On the platform
The exchange manages the private keys and gives you access through your account.
GUIDE · BITCOIN IN SIMPLE WORDS
How to create your first self-custody wallet with BlueWallet
A practical beginner example — from creating the wallet to finding your own Bitcoin receiving address.
In Book 1, after Alex buys his first small amount of bitcoin through an exchange, he takes the next important step: he creates his own wallet so he can control the keys himself. Here, we follow that process in practice using BlueWallet as a specific example.
BlueWallet is not presented as the “best” or only option. It is a well-known self-custody Bitcoin wallet that helps us see the basic steps clearly. The interface and labels may change as the app is updated.
What you will do
You will create a simple Bitcoin wallet in BlueWallet and reach your own receiving address.
- Start creating a new wallet.
- Choose a Bitcoin wallet and optionally give it a name.
- Write down the 12 recovery words safely.
- Confirm that the backup has been stored correctly.
- Open the new wallet and find Receive and Send.
- Display the Bitcoin receiving address that will be used in the next guide.
Before you start: what self-custody means
In a self-custody wallet, the keys controlling the bitcoin are not managed by an exchange on your behalf. Responsibility moves to you. That gives you more control, but it also means you must protect the wallet backup properly.
In a self-custody wallet
You hold the backup that can restore the wallet and, with it, access to your bitcoin.
Open BlueWallet and add a new wallet
On the BlueWallet home screen, tap Add now to start creating a new wallet.
Choose Bitcoin and tap Create
On the Add Wallet screen, you can optionally enter a name to help identify the wallet. For this guide, choose Bitcoin — not Multisig Vault — and tap Create.
Write down the 12 recovery words and keep them offline
Immediately after Create, BlueWallet shows 12 recovery words. These 12 words make up the wallet’s recovery phrase. Write them down in the correct order on paper or another appropriate offline medium and store them somewhere safe. When finished, tap “OK, I wrote it down”.
Important
We do not show a screenshot of the real recovery phrase in this guide. Do not screenshot the words, save them in Photos, Notes, iCloud, email, or messages, and never give them to anyone.
The new wallet appears with a 0 BTC balance
After creation, BlueWallet returns to the home screen. The new wallet appears with 0 BTC and no transactions, which is completely normal because it has not received any bitcoin yet.
Open the wallet and find Receive and Send
Tap the wallet. At the bottom you will see the two basic actions: Receive to receive bitcoin and Send to send it. In this guide, we continue with Receive. We will use Send in a later guide, when we look at how to send bitcoin from your wallet.
Before showing the address, confirm that you have the backup
When you tap Receive for the first time, BlueWallet asks whether you saved the recovery phrase. The warning matters: without the backup, if the device is lost or damaged, you will lose access to your funds.
Find your Bitcoin receiving address
After confirming the backup, the Receive screen shows a QR code and the Bitcoin address. This is the information you give to someone who wants to send you bitcoin, or enter as the destination when withdrawing from an exchange.
Alex test address
The address shown in the image belongs to Alex’s test wallet used in these practical guides. Do not use it for your own withdrawal. Always use the Bitcoin receiving address from your own wallet.
What we have achieved so far
Alex now has his own self-custody Bitcoin wallet, has recorded the recovery phrase, and knows where to find his Bitcoin address. We have not moved bitcoin from the exchange yet. That will be the next separate lesson, so we do not rush into a step involving a real withdrawal.
Next step
Now that you have created your own BlueWallet and found your Bitcoin receiving address, the next step is to see how to withdraw bitcoin from Bybit EU to your own wallet.
Frequently asked questions
Is BlueWallet a hardware wallet?
No. In this form it is a mobile hot wallet: it runs on a device connected to the internet. For larger amounts, a hardware wallet is a different category of protection.
Can I screenshot the 12 recovery words?
We do not recommend it. The recovery phrase should remain offline and secret, not in photos, cloud storage, email, or messaging apps.
What happens if I lose my phone?
If you have safely stored the recovery words, you can restore the wallet in a compatible wallet on another device. Without the backup, access to the bitcoin in that wallet is lost.
Is the Bitcoin address shown under Receive secret?
No. A receiving address is designed to be shared so you can receive bitcoin. The recovery phrase must remain secret, not the address.
I already have a wallet. Do I need to create another one?
No. This guide shows one specific beginner process using BlueWallet. If you already use and understand another self-custody wallet, you do not need to change it just to follow the example.
Do I need to move bitcoin from the exchange now?
No. The goal of this guide is to create and secure the wallet first. The real withdrawal will be covered separately in the next step.