Muun Wallet Review

One of the most important aspects when trading cryptocurrencies is keeping your digital assets safe in a solid, trustworthy wallet. But with so many options, how to find the right one? That’s what I'll try to uncover in this Muun wallet review.

While it may not be as well-known and secure as hardware wallets like Ledger Flex or Trezor Safe 5, the Muun wallet can be a suitable contender, especially if you’re a Bitcoin-focused trader. Its balance of convenience and privacy makes it an appealing choice for those who value ease of use.

That said, is the Muun wallet safe? I have tested it out as well as weighed its pros and cons. Let me tell you all about this crypto storage in this Muun wallet review!

What is the Muun Wallet?

Before diving into the features, let’s kick off this Muun wallet review by covering the basics of the crypto storage solution.

The Muun wallet was launched by Muun Labs, an Argentina-based company founded by Dario Sneidermanis in 2018. Available on both iOS and Android, this wallet is designed to make managing Bitcoin as simple and secure as possible.

As a self-custodial Bitcoin wallet, Muun ensures that users have full control over their private keys.^[1] This allows you to have more privacy and security over your holdings. That said, Muun falls more under the "semi self-custodial" model since it stores part of the user's private keys on its server as a failsafe (like when you forget where you put your keys, figuratively).

Additionally, the Muun wallet is versatile for different needs. It supports traditional on-chain or off-chain Bitcoin transactions and Lightning Network payments for a faster process and potentially cheaper fees.

On top of that, the wallet’s versatility, privacy features, and straightforward design have contributed to its popularity, with the app being downloaded over 100,000 times worldwide (as of writing).

Muun Wallet Review: PROS

Now that we’ve covered the basics of the Muun wallet, it’s time to dive deeper into what makes this crypto storage solution unique. After all, simply knowing what the wallet does might not be enough to determine if it aligns with your needs. As I've tested the app myself, I’ve gathered some key insights that I will share in this Muun wallet review.

Full Control of Funds With a Self-Custodial Wallet

One of the standout features of the Muun wallet, which I’ve briefly touched on, is its self-custodial structure. As you have read briefly in this review, the Muun wallet allows users to have full control over their private keys without having to depend on the provider itself.

Reading some Muun wallet reviews on Reddit, users find the non-custodial model appealing, especially to those who value autonomy. This is because only the users have access to their Bitcoins. Not even Muun, as an entity, can access or move your funds.

In addition to giving users full control, the self-custodial setup also boosts privacy, making it far less likely for transactions to be observed or interfered with by external entities.

That said, with this added control and privacy comes an increased level of responsibility. Users must carefully manage their private keys and ensure they have a solid recovery plan in place.

If you’ve used other crypto wallets before, you’re probably familiar with mnemonic or seed phrases as backup mechanisms. In Muun wallet’s case, though, it offers a unique recovery system to take this a step further.

The kit comes in the form of a PDF file that contains encrypted private keys along with instructions on how to recover the wallet. It is specially designed to help users regain access to their wallets and funds if they lose their device or forget their PIN.

The Muun wallet also allows users to create multiple copies of this Emergency Kit and store them in secure places, including cloud storage options like Google Drive. Even if the file contains private keys, there’s no need to worry about storing it online, as the data is securely encrypted.

The kit can be decrypted only with the corresponding recovery code, which is also provided when setting up the wallet. That way, even if someone gains access to your Emergency Kit, they can’t use the private keys without the necessary code.

It’s worth noting that Muun encourages users to keep their Emergency Kit up-to-date and regularly backed up to ensure they have the latest information needed for recovery.

So, yes, the recovery system for Muun wallet is crafted to be both secure and user-friendly. By combining the Emergency Kit and the recovery code, users can confidently manage their Bitcoin assets, knowing they have a reliable way to recover their funds in the event of device loss or failure.

Committed to Security

When browsing through user Muun wallet reviews, you’ll likely come across the term “multi-sig”. This feature is key to Muun’s reputation as a secure wallet, and it’s a big part of answering the question, “Is the Muun wallet safe?”.

Muun wallet operates as a 2-of-2 multi-signature wallet, meaning that any outgoing transaction needs to be authorized by two separate private keys instead of just one. One of these keys is stored on your device, while the other is kept encrypted on Muun’s servers. Now, how does this setup improve security?

Here’s the deal: if someone steals or hacks a user’s phone, that person won’t be able to access the funds because they only have one key, and yet, two keys are required to complete a transaction.

Likewise with Muun, if the platform’s servers are compromised, attackers still can’t move any funds without the private keys stored in the user’s device.

Furthermore, Muun adds another safety measure with its theft detection feature. If a user suspects an unwanted trespasser trying to steal their funds or if they’ve lost their phone, the user can immediately lock their wallet. This prevents any unauthorized transactions to be made until the user has regained control of the account on a new device.

For added transparency and security, the Muun wallet is also open-source, operating under the MIT License. Essentially, it is a permissive license that allows anyone to freely use, modify, and distribute the software. Because the code is publicly accessible, users or developers can review it to verify the wallet’s integrity.

Having the public review the wallet's code helps identify any potential vulnerabilities or security issues that may exist, which further strengthens the integrity of the Muun wallet. While this doesn’t guarantee complete safety, it offers users a layer of assurance in assessing the wallet’s reliability for managing their funds.

Bottom line, is the Muun wallet safe? Yes. As a hot wallet, it provides a solid level of security, though it doesn’t quite match the offline safety of cold wallets like the Ledger Flex or Stax. Still, for a mobile wallet, Muun’s security features make it a decent choice for everyday Bitcoin users.

Fast Transactions, Powered by the Lightning Network

Now that we've addressed the question "Is the Muun wallet safe?", let's dive into the transaction features that many user Muun wallet reviews highlight. The good news is that Muun supports several advanced features designed to improve the overall user experience.

One of them is Muun wallet’s support for the Lightning Network. It is a second-layer protocol on the Bitcoin blockchain that enables faster and cheaper transactions by allowing off-chain transfers. These transactions can be quicker since they take place between users without being recorded directly on the blockchain. However, Muun approaches this differently than traditional Lightning wallets.

Unlike typical Lightning wallets, where users manage their payment channels, Muun simplifies the process through a mechanism known as submarine swaps. Essentially, when users want to send or receive Bitcoin via the Lightning Network, Muun handles the conversion by performing an on-chain transaction that transforms Bitcoin into a Lightning payment.

This eliminates the need for users to manage their own Lightning channels, making the process more streamlined, particularly for beginners. As a result, Muun users can enjoy near-instant transactions without the hassle of dealing with the technicalities.

Additionally, users don’t have direct control over their Lightning channels, as Muun manages them. This means that although users can still conduct transactions, they don’t have the same level of control over their off-chain funds as they do with their on-chain Bitcoin.

Another aspect to consider is that Muun uses zero-confirmation swaps for Lightning payments. While this makes transactions fast and seamless, you'll need to be more mindful of potential security risks because the transaction is confirmed by a third-party service, which might present vulnerabilities.

Furthermore, the Muun wallet team has acknowledged that this approach may not be a long-term solution and has indicated they are working on a more robust off-chain framework. They are focusing on building a solution that enhances security without sacrificing user control over their funds, which further highlights Muun’s commitment to safe asset management.

Improved Privacy With Robust Bitcoin Protocols

Other features that also gain positive remarks on user Muun wallet reviews are SegWit and Taproot upgrade support, both of which increase users’ transaction privacy and network capacity.

First of all, SegWit, short for Segregated Witness, is a Bitcoin protocol upgrade that improves how transaction data is handled. It does this by separating the transaction signatures (the "witness" data) from the main transaction block.

By removing such signature data, SegWit effectively increases the available space in each block, allowing more transactions to be included.^[2] This is particularly useful during times of high network traffic, as it helps reduce congestion and potentially results in lower transaction fees.

For instance, if the network is experiencing a surge, SegWit transactions take advantage of the extra space to avoid delays and high fees.

Then, there’s Taproot, an upgrade to the Bitcoin network activated in November 2021. Taproot enhances both the privacy and efficiency of complex Bitcoin transactions, such as those involving smart contracts.

What sets Taproot apart is its ability to make complex transactions appear as simple ones on the blockchain. Whether you're making a basic payment or executing a more complicated multi-signature contract, it all looks the same on the public ledger, which makes it harder for third parties to analyze and track.

Let’s say, you're conducting a transaction that involves multiple conditions or parties. Taproot ensures that your payment records are indistinguishable from a regular Bitcoin transfer. This added layer of privacy can be valuable for users concerned about the visibility of their financial activity, which is a common trait in most blockchain transactions.

All in all, Muun’s security features indeed add extra layers of privacy and cost-effectiveness to their Bitcoin transactions. Whether you’re just sending a simple payment with Bitcoin or using the crypto for more advanced purposes, Muun’s support for network upgrades may give users flexibility and peace of mind.

Better Fees With Muun’s Estimator

Another feature that often gets highlighted in other Muun wallet reviews—and one that I personally find quite useful—is its innovative fee estimator.

This feature helps users optimize their Bitcoin transaction fees, and it’s a bit distinctive. Unlike typical estimators that rely on historical block data and thus only provide an average fee based on past transactions, Muun’s version is more dynamic.

Furthermore, traditional estimators can struggle to account for real-time network conditions or congestion, especially during periods of high traffic or volatility.

Muun wallet's fee estimator, on the other hand, avoids this issue by analyzing the current state of the mempool. For those unfamiliar, the mempool (or memory pool) is essentially the holding area for all unconfirmed transactions that have been broadcast to the network but aren’t yet included in the block. Think of it like a queue where transactions wait until miners are ready to include them in the next block.

So, by analyzing the mempool in real-time, the Muun wallet's fee estimator can offer more accurate recommendations for the next-block fee rate. In other words, based on current network activity, it predicts the appropriate fee for the user’s transaction to be included in the next block.

By utilizing the mempool, the benefits are cut both ways. It not only helps users avoid overpaying when the network is running smoothly but also prevents underestimating fees during times of high congestion or when the mempool is packed with unconfirmed transactions.

On top of that, Muun wallet's fee estimator is designed to recommend the optimal fee for quick transaction validation, usually targeting a confirmation time of around 30 minutes. Users can customize this based on their urgency, choosing options like the default 30 minutes, 9 hours, or 13 hours, or they can manually set a specific confirmation time.

Naturally, paying higher fees will prioritize faster processing, while lower fees may result in delayed confirmations.

In retrospect, Muun wallet's fee estimator is a useful tool for a wide range of users, from casual senders to frequent traders and newcomers to cryptocurrency. By providing real-time, mempool-based recommendations, the fee estimator enhances user experience and helps individuals manage their transaction costs more effectively.

Did you know?

Compare Crypto Wallets Side by Side With Others

All Crypto wallets may look similar to you but they're NOT all the same!

Yes! Show me the Comparison Chart

Muun Wallet Review: CONS

So far, I’ve covered the areas where the Muun wallet shines. But like any mobile wallet in the crypto space, Muun isn't without its limitations. Let's look into the areas where the wallet falls short to gain a complete picture of what to expect in this Muun wallet review.

Bitcoin-Only Wallet With Limited Web3 Functionality

The simplicity of the Muun wallet can be seen as both a positive and a negative, depending on what type of trader you are.

Many users in their Muun wallet reviews appreciate the app's simplicity, noting that it makes storing and transacting Bitcoin easier and more streamlined. However, for users who prioritize versatility and a wide range of features, Muun may fall short.

As of now, the wallet does not support advanced crypto functions. For instance, users cannot engage in NFT transactions or interact with decentralized apps (dApps) through the Muun wallet.

In today’s fast-paced crypto landscape, many wallets are expanding their features to meet user demand. Take the Trezor Safe 5, for example—it offers comprehensive portfolio tracking, allowing users to monitor tokens, NFTs, and even DeFi positions all in one place. Additionally, the wallet supports multi-chain functionality, catering to those who hold various types of cryptocurrencies (it supports 1,000+ different assets).

If you're someone seeking advanced features or multi-asset support, you may find Muun lacking in comparison to more feature-rich wallets. In such cases, exploring the best wallet alternatives that offer a wider range of services would be more suitable.

Muun Wallet Fees

Aside from the pros and cons, let’s also find out the essential costs in this Muun review so that you know what to expect when trying the platform out.

First off, are there Muun wallet fees for setting up an account? Thankfully, being a hot wallet, it is completely free to download and use. There are no subscription fees or hidden charges, which are the standard for most mobile Bitcoin wallets.

Additionally, Muun wallet fees do not include transaction processing costs. However, users are still responsible for paying the standard network fees, which go directly to miners and are not pocketed by Muun. For on-chain Bitcoin transactions, these fees can be very low, sometimes as little as 1 Satoshi during times of low network activity.

That said, Lightning Network transactions tend to have higher fees. Users in their Muun wallet reviews have reported fees ranging anywhere from 6% to 20%, which is quite broad and higher than many competitors. This inconsistency with Muun wallet fees may cause some confusion for traders.

The Muun wallet's higher fees are typically due to the need for on-chain transactions to either open new payment channels or rebalance existing ones, which adds extra costs to the process.

How to Use the Muun Wallet

So far, in this Muun wallet review, I've covered the basics of the wallet and its pros and cons. Now, you’re probably wondering how to use the Muun wallet. Don’t worry, the process is simple, and even if you’re new to Bitcoin wallets, you’ll get the hang of Muun quickly!

How to Create a New Wallet on Muun

As I mentioned before, the wallet is available for both iOS and Android. That said, we’ll be taking a look at how to get started with Muun on an Android device. When trying out the wallet, I noticed that the setup process is straightforward, so even first-timers will find it easy to follow.

Once your wallet is set up, you can immediately start sending or receiving Bitcoin with ease.

How to Back Up a Wallet on Muun

Now that your wallet is created, it’s important to take the next critical step: backing it up. Let's walk through the process step-by-step.

Just like creating a wallet, the backup process is quick and painless. If you ever need to reinstall the Muun wallet or switch devices, having your backup and recovery codes on hand will ensure you can restore your wallet without losing access to your funds.

Pros

• User-friendly design
• Robust security
• Long battery life

CLAIM 10% DISCOUNT

Pros

• A brand-new design
• Industry-leading security
• Coin, token and NFT storage

CLAIM 10% DISCOUNT

Pros

• Supports 1,000+ crypto assets
• Easy navigation
• Open-source

GET UP TO 50% OFF

Conclusions

Wrapping up this Muun wallet review, it's clear that the platform excels in offering security, simplicity, and full control of funds, making it a solid option for Bitcoin enthusiasts.

However, the wallet’s lack of Web3 features might be a drawback for those seeking more versatility. After all, the Muun wallet is focused on Bitcoin only. So, if you'd like to store NFTs or access dApps, the Muun wallet does not support such functions yet.

The content published on this website is not aimed to give any kind of financial, investment, trading, or any other form of advice. BitDegree.org does not endorse or suggest you to buy, sell or hold any kind of cryptocurrency. Before making financial investment decisions, do consult your financial advisor.

Scientific References

1. Shah K., Lathiya D., Lukhi N., Parmar K., Sanghvi H.: ‘A Systematic Review of Decentralized Finance Protocols’;

2. Brown C. M., Chiu J., Koeppl T. V.: ‘What drives Bitcoin fees? Using Segwit to assess Bitcoin's long-run sustainability’.