In Web3 applications, securing the client-side mnemonic (seed) phrase backup and recovery process is foundational to user safety and decentralized integrity. The current industry best practices focus on user autonomy, zero-knowledge architecture, and attack surface minimization.

🔹 Client-Side Generation Only

Mnemonic phrases must be generated entirely on the client device—never transmitted, logged, or stored on the server. This ensures self-custody and zero data exposure.

🔹 Encrypted Local Storage (Optional)

If the app allows optional mnemonic storage, it must be encrypted using AES or equivalent algorithms—protected by user-defined credentials or biometrics, and sandboxed from app logic.

🔹 Secure UI/UX Prompts

Display phrases in a one-time, non-copyable interface, encourage offline backups, and require phrase confirmation (e.g., select words 3, 6, 12) to reduce accidental skips.

🔹 Shamir Secret Sharing (Advanced)

For enhanced recovery, implement secret-splitting schemes where seed components are distributed across trusted parties or devices.

🔹 Hardware & Biometric Integration

Support for hardware wallets or biometric-secured key vaults adds a layer of protection without exposing the mnemonic to software layers.

If you still doubt about where to start your business and develop a Cryptocurrency Wallet App like Trust Wallet. We Maticz, our crypto wallet development and Web3 infrastructure solutions, strictly adhere to these practices—delivering client-owned security models, robust UI flows, and institutional-grade protection for all recovery logic.