Deterministic Wallet Formats

Type 1: Single Chain Wallets

Type 1 deterministic wallets are the simpler format, capable of generating a single sequence of keys derived from one seed. A significant drawback of this type is that if the seed is exposed, all associated funds are vulnerable. Additionally, the ability to share the wallet is quite limited.

Type 2: Hierarchical Deterministic (HD) Wallets

Overview Of Hierarchical Deterministic Key Derivation

For an HD wallets overview, please see the developer guide section. For details, see BIP32.