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Many hierarchical deterministic wallets derive many keys from one recovery seed. A derivation path tells wallet software which branch to use; different paths or script types can produce different addresses from the same seed.

A path selects an account and address branch

BIP 44 defines a common structure using purpose, coin type, account, change, and address index. Bitcoin and other assets may use different conventions, and newer script types can use different purpose values.

Coin type separates asset derivation branches

BIP 44 uses a registered coin type in the path for different cryptocurrency families.

Use compatible wallet settings during recovery

A restored wallet can appear empty if the software scans a different path, account, network, or script type. Verify the original wallet’s recovery documentation and check addresses carefully; never enter a seed phrase into an untrusted website.

Never submit a recovery phrase to a website

Use trusted wallet software and keep recovery words offline and private.

Sources

  1. Bitcoin BIP 44 — Multi-account hierarchy
  2. Bitcoin.org — Securing your wallet