I started using Electrum years ago because I wanted a desktop wallet that didn’t behave like a phone app — quick, reliable, and honest about tradeoffs. It still hits that mark. If you’re an experienced user who likes small, fast, predictable tools (you know who you are), Electrum’s SPV approach will feel familiar and sensible. This isn’t for people who demand a full node in every room of the house; it’s for folks who want Bitcoin on their machine without babysitting a 400GB blockchain.
Electrum is an SPV (Simplified Payment Verification) wallet. That means it verifies transactions by talking to servers that index the blockchain instead of downloading the entire chain. The upside: instant-ish startup, tiny disk footprint, and fast address scans. The downside: you place some trust in the server layer — or you run your own Electrum server. Either way, you get speed at the cost of a different trust surface, not necessarily an insecure one.
I’m biased toward desktop tools. I like a keyboard, multiple windows, hardware wallet integration, and the ability to inspect raw transactions. Electrum gives you that. It also gives you choices: single-sig seed wallets, multisig setups, watch-only wallets, cold-storage workflows, and integrations with Ledger and Trezor. Those are real features for power users.

Electrum stores keys locally and uses deterministic seeds to restore wallets. Keep that seed safe and offline and you basically keep your Bitcoin safe — assuming nothing else on the machine is compromised. Electrum’s seed format historically used its own scheme (not raw BIP39 by default), though it supports importing BIP39 seeds if you want interoperability with other tools. That nuance matters when you’re restoring or migrating wallets.
Hardware wallet support is a major security win. Pair Electrum with a Trezor or Ledger and transactions are signed on-device, so malware on your desktop can’t quietly leak your private keys. I run that combination for medium-term holdings: Electrum handles the UX and the device handles the secrets. If you haven’t tried multisig, give it a shot — it changes the game for custody, but it’s a little more fiddly to set up (not a blocker for someone comfortable with wallets).
Still: SPV means trust assumptions. Electrum clients query Electrum servers for transaction proofs. A malicious or compromised server could attempt to hide transactions, feed incorrect history, or give bad unconfirmed fee data. You can mitigate this by using multiple trusted servers, running your own ElectrumX/ Electrs server, or routing Electrum over Tor. Those steps add work, but they cut the attack surface back down.
Install from a verified source and check signatures. Seriously — download the official release and verify the PGP or SHA checksums if you care about supply-chain attacks. I’m not being dramatic; this stuff matters. Once installed, create a standard wallet if you want simplicity, or choose multisig if you want more resilience.
Use a hardware wallet for amounts you can’t mentally afford to lose. Use watch-only wallets on everyday machines where you prefer convenience but want to avoid holding keys. When sending, look at the raw fee and confirmation targets. Electrum exposes fee sliders and custom-fee fields, and it supports Replace-By-Fee (RBF). That lets you nudge a stuck transaction later — a practical feature when mempools act weird.
Privacy-wise, Electrum leaks addresses to the servers it queries, so if you’re privacy-sensitive, couple Electrum with Tor or a private Electrum server. Also: avoid pasting your seed into random apps (obvious, but people do it). If you want a reference guide for Electrum basics and installation, check out this write-up here which I found handy when setting up a second machine.
Cold storage with watch-only wallets: keep a disconnected machine to generate addresses and record the seed, then import xpubs or watch-only descriptors into your online Electrum instance. Sign transactions on the offline device and broadcast from the online one. It’s a few steps but far safer than keeping keys on an everyday laptop.
Multisig gives you shared custody without central services. Electrum supports multisig natively; you can make 2-of-3 setups across hardware wallets or across hardware + software combos. For businesses or a small group of trusted friends, multisig is a practical middle ground between single-key convenience and cold-storage paranoia.
If you run a full node, consider connecting Electrum to it. Electrum clients can be configured to point at an Electrum server that indexes your node. Then you’re back to the gold standard: local validation with Electrum’s UX. That’s extra work, but if you value sovereignty, it’s arguably the best of both worlds.
Yes, if used with strong operational security: verify downloads, store the seed offline, and ideally combine with a hardware wallet or multisig for larger amounts. Electrum itself is mature, but your threat model matters more than the app.
SPV is lighter and faster but relies on servers to provide proofs. A full node verifies everything locally and maximizes trust-minimization. Choose SPV for convenience and speed; choose a full node if you want maximal independence and don’t mind the storage and sync time.
Downloading from untrusted sources, storing seeds in plaintext, ignoring firmware updates for hardware wallets, and forgetting to configure Tor or trusted servers if privacy matters. Also, mis-handling BIP39 vs Electrum seed differences when restoring can cause surprises — double-check your choices.