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Losing access to a cold wallet can result in the permanent loss of your cryptocurrency, as the wallet’s private keys or recovery phrase are the only way to retrieve your funds. Unlike traditional bank accounts, there’s no centralized authority to help you recover a lost cold wallet or its credentials. Common risks include forgetting or misplacing the recovery seed phrase, physical damage to the device, or theft of the wallet without proper PIN or passphrase protection. To prevent these risks, always store your seed phrase offline in a secure, fireproof, and waterproof location—ideally using a metal backup. Avoid saving it digitally to reduce hacking risks. Use strong passwords and enable additional layers of security if your cold wallet supports them. Lastly, consider creating a crypto inheritance plan to ensure trusted individuals can access your assets if needed. Taking these precautions helps you safely manage your cold wallet long-term