Which practices are recommended for managing validator keys on Avalanche?

• A. Store keys in plain text on the workstation.
• B. Use hardware wallets, secure key management practices, role-based access, and secure backups for keys.
• C. Share keys among validators to distribute risk.
• D. Disable backups to simplify key management.

Answer: (B)

Protecting validator keys hinges on keeping private keys isolated, access limited, and recoverability guaranteed. Using hardware wallets keeps keys offline and performs signing within a secure device, so malware on a workstation can’t exfiltrate the key. Combine that with solid key management practices: encrypt keys at rest, use strong, unique passphrases, rotate keys as needed, and separate duties so signing actions are performed by trusted, restricted personnel or systems. Role-based access ensures only those who truly need to sign or manage keys can reach them, reducing the chance of human error or insider risk. Secure backups are essential: store encrypted copies in multiple offline locations, tested regularly for recoverability, so a hardware failure or loss doesn’t lock you out.

Storing keys in plain text on a workstation, sharing keys among validators, or disabling backups all introduce clear, avoidable risks: plaintext exposure, a single point of failure, and irrecoverable loss of access, respectively.