TABLE OF CONTENTS
If you are new to Bitcoin payments, terms like xPub or extended public key might sound confusing.
This guide will help you understand what an xPub is, why Blockonomics needs it, and what are the risks of revealing your xPub.
What is an xPub?
xPub (Extended Public Key) is a special public key from your Bitcoin wallet.
Every Bitcoin wallet is made up of two kinds of keys private keys (which let you spend your Bitcoin) and public keys (which let you receive it).
An xPub, short for Extended Public Key, is a special type of public key that represents your entire wallet.
It usually begins with the prefix xpub, ypub, or zpub, depending on your wallet type.
Blockonomics uses your xPub to generate a unique Bitcoin address for each order. These addresses belong to your own wallet, so all payments are received directly and instantly into it.
To find the xPub for your wallet, please refer to this article
Key Facts About xPub
- It’s the “Master Key” for Your Wallet’s Public Addresses:
Your xPub can generate many unique Bitcoin receiving addresses that all belong to the same wallet.
This means you don’t have to use the same address again and again, your wallet can automatically create new ones for each payment. - It Keeps Your Privacy Intact:
Using a new address for every payment helps protect your privacy.
If you reused one address, anyone could see its balance and all transactions linked to it.
Wallets that use xPubs automatically generate new addresses, keeping both you and your customers more private. - It Allows You to View All Balances Easily:
The xPub gives you a complete view of your wallet.
You can check the balance and transaction history of all your addresses, without needing to open your wallet app each time. - It Keeps Your Private Keys Safe:
Sharing your xPub is safe, because it doesn’t include your private keys.
No one can spend your Bitcoin with just the xPub, they can only view your public information.
This allows Blockonomics to create receiving addresses without ever requiring your private keys.
What are the risks of revealing my xPub?
Your xPub is safe to share with trusted services like Blockonomics, it cannot be used to spend your Bitcoin.
However, it can reveal some wallet information. Here’s what to keep in mind:
- It Does Not Expose Your Funds:
The xPub only contains public information about your wallet. It cannot be used to spend or move your funds. It does not expose your private keys or give access to your funds. - It Reveals Your Wallet’s Public Activity:
When you share your xPub, anyone with it can:- View all your wallet’s public addresses
- See balances and incoming transactions for those addresses
- Track your payment history on the blockchain
- Only Share With Trusted Services:
Share your xPub only with services you trust, such as Blockonomics, which uses it to generate new receiving addresses securely. - Keep Your Private Keys Secret:
Always keep your private keys secret, as they control your actual funds.
Anyone with access to your private keys can control your funds. Read More here