brew install python $ brew install python
$ brew install libusb $ brew install libusb
@ -89,7 +89,7 @@ HWI$ python3 setup.py install
### Creating an Alias for HWI ### Creating an Alias for HWI
You'll want to create an alias here too, varied by yhour actual install location: You'll want to create an alias here too, varied by your actual install location:
``` ```
$ alias hwi="~/Standup/HWI/hwi.py --testnet" $ alias hwi="~/Standup/HWI/hwi.py --testnet"
``` ```
@ -97,38 +97,36 @@ Again, we've included a reference to testnet in this alias.
## Prepare Your Ledger ## Prepare Your Ledger
_We had to choose a hardware-wallet platform too, for this HWI demonstration. Our choice was Ledger, which has long been our testbed for hardware wallets. Please see [HWI's device support info](https://github.com/bitcoin-core/HWI/blob/master/README.md#device-support) for a list of other supported devices. If you use a device other than a Ledger, you'll need to assess your own solutions for preparing it for usage on the Testnet, but otherwise you should be able to continue with the course as written._ _We had to choose a hardware-wallet platform too, for this HWI demonstration. Our choice was the Ledger, which has long been our testbed for hardware wallets. Please see [HWI's device support info](https://github.com/bitcoin-core/HWI/blob/master/README.md#device-support) for a list of other supported devices. If you use a device other than a Ledger, you'll need to assess your own solutions for preparing it for usage on the Testnet, but otherwise you should be able to continue with the course as written._
If you are working with Bitcoins on your Ledger, you probably won't need to do anything. (But we don't suggest that for use with this course). If you are working with Bitcoins on your Ledger, you probably won't need to do anything. (But we don't suggest that for use with this course).
To work with Testnet, as suggested by this course, you'll need to make a few updates: To work with Testnet, as suggested by this course, you'll need to make a few updates:
1. Go to Settings on your Ledger Live app (it's the gear), go to the "Experimental Features" tab, and turn on "Developer Mode" 1. Go to Settings on your Ledger Live app (it's the gear), go to the "Experimental Features" tab, and turn on "Developer Mode".
2. Go to the "Manager" and install "Bitcoin Test". The current version requires that you have "Bitcoin" and "Etereum" installed first. 2. Go to the "Manager" and install "Bitcoin Test". The current version requires that you have "Bitcoin" and "Etereum" installed first.
3. Go to the "Manager", scroll to your new "Bitcoin Test", and "Add Account" 3. Go to the "Manager", scroll to your new "Bitcoin Test", and "Add Account"
To fully test, you will also want to request some Testnet coins from a faucet as described in [§3.4: Receiving a Transaction](03_4_Receiving_a_Transaction.md).
## Link to a Ledger ## Link to a Ledger
In order for a Ledger to be accessible, you must login with your PIN and then call up the app that you want to use, in this case the "Bitcoin Test" app. Once you've done that, you can ask for HWI to access the Ledger: In order for a Ledger to be accessible, you must login with your PIN and then call up the app that you want to use, in this case the "Bitcoin Test" app. Once you've done that, you can ask for HWI to access the Ledger with the `enumerate` command:
``` ```
$ hwi enumerate $ hwi enumerate
[{"type": "ledger", "model": "ledger_nano_s", "path": "IOService:/AppleACPIPlatformExpert/PCI0@0/AppleACPIPCI/XHC1@14/XHC1@14000000/HS05@14100000/Nano S@14100000/Nano S@0/IOUSBHostHIDDevice@14100000,0", "fingerprint": "9a1d520b", "needs_pin_sent": false, "needs_passphrase_sent": false}] [{"type": "ledger", "model": "ledger_nano_s", "path": "IOService:/AppleACPIPlatformExpert/PCI0@0/AppleACPIPCI/XHC1@14/XHC1@14000000/HS05@14100000/Nano S@14100000/Nano S@0/IOUSBHostHIDDevice@14100000,0", "fingerprint": "9a1d520b", "needs_pin_sent": false, "needs_passphrase_sent": false}]
``` ```
If you got information on your device, you're set! As you can see, it verifies your hardware-wallet type, provides other identifying information, and tells you how you must communicate with the device. If you receive information on your device, you're set! As you can see, it verifies your hardware-wallet type, provides other identifying information, and tells you how you must communicate with the device. The `fingerprint` (`9a1d520b`) is what you should pay particular attention to, because all interactions with your hardware wallet will require it.
If you instead got `[]`, then either (1) you didn't get your Ledger device ready by entering your PIN and choosing the correct application, or (2) there's something wrong with your Python setup, probably a missing dependency: you should consider `uninstall`ing it and trying from scratch. If you instead got `[]`, then either (1) you didn't get your Ledger device ready by entering your PIN and choosing the correct application, or (2) there's something wrong with your Python setup, probably a missing dependency: you should consider `uninstall`ing it and trying from scratch.
## Import Addresses ## Import Addresses
Interacting with a hardware wallet usually comes in two major steps: watching for funds and spending funds. Interacting with a hardware wallet usually comes in two parts: watching for funds and spending funds.
You can watch funds by importing addresses from your hardware wallet to your full node, using `bitcoin-cli`. You can watch for funds by importing addresses from your hardware wallet to your full node, using HWI and `bitcoin-cli`.
### Creating a Wallet ### Creating a Wallet
To use your hardware wallet with `bitcoin-cli`, you'll want to create a specific named wallet, using the `createwallet` RPC, which is a new command. To use your hardware wallet with `bitcoin-cli`, you'll want to create a specific named wallet in Bitcoin Core, using the `createwallet` RPC, which is a command we haven't previously discussed.
``` ```
$ bitcoin-cli --named createwallet wallet_name="ledger" disable_private_keys="true" $ bitcoin-cli --named createwallet wallet_name="ledger" disable_private_keys="true"
{ {
@ -140,7 +138,7 @@ In this case, we are creating a new wallet `ledger` without private keys (since
> :book: ***Why Name Wallets?*** To date, this course has used the default ("") wallet in Bitcoin Core. This is fine for many purposes, but is inadequate if you have a more complex situation, such as when you're watching keys from a hardware wallet. Here, we want to be able to differentiate from the locally owned keys (which are kept in the "" wallet) and the remotely owned keys (which are kept in the "ledger" wallet). > :book: ***Why Name Wallets?*** To date, this course has used the default ("") wallet in Bitcoin Core. This is fine for many purposes, but is inadequate if you have a more complex situation, such as when you're watching keys from a hardware wallet. Here, we want to be able to differentiate from the locally owned keys (which are kept in the "" wallet) and the remotely owned keys (which are kept in the "ledger" wallet).
You can now see that the new wallet is in your list: You can now see that the new wallet is in your wallets list:
``` ```
$ bitcoin-cli listwallets $ bitcoin-cli listwallets
[ [
@ -148,7 +146,7 @@ $ bitcoin-cli listwallets
"ledger" "ledger"
] ]
``` ```
Because you've created a second wallet, some commands will now require a `-rpcwallet=` flag, to specify which wallet you're using Because you've created a second wallet, some commands will now require a `-rpcwallet=` flag, to specify which one you're using
### Importing the Keys ### Importing the Keys
@ -157,13 +155,13 @@ We now have to import a list of addresses from the hardware wallet to watch. Thi
$ hwi -f 9a1d520b getkeypool --wpkh 0 1000 $ hwi -f 9a1d520b getkeypool --wpkh 0 1000
[{"desc": "wpkh([9a1d520b/84h/1h/0h]tpubDD7KTtoGzK9GuWUQcr1uTJazsAkqoXhdrwGXWVix6nPpNZmSbagZWD4QSaMsyK8YohAirGDPrWdRiEpKzTFB7DrTrqfzHCn7yi5EsqeR93S/0/*)#qttxy592", "range": [0, 1000], "timestamp": "now", "internal": false, "keypool": true, "active": true, "watchonly": true}, {"desc": "wpkh([9a1d520b/84h/1h/0h]tpubDD7KTtoGzK9GuWUQcr1uTJazsAkqoXhdrwGXWVix6nPpNZmSbagZWD4QSaMsyK8YohAirGDPrWdRiEpKzTFB7DrTrqfzHCn7yi5EsqeR93S/1/*)#3lw8ep4j", "range": [0, 1000], "timestamp": "now", "internal": true, "keypool": true, "active": true, "watchonly": true}] [{"desc": "wpkh([9a1d520b/84h/1h/0h]tpubDD7KTtoGzK9GuWUQcr1uTJazsAkqoXhdrwGXWVix6nPpNZmSbagZWD4QSaMsyK8YohAirGDPrWdRiEpKzTFB7DrTrqfzHCn7yi5EsqeR93S/0/*)#qttxy592", "range": [0, 1000], "timestamp": "now", "internal": false, "keypool": true, "active": true, "watchonly": true}, {"desc": "wpkh([9a1d520b/84h/1h/0h]tpubDD7KTtoGzK9GuWUQcr1uTJazsAkqoXhdrwGXWVix6nPpNZmSbagZWD4QSaMsyK8YohAirGDPrWdRiEpKzTFB7DrTrqfzHCn7yi5EsqeR93S/1/*)#3lw8ep4j", "range": [0, 1000], "timestamp": "now", "internal": true, "keypool": true, "active": true, "watchonly": true}]
``` ```
We ask for the first 1000 WPKH (native Segwit) addresses and receive two descriptors for a key pool: one for receiving addresses and one for change addresses. We address HWI with the `fingerprint` and ask for the first 1000 WPKH (native Segwit) addresses. In return, we receive two descriptors for the key pool: one for receiving addresses and one for change addresses.
> :book: ***What is a key pool?*** A key pool is a group of pregenerated keys. Modern HD wallets generate key pools by continuing to to determine new hierarchical addresses based on the original seed. The idea of key pools was originally implemented to ease the backup requirements of wallets. This allowed a keypool to be generated, and then the wallet to be backed up, rather than requiring backups after every new address was created. The concept has also proven very useful in the modern day since it allows the importing of a whole set of future addresses from one device to another. > :book: ***What is a key pool?*** A key pool is a group of pregenerated keys. Modern HD wallets create key pools by continuing to determine new hierarchical addresses based on the original seed. The idea of key pools was originally implemented to ease the backup requirements of wallets. This allowed a user to generate a keypool and then backup the wallet immediately, rather than requiring backups after every new address was created. The concept has also proven very useful in the modern day since it allows the importing of a whole set of future addresses from one device to another.
These are the same sorts of descriptors that we learned about in [§3.5: Understanding the Descriptor](03_5_Understanding_the_Descriptor.md). At the time, we said that they were most useful for moving addresses among different machines. Here's the real-life example: moving addresses from a hardware wallet to Bitcoin Core node, so that our net-connected machine will be able to watch over them. The values returned by `getkeypool` are the same sorts of descriptors that we learned about in [§3.5: Understanding the Descriptor](03_5_Understanding_the_Descriptor.md). At the time, we said that they were most useful for moving addresses among different machines. Here's the real-life example: moving addresses from a hardware wallet to Bitcoin Core node, so that our net-connected machine will be able to watch over the keys owned by the offline hardware wallet.
Just as we learned in [§3.5](03_5_Understanding_the_Descriptor.md), you can examine these descriptors with the `getdescriptorinfo` RPC: Just as you learned in [§3.5](03_5_Understanding_the_Descriptor.md), you can examine these descriptors with the `getdescriptorinfo` RPC:
``` ```
$ bitcoin-cli getdescriptorinfo "wpkh([9a1d520b/84h/1h/0h]tpubDD7KTtoGzK9GuWUQcr1uTJazsAkqoXhdrwGXWVix6nPpNZmSbagZWD4QSaMsyK8YohAirGDPrWdRiEpKzTFB7DrTrqfzHCn7yi5EsqeR93S/0/*)#qttxy592" $ bitcoin-cli getdescriptorinfo "wpkh([9a1d520b/84h/1h/0h]tpubDD7KTtoGzK9GuWUQcr1uTJazsAkqoXhdrwGXWVix6nPpNZmSbagZWD4QSaMsyK8YohAirGDPrWdRiEpKzTFB7DrTrqfzHCn7yi5EsqeR93S/0/*)#qttxy592"
{ {
@ -174,9 +172,9 @@ $ bitcoin-cli getdescriptorinfo "wpkh([9a1d520b/84h/1h/0h]tpubDD7KTtoGzK9GuWUQcr
"hasprivatekeys": false "hasprivatekeys": false
} }
``` ```
As you'd expect, who do _not_ `hasprivatekeys`, because hardware wallets hold on to those. As you'd expect, we do _not_ have `privatekeys`, because hardware wallets hold on to those.
You can import the keys into your new `ledger` wallet using the `importmulti` RPC that you also met in [§3.5](03_5_Understanding_the_Descriptor.md). In this case, just put the entire response you got back from HWI in `'`s. With the descriptors in hand, you can import the keys into your new `ledger` wallet using the `importmulti` RPC that you also met in [§3.5](03_5_Understanding_the_Descriptor.md). In this case, just put the entire response you got back from HWI in `'`s.
``` ```
$ bitcoin-cli -rpcwallet=ledger importmulti '[{"desc": "wpkh([9a1d520b/84h/1h/0h]tpubDD7KTtoGzK9GuWUQcr1uTJazsAkqoXhdrwGXWVix6nPpNZmSbagZWD4QSaMsyK8YohAirGDPrWdRiEpKzTFB7DrTrqfzHCn7yi5EsqeR93S/0/*)#qttxy592", "range": [0, 1000], "timestamp": "now", "internal": false, "keypool": true, "active": true, "watchonly": true}, {"desc": "wpkh([9a1d520b/84h/1h/0h]tpubDD7KTtoGzK9GuWUQcr1uTJazsAkqoXhdrwGXWVix6nPpNZmSbagZWD4QSaMsyK8YohAirGDPrWdRiEpKzTFB7DrTrqfzHCn7yi5EsqeR93S/1/*)#3lw8ep4j", "range": [0, 1000], "timestamp": "now", "internal": true, "keypool": true, "active": true, "watchonly": true}]' $ bitcoin-cli -rpcwallet=ledger importmulti '[{"desc": "wpkh([9a1d520b/84h/1h/0h]tpubDD7KTtoGzK9GuWUQcr1uTJazsAkqoXhdrwGXWVix6nPpNZmSbagZWD4QSaMsyK8YohAirGDPrWdRiEpKzTFB7DrTrqfzHCn7yi5EsqeR93S/0/*)#qttxy592", "range": [0, 1000], "timestamp": "now", "internal": false, "keypool": true, "active": true, "watchonly": true}, {"desc": "wpkh([9a1d520b/84h/1h/0h]tpubDD7KTtoGzK9GuWUQcr1uTJazsAkqoXhdrwGXWVix6nPpNZmSbagZWD4QSaMsyK8YohAirGDPrWdRiEpKzTFB7DrTrqfzHCn7yi5EsqeR93S/1/*)#3lw8ep4j", "range": [0, 1000], "timestamp": "now", "internal": true, "keypool": true, "active": true, "watchonly": true}]'
[ [
@ -190,7 +188,7 @@ $ bitcoin-cli -rpcwallet=ledger importmulti '[{"desc": "wpkh([9a1d520b/84h/1h/0h
``` ```
(Note that HWI helpfully output the derivation path with `h`s to show hardened derivations rather than `'`s, and calculated its checksum accordingly, so that we don't have to do massive quoting like we did in §3.5.) (Note that HWI helpfully output the derivation path with `h`s to show hardened derivations rather than `'`s, and calculated its checksum accordingly, so that we don't have to do massive quoting like we did in §3.5.)
You can now list all of the watch-only addresse that you received using the `getaddressesbylabel` command. All 1000 of the receive addresses are right there, in the `ledger` wallet! You _could_ now list all of the watch-only addresse that you received using the `getaddressesbylabel` command. All 1000 of the receive addresses are right there, in the `ledger` wallet!
``` ```
$ bitcoin-cli -rpcwallet=ledger getaddressesbylabel "" | more $ bitcoin-cli -rpcwallet=ledger getaddressesbylabel "" | more
{ {
@ -205,14 +203,14 @@ $ bitcoin-cli -rpcwallet=ledger getaddressesbylabel "" | more
``` ```
## Receive a Transaction ## Receive a Transaction
Obviously, receiving a transaction is simple. You use `getnewaddress` to request one of those addresses: Obviously, receiving a transaction is simple. You use `getnewaddress` to request one of those imported addresses:
``` ```
$ bitcoin-cli -rpcwallet=ledger getnewaddress $ bitcoin-cli -rpcwallet=ledger getnewaddress
tb1qqqvnezljtmc9d7x52udpc0m9zgl9leugd2ur7y tb1qqqvnezljtmc9d7x52udpc0m9zgl9leugd2ur7y
``` ```
Then you send money to it. Then you send money to it.
The power of HWI is that you can now watch the payments from your Bitcoin Core node, rather than having to plug in your hardware wallet and query it. The power of HWI is that you can watch the payments from your Bitcoin Core node, rather than having to plug in your hardware wallet and query it.
``` ```
$ bitcoin-cli -rpcwallet=ledger listunspent $ bitcoin-cli -rpcwallet=ledger listunspent
[ [
@ -246,9 +244,9 @@ $ bitcoin-cli -rpcwallet=ledger listunspent
``` ```
## Create a Transaction with PSBT ## Create a Transaction with PSBT
Watching and receiving payments is just half-the-battle. You may also want to make payments using accounts held by your hardware wallet. This is a fourth realworld example of PSBT, per the process we learned in [§7.1: Creating a Partially Signed Bitcoin Transaction](7_1_Creating_a_Partially_Signed_Bitcoin_Transaction.md). Watching and receiving payments is just half the battle. You may also want to make payments using accounts held by your hardware wallet. This is a one more real-world example of using PSBTs, per the process we learned in [§7.1: Creating a Partially Signed Bitcoin Transaction](7_1_Creating_a_Partially_Signed_Bitcoin_Transaction.md).
The commands work exactly the same. In this case, we use `walletcreatefundedpsbt` because this is a situation where we don't care what UTXOs are used: The commands work exactly the same. In this case, we use `walletcreatefundedpsbt` to form our PSBT because this is a situation where we don't care what UTXOs are used:
``` ```
$ bitcoin-cli -named -rpcwallet=ledger walletcreatefundedpsbt inputs='''[]''' outputs='''[{"tb1qcaedd724gts3aug73m78c7nfsv9d8zs9q6h2kd":0.015}]''' $ bitcoin-cli -named -rpcwallet=ledger walletcreatefundedpsbt inputs='''[]''' outputs='''[{"tb1qcaedd724gts3aug73m78c7nfsv9d8zs9q6h2kd":0.015}]'''
{ {
@ -414,11 +412,11 @@ Because we imported that keypool, `bitcoin-cli` has all the information it needs
That's where HWI comes in, with the `signtx` command. We just send along our PSBT: That's where HWI comes in, with the `signtx` command. We just send along our PSBT:
``` ```
$ hwi -f 9a1d520b signtx $psbt $ hwi -f 9a1d520b signtx $psbt
{"psbt": "cHNidP8BAJoCAAAAAri6BLjKQZGO9Y1iVIYbxlxBJ2kqsTPWnxGaH4HrSjxbAAAAAAD+////leV0hwJ0fO40RmhuFVIYtO16ktic2J4vJFLAsT5TM8cBAAAAAP7///8CYOMWAAAAAAAWABTHctb5VULhHvEejvx8emmDCtOKBU+gBwAAAAAAFgAU9Ojd5ds3CJi1fIRWbj92CYhQgX0AAAAAAAEBH0BCDwAAAAAAFgAUABk8i/Je8Fb41FcaHD9lEj5f54giAgMBaNlILisC1wJ/tKie3FStqhrfcJM09kfQobBTOCiuxUcwRAIgAxkQlk2fqEMxvP54WWyiFhlfSul9sd4GzKDhfGpmlewCIHYej3zXWWMgWI6rixxQw9yzGozDaFPqQNNIvcFPk+lfASIGAwFo2UguKwLXAn+0qJ7cVK2qGt9wkzT2R9ChsFM4KK7FGJodUgtUAACAAQAAgAAAAIAAAAAAOQIAAAABAR9AQg8AAAAAABYAFC1PE5+qiFME0VYWoWbS1RV0r0pdIgICoBPPnEtfVonZJTA2o+R3z5holib3gUyU8JJybxG3QatHMEQCIH5t6T2yufUP7glYZ8YH0/PhDFpotSmjgZUhvj6GbCFIAiBcgXzyYl7IjYuaF3pJ7AgW1rLYkjeCJJ2M9pVUrq5vFwEiBgKgE8+cS19WidklMDaj5HfPmGiWJveBTJTwknJvEbdBqxiaHVILVAAAgAEAAIAAAACAAAAAAAAAAAAAACICA9lCtZ7qUn1wvNZ5geuV2fqWJSaf1usDZORS7eWQksepGJodUgtUAACAAQAAgAAAAIABAAAAAQAAAAA="}
``` ```
Expect to have to do some fiddling with your hardware wallet at this point. It'll probably tell you that it doesn't know about the inputs (because it's not connected to the net), and it'll probably ask you to confirm the outputs and the fee. When you're done, it should return a new PSBT. Expect to have to do some fiddling with your hardware wallet at this point. The device will probably ask you to confirm the inputs, the outputs, and the fee. When you're done, it should return a new PSBT.
``` ```
{"psbt": "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"}
$ psbt_f="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" $ psbt_f="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"
``` ```
@ -460,9 +458,9 @@ You've successfully sent funds using the private keys held on your hardware wall
## Summary: Integrating with Hardware Wallets ## Summary: Integrating with Hardware Wallets
Hardware wallets can offer better protection by keeping your private keys offline, protected in the hardware. Fortunately, there's still a way to interact with them using `bitcoin-cli`. You just install HWI and it will then allow you to (1) import public keys to watch them; and (2) send it PSBTs for signing. Hardware wallets can offer better protection by keeping your private keys offline, protected in the hardware. Fortunately, there's still a way to interact with them using `bitcoin-cli`. You just install HWI and it will then allow you to (1) import public keys to watch them; and (2) sign transactions using your hardware wallet.
> :fire: ***What's the power of HWI?*** HWI lets you interact with hardware wallets using all of the commands of `bitcoin-cli` that you've learned to date. You can make raw transactions of any sort, then send PSBTs to the hardware wallets for signing. Thus, you have all of the power of Bitcoin Core, but you also have the security of a hardware device. > :fire: ***What's the power of HWI?*** HWI lets you interact with hardware wallets using all of the commands of `bitcoin-cli` that you've learned to date. You can make raw transactions of any sort, then send PSBTs to hardware wallets for signing. Thus, you have all of the power of Bitcoin Core, but you also have the security of a hardware device.
## What's Next? ## What's Next?