Hierarchical-Deterministic (HD) Wallet

A hierarchical-deterministic (HD) wallet is a type of cryptocurrency wallet that generates new cryptographic key pairs or addresses from a master key pair each time funds are received. This approach enhances the privacy of the wallet by distributing the total balance of the user’s cryptocurrency holdings across multiple addresses. It also improves the security of the wallet by distributing private keys, while still allowing the user to control and use all previously generated addresses.