Whereas in the past you had to backup a file regularly, nowadays the recovery phrase is the key to your wallet. So you only need to store your recovery sentence properly in a place where no one else can access it.
You receive the unique recovery sentence upon installation of the wallet. If you “forgot” to write down your recovery sentence upon installation, you can find the recovery sentence in the desktop wallet under File > Backup. Here you have the option to view your recovery sentence and then write it down and keep it safe. In case you have secured your wallet with a password, you will be asked for this password before the restore sentence is shown.
Keep your recovery sentence in a safe place, if you lose it and lose access to your wallet before you have a chance to write it down again, you will lose your Guldens. By the way, it is still possible to backup your wallet.dat but it is recommended to use your restore sentence for this. It is recommended to store the restore sentence in two places. There can always be a fire or other calamity that will destroy the restore sentence. So think carefully about this.
Gulden app (mobile wallet)
During the first use of the Gulden app (apple or android) you will be explicitly asked to write down the recovery sentence (consisting of 12 short words) somewhere. Do so! The repair sentence is needed to re-activate your wallet with all your active transactions (and thus Gulden) on another phone (for example because your phone is stolen or broken). If you lose your recovery sense, then you can’t restore your wallet and you will lose any Guldens. Below we give you a few tips on how and where you could save your recovery phrase.
Online backup options
Commonly used is just taking a screenshot and saving it to the cloud, or emailing your recovery sentence to yourself. But all online options are not recommended. There is too great a chance of your accounts being hacked where you could lose your recovery sentence to malicious parties.
Offline backup options
Writing on a paper and putting it in a safe (keep in mind that ink can fade!
Include in your will before a notary public (your heirs will receive the codes in the event of your death)
Keep it on a USB stick and then store it somewhere (a USB stick can get lost and/or broken, make sure you have a double backup).
This post is also available in: Dutch