A self-custody wallet is defined by who can sign, where secrets are kept, and how recovery works when the original device is unavailable.
Local keys
Wallet secrets are intended to stay client-side rather than being entrusted to a hosted account operator.
Recovery root
An HD recovery secret provides a clear backup model for restoring wallet key material.
Separated authority
Watch-only and cold storage patterns can separate monitoring from active spend authority.
Local key control
ArcBit is presented as a wallet in which the user controls Bitcoin signing authority. That distinction is why the restoration avoids login-first account flows, hosted-balance language, or exchange-style custody cues.
Recovery phrase
HD wallet design uses a single recovery root to derive wallet keys. Backup centers on the recovery secret rather than on manually archiving each receiving key independently.
Recovery information should be treated as equivalent to spend authority. Anyone with the necessary recovery secret may be able to reconstruct the wallet keys.
Local encryption
Encryption is a defense around stored wallet material; it is not a substitute for backup discipline. The historical ArcBit design paired local key ownership with encrypted client-side wallet data.
Watch-only separation
Watch-only functionality allows observation without corresponding signing authority. This can support operational separation, for example keeping spend keys offline while an online environment monitors wallet activity.
Cold storage workflows
Imported-key and offline-spending concepts belong to the advanced side of Bitcoin custody. This restoration acknowledges that lineage without claiming an exact current workflow before desktop behavior is confirmed.