Why does my wallet have no password after restoring?
When you restore Exodus from your 12-word phrase (this doesn't apply to your email backup), this overwrites any passwords that existed previously on your installation of Exodus. Often this creates confusion or concern, so this article is here to explain why this happens.
An important point to understand is that your 12-word phrase and password are not related.
- Your 12-word phrase is used to generate your wallet’s private keys. This is how the 12 words can restore your wallet: because it is the seed used to create the wallet in the first place.
- Your password is used to encrypt your private keys, thereby keeping them secure from anyone who has access to your computer.
When restoring your wallet from the 12 words, Exodus overwrites the wallet that existed previously, if a wallet did exist, and re-generates the private keys for the wallet using those 12 words as the seed. Because the 12-word phrase is not connected to any password, that means that after restoring, there is no password protection on your wallet. It must be re-enabled by setting up a new one in the Backup menu.
After restoring from your 12-word phrase, this is the first thing you should do. Having an unencrypted wallet leaves you open to easy theft, so it is important you go through the password/email backup process again. Remember to set a unique password, that you don't use in other services. Re-using passwords opens you up to the risk of theft.
But why do I need a new email backup?
While the 12 words are not associated with your password, your email backup is. The email backup is password protected, to keep your funds safe in case someone hacks your email account. That’s why you need to enter your password any time you try to restore from your email backup URL. Every time you set a fresh password on your wallet, even if it is the same password, when you set it up, a new email backup link must be distributed.