Rahakott Wallet Review in 2020: Why Some Think It’s a Scam

Today, we will be reviewing the Rahakott wallet, which promises increased anonymity and security for its users. Continue reading to find out more.

Rahakott Wallet Overview

The Rahakott is a hot or an online wallet that has incorporated a number of security and privacy features to offer anonymous cryptocurrency transfers and secure storage options.

The wallet was launched on November 12, 2017, and it claims that it has stored over $30 million worth of various cryptocurrencies in its proprietary wallets. Rahakott also has a unique registration system that uses only a mnemonic phrase to create an account in less than 20 seconds.

The team behind the wallet consists of co-founders: Akke Svenson, Maksim Shreyder, and a team of dedicated developers. Svenson is a graduate of the Royal Institute of Technology, Sweden and Stanford University. Also, Svenson has worked in a number of companies from the fintech industry both in Europe and the US. Shreyder studies at the Moscow Institute of Physics and Technology and the University of London.

Supported Currencies and Available Countries

Rahakott currently supports the storage, transfer, and conversion of Bitcoin, Bitcoin Cash, Litecoin, Ethereum, Zcash, Dash, and Monero. The fiat options supported are USD and EUR.

There are no mentions on their website regarding which residents can use the service, so we can assume that users from all countries are able to create an account and deposit their cryptos.

Rahakott Compatibilities

The Rahakott wallet can be accessed through any web browser on all mobile and desktop devices. There are no specific apps for mobile or PC users.

User Interface and Experience

Rahakott features a simple interface that is in line with most crypto wallet designs. After logging in, the first thing you can see is your balance in BTC, USD, or EUR, as well as your public address, address generator for payments, and transaction history.

A large deposit button is featured above your balance, which doesn’t perform any action, as it just displays the information on the page. By accessing the menu in the upper-right corner, you can perform actions such as sending.

Source: masterthecrypto

How to Get Rahakott Wallet

• Go to the Rahakott.io website and click on the “Register” button.
• Select your language and type in the Captcha.

  Source: masterthecrypto

• Then, click on “Create Wallet.”
• You will be redirected to a screen where a 24-word mnemonic phrase is generated. You will use this as the private key for your wallet.

  Source: masterthecrypto

• Next, you will have to select a one-time password or a long-term password. The one-time password works like 2FA, as a new code is sent via text on your phone each time you access your account. The long-term password can be used to access the wallet repeatedly.
• There is also the option of creating a Rahakott wallet with no password, as you can just use your public address.

How to Use Rahakott Wallet

Depositing Funds

• Select one of the seven supported cryptocurrencies to set up a wallet. BTC is the wallet generated by default.

Source: masterthecrypto

• You can now deposit crypto in your wallet. Keep in mind that Rahakott has a minimum deposit amount for each cryptocurrency.
• Go to your external crypto wallet and paste your Rahakott address in the recipient bracket.
• Put in the amount you want to transfer and confirm the transfer.
• Wait for the fund to be credited.

Using the Mixer

Source: masterthecrypto

• Select the address destination of your mixed funds.
• Select distribution share if you are sending funds to multiple wallets (for example, 8% of your funds to one address, 15% to another address, and the rest to a third address).
• Customize the period of delay for your transfers.
• Select your service fee. Higher fees get you faster transfer times and mixing.
• Select the amount. You can mix between 0.001 BTC and 561.832 BTC.
• Enter your password then click “Mix Coins.”

Rahakott Wallet Fees

The wallet is free to download and execute transfers between Rahakott users. The mixing and conversion service and network fees have minimum deposit requirements. The fees vary depending on the coin you use.

CURRENCY	SERVICE FEE	MIN NETWORK FEE	MIN TRANSFER AMOUNT
BTC	0	0.00005	0.0001
BCH	0	0.00001	0.00001
LTC	0	0.00005	0.001
ZEC	0	0.00012	0.0001
DASH	0	0.00010	0.0001
ETH	0	0.001053	0.003
XMR	0	0.025000	0.05

Minimum overall fee amount for an external transfer

Payment Methods

You can fund the wallet with any of the seven supported cryptos as well as USD and EUR. Fiat methods of withdrawal or deposit include bank wire transfers, cash deposit, Qiwi, Yandex.Money, WebMoney, AdvCash, PayPal, Western Union, and Credit card.

Transaction Times

Transaction times will vary based on the network load of the coin you are transferring at that time, as well as the fee you have set during the mixing setup.

Transaction Limits

Transfers are limited to a number of confirmations and minimum transfer amounts. The mixing limit for BTC is 0.001 BTC to a maximum of 561.832 BTC.

CURRENCY	CONFIRMATIONS
BTC	4
BCH	12
LTC	6
ZEC	12
DASH	12
ETH	24
XMR	10

Security Features

Rahakott makes use of a number of security measures to prevent user funds from external attacks and breaches.

The wallet generates a 24-word mnemonic for recovery purposes, and you have the option of setting up a long-term password or enable two-factor authentication.

Rahakott is a Hierarchical Deterministic (HD), meaning you can generate multiple new addresses for each transaction and enhance your security. HD wallets can be created from your main wallet, and remove or rename them whenever you want.

The registration process does not require that you provide any emails, phone numbers, usernames, or ID. The mnemonic phrase is the only thing you need to access your wallet (or the password if you have set up one).

Rahakott has also implemented support for the Tor protocol to provide extra anonymity. This way, users can sign in to their wallets by using the Tor network. Rahakott also features support for other tunnels and supplied links on its site to its wallet via Tor network connection.

The wallet claims that all the servers it uses are fully encrypted, and all user wallet data is restricted even to its developers.

On its website, Rahakott’s team made a statement regarding crypto security: “Hacking does not make sense. All the data on the servers is securely encrypted, even the developers cannot reach it. The only way to access your wallet – your mnemonic phrase.”

Other Features

Built-in Cryptocurrency Mixer

Rahakott has incorporated in its services a cryptocurrency tumbler (or mixer) that blends in your transaction details with others, which prevents address tracking.

P2P Exchange

Rahakott also has a P2P exchange, which features a “quick buy” and “quick sell” options. The marketplace can be accessed by residents from the US, Russia, China, and Europe.

API Support

Rahakott’s integrated API enables developers to use the Rahakott protocol. All API procedures are called via the HTTP method POST and require API key authorization from the “settings” section.

Customer Support

The support team can only be contacted via email. The site has warned not to answer emails that have been sent to you without you contactin the team before.

Rahakott Wallet Reputation: Scam or Not

In terms of user reviews and complaints, we could not find too many and it is not enough to conclude if Rahakott is a legitimate service or not. On TrustPilot are only two reviews, one bad and one good, and on other forums, there is very little information, with none pointing to any scam or illicit activities.

As the wallet has amassed over 48,400 users by now and has been active for more than two years without making any headlines for fraud or loss of funds, Rahakott can be considered a decent storage option for cryptos. Most people are probably suspecting Rahakott to be a scam because you only need a mnemonic phrase to access your wallet and there is a lack of other user reviews online.

However, we recommend that you do not store large amounts because it is not a cold wallet.

Rahakott Wallet Review: Verdict

Rahakot has proven itself to be a trustworthy crypto wallet that has a plethora of anonymity enhancing features, such as mixing and Tor support.

Note: This post was originally published on 9 February 2019 and has been totally updated for the completeness and veracity of the content on 5 March 2020.