How to put words into a Bitcoin address? Here’s how vanity addresses work

Have you ever wondered whether a Bitcoin (BTC) code — oregon a drawstring of 26–35 alphanumeric characters — tin hap to person human-readable words alternatively of random letters?

You’ve astir apt heard of the Lightning Network, which allows you to create a fancy BTC address that looks similar an email oregon a web domain. But there’s besides a mode of creating Bitcoin addresses containing human-readable words connected the archetypal Bitcoin blockchain. Such addresses are known arsenic vanity Bitcoin addresses.

What is simply a vanity Bitcoin address?

A vanity Bitcoin code is simply a personalized BTC code that contains a circumstantial signifier oregon connection successful a portion of its full 26-35 quality drawstring of letters and numbers. Unlike a accustomed Bitcoin code — which is made of random characters — a vanity Bitcoin code allows users to customize their addresses oregon adjacent nonstop a circumstantial connection conscionable wrong the address.

The word “vanity address” comes from the plain meaning of the connection “vanity,” which is utilized to explicit inflated pridefulness successful oneself oregon one’s appearance. In enactment with the nonstop meaning, vanity addresses are utilized by those who privation to basal retired and springiness their wallet code a unsocial identity.

Vanity Bitcoin addresses became fashionable a fewer years aft the anonymous Bitcoin creator Satoshi Nakamoto launched the cryptocurrency backmost successful 2009. The archetypal vanity code generator, called “VanityGen,” was released arsenic an open-source level connected GitHub successful 2012. One of the archetypal references to vanity addresses connected Bitcointalk.org — a large crypto forum created by Nakamoto — goes backmost to 2013.

According to Trezor’s Bitcoin expert Josef Tetek, Nakamoto didn’t usage vanity addresses: “He disappeared from the nationalist earlier vanity addresses became popular,” Tetek told Cointelegraph, referring to Nakamoto’s vanishing successful 2011.

Besides the Bitcoin blockchain, vanity addresses are besides available connected different networks, including the Ethereum blockchain. Unlike Bitcoin vanity addresses, which let users to take among 26–35 alphanumeric characters, Ethereum vanity addresses lone diagnostic hexadecimal numbers, arsenic Ether (ETH) addresses tin lone see letters “A” done “F” and numbers zero done nine.

According to the ETH Optimism vanity code generator, creating an Ethereum vanity code starting with “0xFad69” would take up to 5 minutes.

How to make a Bitcoin vanity address?

There are 2 ways of creating a vanity BTC address: manually and utilizing specialized vanity code generator services. The archetypal method relies connected bundle and requires immoderate computing powerfulness and coding skills to tally programs to find Bitcoin addresses starting with a circumstantial connection combination.

Many Bitcoin experts similar Trezor’s Tetek hold that the archetypal method is the astir unafraid mode of creating a vanity Bitcoin address, arsenic this method allows users to support their effect operation private. Being the lone proprietor of a private cardinal oregon a effect phrase enables the idiosyncratic to beryllium the sole holder of the funds associated with the address.

The manual method requires installing vanity address-generating bundle similar VanityGen, which is disposable connected the cloud-based bundle website GitHub. Running specified bundle requires definite computing powerfulness specs, with larger sequences of symbols demanding much clip to make a vanity address.

Various sources estimation that generating a vanity code containing a five-symbol connection takes astir 1 hr utilizing a regular idiosyncratic computer, portion larger sequences similar 7 symbols could instrumentality up to 3 months. More blase setups involving almighty graphic cards oregon adjacent application-specific integrated circuit (ASIC) chips tin importantly trim the clip needed to make a vanity address.

The 2nd method of creating a vanity code is much straightforward but little unafraid arsenic it relies connected delegating the code hunt to third-party services, besides known arsenic “vanity code miners.”

Reliance connected Bitcoin vanity services is associated with large risks, arsenic miners tin perchance instrumentality implicit the code and its assets astatine immoderate time. That is due to the fact that specified miners are the archetypal to person the backstage cardinal earlier passing it to the customer. The backstage cardinal is generated astatine the infinitesimal of creating a Bitcoin code and cannot beryllium changed afterward.

The vanity procreation work is often offered via websites similar Vanitygen.net, allowing users to simply bid a definite desired connection oregon series to beryllium searched with computing powerfulness bought online. Such services often let users to bid a series of letters up to 8 symbols. Once generated, the backstage cardinal for the vanity code is sent to the customer’s email successful speech for the agreed price.

For example, generating a Bitcoin vanity code starting with “1Satoshi…” would outgo astir 0.0217 BTC, worthy astir $600 astatine the clip of writing. Larger sequences similar “1Nakamoto…” would necessitate astatine slightest 0.11 BTC, oregon arsenic overmuch arsenic $3,250.

It’s important to enactment that not each letters and numbers tin beryllium included successful a vanity Bitcoin address, conscionable similar a mean BTC address. Some letters, similar the uppercase missive for “O,” the uppercase missive for “I,” the lowercase missive for “L,” and the fig “0,” are excluded from the acceptable of 26–35 alphanumeric characters disposable successful each Bitcoin addresses. The exclusions purpose to assistance users debar disorder erstwhile sending funds connected the Bitcoin blockchain.

The risks of utilizing a Bitcoin vanity address

A determination connected whether oregon not to usage a Bitcoin vanity code yet depends connected the reasons for having specified an code successful the archetypal place, taking into relationship each imaginable risks. Some cryptocurrency exchanges similar BitMEX person experimented with vanity addresses utilizing the autochthonal Segregated Witness (SegWit) code format Bech32 with the “bc1qmex…” prefix.

A spokesperson for BitMEX told Cointelegraph that astir vanity addresses are utilized for selling oregon considered “a spot of fun.”

“Bitcoin vanity addresses were rather fashionable connected BitcoinTalk circa 2011, erstwhile galore solicited donations to their idiosyncratic vanity address, for example, 1Name,” the BitMEX’s typical noted, adding:

“In the days earlier structured impervious of reserves systems, the exchange-wide usage of vanity addresses gave a mode for users to informally sum up the reserves of an exchange.”

The steadfast besides attempted to usage vanity addresses to marque it harder for attackers to scam users since BitMEX lone gave vanity addresses to users. However, 1 should not trust connected vanity addresses arsenic a information mechanism, arsenic much precocious attackers could negociate to transcript the vanity code format, the typical noted.

BitMEX’s spokesperson says vanity addresses are champion suited for precocious users: “The main weakness for idiosyncratic users is reduced privacy. In general, we would counsel users not to reuse addresses astatine all,” adding that newer BitMEX lawsuit addresses nary longer diagnostic a vanity prefix.

Trezor’s Bitcoin adept Tetek powerfully advised against utilizing vanity addresses due to the fact that specified addresses — adjacent if generated successful a unafraid mode — beforehand code reuse, which is simply a atrocious signifier successful presumption of privacy. He said:

“If a Bitcoin code is utilized much than once, different radical tin easy way the receiving and spending habits of a person. It is, therefore, besides easier to place the proprietor of the address.”

Besides privateness and plus information risks, vanity BTC addresses are besides associated with information vulnerabilities. In 2022, hackers managed to bargain $3.3 million successful crypto done a vulnerability successful Ethereum vanity address-generating instrumentality Profanity. Additionally, successful March 2023, attackers besides utilized hacked vanity addresses to steal $500,000 worthy of tokens from layer-2 scaling solution Arbitrum’s airdrop.

The aboriginal of Bitcoin vanity addresses

Despite Bitcoin vanity addresses becoming overmuch little fashionable since 2011, determination is nary grounds that specified addresses person not been utilized successful caller years.

One study precocious described the usage of a Bitcoin vanity code containing swearing words seemingly directed toward Russia’s President Vladimir Putin. The code has transacted a full of 0.29 BTC ($7,595) successful 67 transactions betwixt 2018 and 2020, turning its equilibrium to zero.

One of its past recorded transactions included a 0.0004 BTC ($10) transaction to the nationalist Bitcoin code of celebrated Bitcoin professional Warren Buffet, who was given a BTC code and a acquisition from Tron laminitis Justin Sun.

Moreover, challenges and considerations persist. For instance, the information risks linked to vanity code generators indispensable beryllium addressed, prompting the improvement of much unafraid and user-friendly tools. Vanity code instauration could go much streamlined and disposable to a wider audience, not conscionable those with coding expertise, arsenic blockchain systems make and incorporated caller features.

However, the privateness issues raised by the reuse of addresses volition stay a important consideration. Therefore, users who privation personalized addresses indispensable equilibrium the advantages of uniqueness against imaginable privateness breaches.

While it’s important to recognize that Bitcoin vanity addresses are rather risky and expensive, specified addresses seemingly unlock immoderate caller and possibly weird usage cases of the cryptocurrency. With that successful mind, it’s up to Bitcoin users whether the aboriginal of Bitcoin vanity addresses is agleam oregon not.