A mnemonic phrase refers to a set of random words that are often used in sequences to restore or access crypto assets. Mnemonic phrases play a very crucial role in keeping crypto assets safe. These phrases are generally 12 to 24 words long.
As stated earlier, each word is randomly picked, without making any sense when constructed in a sentence. While opening a new account, wallet providers give users a mnemonic phrase. It is very important for the users to write it down, and store it somewhere safe.
In case of any mis-happenings, such as you forgetting your wallet password, or your hardware wallet getting stolen, mnemonic phrases can really come handy. You actually get another chance to retrieve your digital asset.
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