How to Set Up a Phantom Wallet: A Step-by-Step Guide

Phantom is a non-custodial cryptocurrency wallet built for the Solana blockchain. It now also supports other networks like Bitcoin and Ethereum, but it is still best known as the go-to wallet for Solana users.

If you are ready to move beyond just buying and holding SOL on an exchange, and want to trade NFTs, use DeFi apps, or stake on-chain, you will need a dedicated wallet like Phantom.

This guide explains what Phantom is, how to set it up safely, and how to fund it from your CoinJar account.

What is a Phantom wallet?

Phantom is a hot wallet. That means it is software, either a browser extension or a mobile app, that stays connected to the internet so you can send and receive crypto quickly.

It is also a self-custody wallet. With CoinJar, the platform manages the security of your coins on your behalf. With Phantom, you are in full control. The wallet stores your private keys, which prove that you own your crypto.

Because you hold the keys, you can move your funds at any time, day or night, without asking anyone for permission. The trade-off is that you are fully responsible for keeping those keys safe. If you lose access to them, there is no way for customer support to restore your wallet.

Step 1: Download and install

Phantom is free and works on major browsers like Chrome, Firefox, Brave, and Edge, along with iOS and Android devices.

Always download from an official source. Scammers often buy ads that look like the real site but send you to fake pages that try to steal your funds.

1. Go to the official Phantom website, or search for "Phantom" in the Apple App Store or Google Play Store.
2. Choose the version that matches your browser or mobile device.
3. Follow the prompts to add the extension to your browser or install the app on your phone.

Step 2: Create a new wallet

Once the installation is complete, open Phantom. You will see two main options:

• Create a new wallet: Choose this if you are setting up a wallet for the first time.
• I already have a wallet: Choose this if you want to import an existing wallet using a recovery phrase.

Select "Create a new wallet" to start the setup.

Step 3: Secure your Secret Recovery Phrase

Phantom will now create your Secret Recovery Phrase, sometimes called a seed phrase. This is a set of 12 random words in a specific order, for example:

witch collapse practice ... (Your words will be different.)

These 12 words are a human-readable version of your private key. They are the master key to your funds. If your computer is lost or your phone is damaged, entering this phrase on a new device is the only way to recover your wallet.

How to store your phrase safely

• Write it down: Use a pen and paper. Write every word clearly and in the correct order, from 1 to 12.
• Keep it offline: Do not take a screenshot. Do not save it in Notes, Google Drive, email, or any cloud storage. Digital copies can be hacked.
• Store it securely: Put the paper in a safe place, such as a fireproof safe, a lockbox, or another secure location that only you (or someone you trust) can access.

Phantom may ask you to re-enter some of the words to confirm that you have stored them correctly.

Step 4: Create a password

After you back up your recovery phrase, you will be asked to create a password.

This password is different from your recovery phrase. The password only locks the Phantom app on your current device. If someone steals your laptop or phone, they cannot open your wallet without this password.

However, this password cannot restore your wallet on a new device. Only your 12-word Secret Recovery Phrase can do that. Treat the phrase as the ultimate backup.

Alternative: Seedless setup

Phantom also offers a seedless setup option. With this method, you create a wallet using your Google or Apple account and your device biometrics, such as Face ID or a fingerprint.

Behind the scenes, Phantom uses Multi-Party Computation (MPC) technology. Your key is split into several pieces, called shards, that are stored in different places.

• Pros: Faster and easier to set up, and it feels similar to logging into any regular web app.
• Cons: It depends on big tech accounts and services. If you lose access to your Google or Apple account, recovering your wallet can be more complicated.

If your priority is full self-custody and independence from third-party accounts, the standard 12-word recovery phrase method in Step 3 is still the recommended choice.

How to fund your Phantom wallet from CoinJar

Your new Phantom wallet starts with a zero balance. To use the Solana network, you will need SOL to pay for transaction fees, often called gas.

1. Copy your address: Open Phantom and tap or click the "Receive" button. Choose "Solana" from the list. You will see a QR code and a long address made up of letters and numbers, such as 8FE...k92. Use the "Copy" button to copy this address to your clipboard.
2. Log in to CoinJar: Open your CoinJar app or sign in to the web dashboard.
3. Initiate a withdrawal: Go to your Solana (SOL) wallet in CoinJar and select "Send" or "Withdraw."
4. Paste and confirm: Paste the Phantom address you copied into the recipient field. Enter the amount of SOL you want to send.
5. Send: Double-check the address and the amount. Once you confirm, CoinJar will send your SOL to that address on the Solana blockchain.

Solana is very fast, so your funds should appear in Phantom within a few seconds or a couple of minutes.

Real-life examples: What can you do with Phantom?

Once your wallet is funded, you can do much more than just hold SOL.

Staking as a delegator

Solana uses a Proof of Stake system. You can delegate your SOL to a validator to support the network and earn rewards.

• Click on your SOL balance in Phantom.
• Select "Start earning SOL."
• Pick a validator from the list.

When you delegate, you keep ownership of your SOL. You are only giving the validator voting power based on your stake. While you earn rewards, your funds are usually locked, and it can take about 2 to 3 days to unstake if you want to move them again.

Transaction simulation

Phantom includes a transaction simulation feature that helps protect you from bad or misleading transactions. Before you approve a transaction, such as swapping tokens or minting an NFT, Phantom runs a test and shows you a preview.

For example, you might see: "You will give 1 SOL and receive 50 USDC."

This preview is a powerful security check. If a website is trying to trick you, the simulation might say something like: "You will give All SOL" and receive nothing. If the preview looks wrong or confusing, cancel the transaction before signing it.

Security risks and red flags

Phantom is designed with strong security in mind, but any hot wallet is only as safe as the device and person using it. Since hot wallets are always connected to the internet, it is important to stay alert.

Phishing attacks

Scammers create fake websites that look almost identical to real NFT marketplaces, DeFi apps, or exchanges. If you connect your wallet to these sites and approve transactions, they may try to drain your funds.

Always check the website address in your browser before you connect Phantom. When in doubt, type the URL directly or use trusted bookmarks rather than clicking random links.

Support impersonators

Another common scam involves fake "support" accounts on social media, forums, or messaging apps pretending to be from Phantom or CoinJar. They may contact you first, claim there is a problem with your wallet or transaction, and then ask for your 12-word recovery phrase to "fix" it.

The Golden Rule: No real support agent, no CoinJar employee, and no Phantom team member will ever ask for your Secret Recovery Phrase. If anyone asks for your 12 words, they are trying to steal your crypto.

Summary

Phantom is a simple, powerful wallet that makes it easy to use the Solana network. By setting up your wallet, backing up your Secret Recovery Phrase, and funding it from your CoinJar account, you can start staking SOL, trading on decentralized exchanges, collecting NFTs, and more.

With that control comes responsibility. Always keep your recovery phrase offline and secure, double-check every transaction, and keep your devices updated and protected. Taking a few careful steps today can go a long way toward keeping your digital assets safe over the long term.