Skip to main content
Sparrow handles both Bitcoin cases: an ordinary wallet restored from the phrase, and a vault restored from its output descriptor. It is the only wallet in this guide that does the second, so it is worth learning once.
1

Install Sparrow from sparrowwallet.com

Verify the download signature if you are recovering a significant balance. Sparrow publishes signatures and the instructions for checking them.
2

Connect it to chain data

Sparrow needs a Bitcoin Core node you run, an Electrum server, or a public server it can connect to. A public server learns which addresses you are interested in. For a large balance, connect it to your own node.

Restoring a wallet from the phrase

What you are recovering, and how the index maps to addresses, is on Bitcoin.
1

Create a new wallet file

From the File menu, create a new wallet and give it any name. The name is local and means nothing on-chain.
2

Set the script type to Native Segwit (P2WPKH)

In the wallet’s settings the policy is single signature, and the script type dropdown offers Native Segwit (P2WPKH). Set this before entering the seed: it determines the derivation path Sparrow proposes.
3

Enter the seed under the Mnemonic Words (BIP39) keystore option

Choose the new or imported software wallet route, then the Mnemonic Words (BIP39) option, not the Electrum seed option, and type the phrase. If the account has a passphrase, Sparrow has a passphrase option on the same screen; it is a separate field, never part of the word list.
4

Check the derivation path

Sparrow shows the derivation it will use for the keystore. For a native segwit single-signature wallet this is m/84'/0'/0', the account above your addresses. Correct it if it shows anything else.
5

Apply, then read the addresses

Sparrow asks for a password to encrypt the wallet file, again new and local. Once the wallet is open, the addresses list shows the receive branch in index order. Match the first one against your first Trustodian Bitcoin wallet before doing anything else.
One restore finds every Bitcoin wallet you hold, because they are all addresses under the same account. If Sparrow stops before reaching your highest index, raise the gap limit.

Importing a vault descriptor

A vault is not restored from the phrase. You need its Output descriptor from the Recovery Kit. The descriptor’s anatomy, and the warnings that go with it, are on Bitcoin vaults.
1

Create a new wallet file

From the File menu, create a new wallet and give it any name.
2

Open the wallet's Settings and choose the custom policy

Sparrow’s Settings tab holds the script policy. Switching it from single signature to the custom option gives you an editable descriptor, rather than asking you to assemble the wallet cosigner by cosigner.
3

Paste the output descriptor

One unbroken line, checksum included. Sparrow parses it and fills in the threshold, the script type and each cosigner’s origin and xpub.
4

Check what Sparrow shows before applying

The threshold and the number of cosigners must match the Recovery Kit. So must each cosigner’s master fingerprint and derivation path.
5

Set the birthday before the first scan

Sparrow’s wallet settings carry a birthday under its advanced options: the point from which it starts scanning, instead of scanning the whole chain. Changing it clears the wallet’s history and triggers a fresh scan from there.Sparrow asks for a date, while the Recovery Kit records a block height. Look the height up in any block explorer to get the block’s date, and give Sparrow that date or a slightly earlier one. Skipping this step is not dangerous, only slow, potentially very slow against your own node.
6

Apply and verify both addresses

Compare the wallet’s first receive address against the First receive address printed in the Recovery Kit, and the vault address against Vault address. Both must match exactly.

Adding your key so you can sign

A descriptor import is watch-only: it finds the money and builds unsigned transactions. To sign, add your seed as a keystore. Sparrow asks for the derivation, which for a vault is the BIP-48 account path, not your ordinary Bitcoin wallet path:
{account} is the vault’s account index from the Recovery Kit. Check the master fingerprint Sparrow reports against the one printed for your cosigner row: they match only if the phrase and the path are both right.

If something does not match

See Troubleshooting. For a wallet restore the usual causes are the script type and the passphrase; for a vault, a transcription error in the descriptor.
Last modified on September 17, 2026