Digital BitBox Review (2022): Hands-on With The BitBox01

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Digital BitBox

• Beginner Friendly

  
  
  
  
  

  
  
  
  
  

• Design

  
  
  
  
  

  
  
  
  
  

• Security

  
  
  
  
  

  
  
  
  
  

• Documentation

  
  
  
  
  

  
  
  
  
  

• Supported Cryptocurrencies

  
  
  
  
  

  
  
  
  
  

• Price

  
  
  
  
  

  
  
  
  
  

3.8

Summary

The Digital BitBox (BitBox01) was affordable Swiss-made hardware wallet, which was small and discreet.

While I did like it, I thought that the absense of any screen on the device really let it down. It also supported fewer cryptocurrencies than alternatives like the Ledger Nano S or Trezor – which didn’t make it great if you wanted to store all your cryptocurrencies using one device.

The BitBox02 is the new and improved version which you should check out instead.

The Digital BitBox (i.e., BitBox01) is no longer available for purchase. They’ll continue to support it until November 2020, but they’re incentivising anyone who has the Digital BitBox (with a 30% discount) to move over to their upgraded hardware wallet – the BitBox02.

The Digital BitBox (also referred to as BitBox01) is a minimalistic cryptocurrency hardware wallet which helps you easily keep your hard-earned coins safe.

Find out my thoughts about this hardware wallet in this Digital BitBox review.

Advantages & Disadvantages

Advantages

• Open-source.

• Doesn’t look or feel cheap.

• Compact, lightweight, and discreet.

• Setup and wallet backup is lemon squeezy.

• Desktop client is simple and easy to use.

• Native Bech32 in the desktop app.

Disadvantages

• Supports fewer cryptocurrencies than other hardware wallets.

• Doesn’t have a screen on the device (to prevent man-in-the-middle attacks).

• Documentation isn’t great.

What Is The Digital BitBox?

The Digital BitBox (i.e., BitBox01) is a cryptocurrency hardware wallet which was engineered and produced in Switzerland by Shift Devices. It was originally released in 2016.

Hardware wallets like the Digital BitBox don’t expose your private keys. They’re kept isolated on a high-security, tamper-resistant chip. Even if your computer was infected with malware, your funds can’t be moved unless you physically confirm the transaction.

Hardware wallets are well-recommended across the crypto-community. That’s because they’re loads better than a hot wallet (e.g. a standard desktop or mobile wallet), are easy-to-use, and incredibly convenient.

Supported Coins

The Digital BitBox currently supports the following cryptocurrencies:

• Bitcoin (BTC)
• Ethereum (ETH)
• ERC-20 Tokens (e.g. 0x, BAT, and REP).
• Litecoin (LTC)
• Bitcoin Cash (BCH)
• Ethereum Classic (ETC)

Unboxing

This ships in a slim cardboard box, which has some basic information printed on the back.

Once opened, you’ll see that it includes:

• The Digital BitBox
• An 8GB SanDisk MicroSD
• 2x Stickers

It includes no documentation, as it’s all online.

Design

The Digital BitBox is the most compact (45 x 18 x 7mm) and lightweight wallet (4g) that I’ve reviewed. It’s the most discreet too – it looks just like a standard USB. It has a small bit of branding on the back, but nowhere near as obvious as the Trezor or Ledger Nano S.

The USB exterior is filled with epoxy, which makes it tough, durable, and suitable for hanging on your keychain. Apparently, that’s the same material used in bulletproof glass!

You’ll confirm transactions by softly pressing and holding on the dipped side (on the top). Funds won’t be sent from wallets generated on the Digital BitBox unless you physically confirm the transaction.

There’s no screen on the device. You’ll have to connect your mobile phone to securely verify transactions and receiving addresses. It’s critical you set this up ASAP to prevent man-in-the-middle attacks. Setting this up is simple and easy, and is detailed below.

Getting Started

Initial Setup

Important: If your Digital BitBox arrives pre-setup, do not use it. Just contact the retailer or manufacturer and sit tight.

It only takes about 5 minutes to set it up.

Download and install the latest desktop app (available on Windows, macOS, and Linux). Then insert the MicroSD card into Digital BitBox, then plug the device into your computer.

Select ‘Create a New Wallet’.

You’ll be asked to set a device password.

Update the firmware (this takes about 2-3 minutes).

Once updated, follow the instructions for creating a new wallet.

Once you’ve created your wallet: unplug the Digital BitBox, remove the MicroSD, and plug it back in.

That’s it! You’re ready to use your Digital BitBox!

Wallet Backups

You should keep your MicroSD in a safe and secure place. This contains the information needed to restore access to your wallets should your Digital BitBox be broken, lost, or stolen. If you can’t memorise your recovery password, keep that somewhere safe too.

The backup is saved as a PDF file on the MicroSD card. If you wish to make a paper backup, you can print (or copy) it from an offline computer. If you’re interested in that, there are more details here.

If you lose your backups, you won’t be able to recover your funds if you Digital BitBox is broken, lost, or stolen. Keep them safe!

Pairing and 2FA

Because the Digital BitBox doesn’t have a screen, you’ll need to pair it with your mobile phone to verify receiving addresses and outgoing transaction details. Once I’d setup my Digital BitBox, I enabled this straight away.

Follow these instructions to pair your Digital BitBox with your smartphone.

• Install the Digital BitBox mobile app (available on Apple & Android)
• Access your Digital BitBox, then select ‘Manage Device’ in the sidebar.

• Select ‘Pair Mobile App’.
• You’ll be shown a QR code. Scan that with the mobile app.

• Follow the instructions on the mobile app.

• Done! The Digital BitBox should now be paired with the mobile app.

Wallet Interface

You can access your Bitcoin (BTC) and Litecoin (LTC) wallets through the BitBox desktop app. It doesn’t look fancy, but it’s simple and easy to use.

To check out what receiving and sending look like, expand the sections below.

Receiving Bitcoin (BTC)

This is how you receive Bitcoin (BTC) with a Digital BitBox.

• In the sidebar, select ‘Bitcoin’.
• When you select ‘Receive’, it’ll show a receiving address.
• If you’ve paired your Digital BitBox with a smartphone, you can verify the receiving address by selecting ‘Verify Address Securely’ in the bottom right.

• Check the receiving address (against the desktop and mobile app) once you’ve copy/pasted it.
• Send the Bitcoin (BTC) to the verified address.

• Done! Shortly after, the desktop should confirm this incoming transaction.

Sending Bitcoin (BTC)

This is how you send Bitcoin (BTC) from your Digital BitBox.

• In the sidebar, select ‘Bitcoin’.

• When you select ‘Send’, you should see something like this.
• Fill in and check all the details.
• Click ‘Sign and Send’ when you’re ready.

• You’ll be prompted to confirm this by touching the Digital BitBox for about 3 seconds. If you have 2FA enabled, you’ll need to confirm the details on your smartphone too.

• Done! Shortly after, the desktop should show this outgoing transaction

To access your Ethereum (ETH) wallet and ERC-20 tokens (e.g. 0x, BAT, REP), you’ll need to use MyEtherWallet.

Additional Features

Hidden Wallets

The Digital BitBox supports hidden wallets, which are a plausible deniability feature. This hidden wallet will look like your main wallet but is actually a functional decoy.

If you are ever forced to open your Digital BitBox, you can just open this hidden wallet instead. Although you could leave this empty, hidden wallets are more plausible if they have a balance and some transaction history.

There’s more information in their manual.

Multisig Support

The Digital BitBox can be used with multi-signature Bitcoin (BTC) wallets like Copay. This means that you can setup a wallet which requires verification from multiple participants before funds will be sent.

More information available in their manual.

U2F Support

Universal Two Factor (U2F) allows you to add extra security to some of your online accounts (Google, Facebook, Dropbox, GitHub, and more). Once added to these services, you won’t be able to login without authenticating through the Digital BitBox. You’ll do that by plugging it in and touching it.

It’s not supported by many websites right now, but acceptance is (slowly) growing.

Compatible with Tails OS and TOR

I haven’t tested this myself, but the Digital BitBox should work (without much hassle) with Tails, an OS which preserves privacy and anonymity.

Digital BitBox Price

The Digital BitBox is no longer available for purchase (since 12 November 2019).

The Digital BitBox used to cost about £69 / €79 / $89 from the official Digital BitBox website. If you’re outside Switzerland, you had to pay import fees (which varies from country to country).

Digital BitBox Alternatives

Although there’s a lot to like about the Digital BitBox, there are two things I didn’t like:

• It doesn’t have a screen on the device.
• It only supports 5 cryptocurrencies (plus ERC-20 tokens).

All the other hardware wallets I’ve reviewed have small screens so that you can verify addresses and transactions details on the device itself. You can confirm address details by connecting the Digital BitBox to your smartphone (over an encrypted and private communication channel), but I do prefer having an on-device screen.

While the Digital BitBox does support the most popular cryptocurrencies, it’s nowhere near the 1100+ supported by the best hardware wallets that are available.

Summary: How Does the Digital BitBox Compare?

I do like the Digital BitBox. It’s a cheap, simple, and easy-to-use hardware wallet.

However, I don’t think it’s the best choice if you’re buying your first hardware wallet.

That’s not because it’s not a great product. It really is.

It’s because the competition from the Ledger Nano X, Ledger Nano S, and Trezors is so strong. They all support loads of popular cryptocurrencies, are a breeze to setup and use (even for a complete beginner), and are well-recommended across the community.

You can learn more about each of these alternatives in my other hardware wallet reviews (listed below):