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What is Carbon Wallet ?
Carbon Wallet, a new service seeking to be the next great innovation in secure online wallets, is launching today. Currently, there are two major types of online wallet: server-side controlled wallets and client-side controlled wallets. In a server-side wallet (eg. CoinBase), the actual wallet is controlled by a server which independently maintains all of its’ users like a bank account, and in a client-side wallet there is an actual fully-functional Bitcoin wallet operating inside the user’s browser, and the server only holds encrypted backups of each user’s wallet – to which only the user knows the decryption key. Carbon Wallet is adding a third paradigm to this mix: the server holds no backups at all, and the wallet is instead deterministically regenerated from the user’s password each time the client loads.
Currently, Carbon Wallet does not let users choose their own passwords; it instead relies on twelve-word “passphrases” of the same format as Electrum wallets. If you do not want to create your own twelve-word passphrase from Electrum’s 1700-word dictionary, Carbon Wallet can create new passphrases for you; “naked goose realize except concrete attack strange tightly thorn note memory church” is one example of a passphrase that Carbon Wallet generated.
What are the main features ?
• No server side storage, private keys are generated from the passphrase and only exist in the memory of the browser.
• Deterministic key generation: Write down the passphrase generated for you and it's all you need.
• Transactions are signed locally in the browser: Your private keys are not shared with the server. You do not have to trust the server with your money.
• Privacy: No need to register a passphrase is all that is required.
• Public code hosted on Github which anyone can audit.
How are out going payments signed ?
Carbon wallet can create a Bitcoin transaction with the 2 extended public keys but can't sign it.
The first signature is generated with javascript in the browser when you enter your passphrase to decrypt the AES encrypted private key.
The second signature is supplied by your smartphone. You have to scan a QR code which gives the pone the information required to retrieve the transaction form our servers. The smartphone signs the transaction and sends it back to CarbonWallet.
Seed phrases compatibility ?
The following bitcoin seeds are backwards compatible with CarbonWallet to access your account instantly: Electrum, Exodus, Mycelium, MyEtherWallet, Blockchain, Atomic, Coinomi, Trezor and Ledger.
