How to use Blue wallet
What is Blue wallet?
Blue wallet is a "radically simple and powerful Bitcoin wallet". It has many features which help with security such as multi-sig wallets, watch only wallets and multi sig vaults.
It is fairly simple to use however does not have submarine swaps enabled as do Phoenix and Muun wallet, making it slightly more difficult to begin using lightning.
1. Download app
→ The Blue wallet app is available on both IOS and Android devices. Search the relevant app stores on your device and proceed with the download.
2. Create and back up your wallet:
Prior to transacting in Bitcoin, let's ensure that you will not lose your funds.
→ Click add new Bitcoin wallet
→ Click "back up wallet"
→ Click add new Lightning wallet
→ Lightning back up:
Please save this wallet backup. It allows you to restore the wallet in case of loss.
This will begin something like:
3. Receiving BTC (On-Chain)
→ Click on receive on the bottom left of the screen
→ Go on to address settings to ensure what BTC address you are using.
Segwit, Taproot, Bitcoin Core
You have to ensure that you pick what is compatible with the location you are sending from.
Note that the first payment you receive must be at least 10,000 sat.
1 sat= 0.000000001 BTC
100,000,000 Satoshi's = 1 BTC
Therefore 10,000 sats=0.00001 BTC (roughly 2 USD at current prices)
As Blue wallet does not have submarine swaps available, you cannot receive btc via lightning directly using this wallet. It is a 2 step process. This will be discussed in the next step.
4. Now that you have BTC within your BTC on chain wallet, you can now transfer money into your lightning wallet.
→ Go to your lightning wallet
→ Click Manage funds
→ Click "refill"
→ Select the wallet you wish to refill from
→ Enter the amount of BTC you would like to transfer
Since this is an on-chain transaction, it may take around 10 minutes.
5. Sending BTC via lightning
→ Press "send" seen on the bottom right of the screen
→ Scan or paste in a lightning invoice or a BTC address
→ Lightning invoices begin with "LTn1", double check that it has this.
Example of depositing BTC in Purse wallet
6. Sending your BTC to an exchange for selling or trading purposes
Since this wallet doesn't support submarine swaps like Muun or Phoenix wallet, you have to use an external solution in order to sell or trade your BTC again (unless you send your funds to an exchange that supports lightning).
An external solution that is recommended in the app is Zigzag.
To use this, follow these steps:
→ Go to lightning wallet
→ Click "manage funds"
→ Click "exchange"
→ Enter the amount you would like to exchange
Or Use a wallet such as Muun or Phoenix.
→ Go to lightning wallet
→ Paste in lightning invoice from muun or Phoenix
→ Send funds
→ Send funds to any exchange that supports BTC
Updated on: 27/07/2022