Electrum is an advanced Bitcoin-only wallet known for features like coin control and watch-only setups.

This guide shows you how to securely connect your BitBox02 to Electrum so you can use these features while keeping your private keys safely on your hardware device at all times.

Before you begin:

• Please ensure your BitBox02 is fully set up and updated to the latest firmware using the BitBoxApp. 
• Keep the device handy so you can unlock it when needed.
• Install the latest version of Electrum from the official website only.

Step-by-step connection guide:

1. Create a new Electrum wallet
   1. Open Electrum.
   2. When prompted, choose a name for your wallet and click Next.

2. Choose the wallet type
   1. Select Standard wallet and click Next.
   2. (Single-signature wallet, no multisig.)

3. Select the keystore
   1. On the Keystore screen, choose Use a hardware device and click Next.

4. Connect your BitBox02
   1. Connect your BitBox02 to your computer.
   2. If Electrum does not show your BitBox02 right away, click Rescan devices until it appears.
   3. Select your BitBox02 and click Next.

5. Unlock and confirm on the BitBox02
   1. Enter your device password on the BitBox02 to unlock it.
   2. If a pairing code is shown, make sure the code on your computer and on the BitBox02 match, then confirm on the device.

7. Choose the address type
   1. When asked for the script type, select native segwit (p2wpkh).
   2. (Recommended for lower fees and modern wallets.)

7. (Optional) Adjust the derivation path
   1. By default, Electrum uses the derivation path: m/84'/0'/0' → this is Bitcoin Account 1 in the BitBoxApp.
      
   2. If you want to connect a different Bitcoin account from the BitBoxApp, change only the last number:
      1. Account 1 → m/84'/0'/0' (default)
      2. Account 2 → m/84'/0'/1'
      3. Account 3 → m/84'/0'/2'
      4. Account n → m/84'/0'/(n-1)'
   3. Make sure the derivation path in Electrum matches the account you want to use in the BitBoxApp.
8. Encrypt the wallet file with your BitBox02
   1. On the final screen, enable Encrypt wallet file using hardware wallet device and click Finish.
   2. Electrum will now use your BitBox02 to confirm transactions, while the wallet file on your computer stays protected.

FAQ Section:

Is it safe to use my BitBox02 with third-party software like Electrum?

Yes. The BitBox02 is designed to be used safely with external software. Your private keys always stay on the hardware device and are never exposed to your computer. Every critical action must be confirmed physically on the BitBox02.

Why is the BitBoxApp required if I want to use Electrum?

The BitBoxApp is necessary for the initial setup of your BitBox02, for firmware updates, and for managing your wallet backup. Once set up, you can use the BitBox02 with other software like Electrum.

Can I use the same wallet with both the BitBoxApp and Electrum?

Yes, you can. Since your private keys are on the BitBox02, you can use it with either application. Just make sure to close one before opening the other.

What is a derivation path and why does it matter in Electrum?

A derivation path tells Electrum which BitBox02 account to load. Each Bitcoin account in the BitBoxApp has its own path, for example:

• Account 1 → m/84'/0'/0'
• Account 2 → m/84'/0'/1'

If the path in Electrum doesn’t match the account you use in the BitBoxApp, the addresses and balance will look different. Just make sure both apps use the same derivation path.