# Software Wallet Setup in Sparrow

This guide outlines the steps to recover your Software Wallet multisig setup using Sparrow Wallet. Follow these quick steps to regain access to your multisig wallet:

#### ➱ Create a New Wallet

In Sparrow Wallet, start by creating a **New Wallet**. 

<figure><img src="https://254144762-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FLmUskow6Yg0G4jQRE0Lf%2Fuploads%2FCOnnMrEng3HGMifTFhU2%2F%D0%A1%D0%BD%D0%B8%D0%BC%D0%BE%D0%BA%20%D1%8D%D0%BA%D1%80%D0%B0%D0%BD%D0%B0%202025-04-01%20%D0%B2%202.01.32%20PM.png?alt=media&#x26;token=a2d1cefb-49a2-4ef1-87e9-3f92a5aa6eee" alt="" width="375"><figcaption></figcaption></figure>

Choose the **Multi Signature** policy type and select **Native SegWit (P2WSH)** script type. Configure the cosigners with the same number of owners and the signing threshold that matches your Asigna Vault.

<figure><img src="https://254144762-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FLmUskow6Yg0G4jQRE0Lf%2Fuploads%2F54zSQ3iLOIR3JnHgQ8fW%2F%D0%A1%D0%BD%D0%B8%D0%BC%D0%BE%D0%BA%20%D1%8D%D0%BA%D1%80%D0%B0%D0%BD%D0%B0%202025-04-01%20%D0%B2%202.00.08%20PM.png?alt=media&#x26;token=8db0d13b-6af7-4a06-868a-f84e9900152a" alt=""><figcaption></figcaption></figure>

#### ➱ Add Your Software Wallet

Click **New or Imported Software Wallet** to add your Software Wallet account as one of the multisig cosigners. In the **Mnemonic Words (BIP 39)** field click the dropdown and select the number of words that matches your Software Wallet's **seed phrase**. Enter your seed phrase and confirm it.

<figure><img src="https://254144762-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FLmUskow6Yg0G4jQRE0Lf%2Fuploads%2FluV6jZH6VHaIuBHQJFph%2F%D0%A1%D0%BD%D0%B8%D0%BC%D0%BE%D0%BA%20%D1%8D%D0%BA%D1%80%D0%B0%D0%BD%D0%B0%202025-04-01%20%D0%B2%203.05.27%20PM.png?alt=media&#x26;token=40b1c115-994a-4b27-8893-94a6b1a414d0" alt=""><figcaption></figcaption></figure>

#### ➱ Set the Derivation Path

Enter the derivation path, depending on which **Address Type** you use in the Asigna Vault.&#x20;

<figure><img src="https://254144762-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FLmUskow6Yg0G4jQRE0Lf%2Fuploads%2FTEzBpaiTqk7kb61igQvz%2F%D0%A1%D0%BD%D0%B8%D0%BC%D0%BE%D0%BA%20%D1%8D%D0%BA%D1%80%D0%B0%D0%BD%D0%B0%202025-04-01%20%D0%B2%203.41.54%20PM.png?alt=media&#x26;token=c26a0769-cf58-45d6-a01e-031aff00ad0e" alt="" width="563"><figcaption></figcaption></figure>

<table><thead><tr><th>Address Type</th><th>Derivation Path</th><th data-hidden></th></tr></thead><tbody><tr><td>Native SegWit (<code>bc1q...</code>)</td><td>m/84'/0'/0'</td><td></td></tr><tr><td>Nested SegWit (<code>3...</code>)</td><td>m/49'/0'/0'</td><td></td></tr><tr><td>Taproot (<code>bc1p...</code>)</td><td>m/86'/0'/0'</td><td></td></tr><tr><td>Legacy (<code>1...</code>)</td><td>m/44'/0'/0'</td><td></td></tr></tbody></table>

#### ➱ Add Other Owners' Wallets

To complete the multisig setup, add the Software Wallet accounts of other cosigners. \
\
There are 2 ways to do it:

1. Add each additional owner with **New or Imported Software Wallet** by repeating the previous steps. However, to do this, the other multisig owners would need to share their wallet **seed phrases** with you, which may pose **a security risk**.
2. Use **xPub/Watch Only Wallet** method. To do this, you need to obtain each owner’s **xPub**, **derivation**, and **master fingerprint**.

<figure><img src="https://254144762-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FLmUskow6Yg0G4jQRE0Lf%2Fuploads%2FXK4CIdk1VqXkyaDVgHJh%2F%D0%A1%D0%BD%D0%B8%D0%BC%D0%BE%D0%BA%20%D1%8D%D0%BA%D1%80%D0%B0%D0%BD%D0%B0%202025-04-01%20%D0%B2%2011.54.48%20PM.png?alt=media&#x26;token=4c033e84-2f88-491e-beaf-d5dca0d5a611" alt=""><figcaption></figcaption></figure>

<figure><img src="https://254144762-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FLmUskow6Yg0G4jQRE0Lf%2Fuploads%2F7zxte1xH9h88ZGKLtIk8%2F%D0%A1%D0%BD%D0%B8%D0%BC%D0%BE%D0%BA%20%D1%8D%D0%BA%D1%80%D0%B0%D0%BD%D0%B0%202025-04-02%20%D0%B2%2012.34.30%20PM.png?alt=media&#x26;token=2c47abac-7f17-4288-bf55-c7890e01f6aa" alt=""><figcaption></figcaption></figure>

Each owner must first restore their Software Wallet in **Sparrow** (the steps are almost identical to the ones described in the guide above — the only difference is that in the **Policy Type** section, they should select **Single Signature** option). Once the wallet is added, they can view **Settings** and share the required information (xpub, derivation, and fingerprint) with you.

{% hint style="warning" %}

#### Address Index Must Match for Multisig Import

When importing a Software Wallet multisig setup using Sparrow Wallet, **all owners must use the same address index** in their respective wallets.

For example:

* If **Owner 1** is using **account 1**, then **Owner 2** must also use **account 1** in their Software Wallets.
* Alternatively, both can use account 2, or account 3 — but the index **must be the same for everyone**.

❗️**If one Owner uses account 1 and another uses account 3, the multisig setup will not be valid or importable in Sparrow Wallet.**

Make sure to coordinate and agree on the address index before generating an Asigna Vault.
{% endhint %}

#### ➱ Verify the Setup

After adding all cosigners, click **Apply** in Sparrow Wallet. In the **Addresses** tab check that the first generated address for your multisig setup matches the one displayed in your Asigna Vault.&#x20;

If you encounter any issues, please contact [support](https://asigna.gitbook.io/asigna/appendix/contact-us).

<figure><img src="https://254144762-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FLmUskow6Yg0G4jQRE0Lf%2Fuploads%2F4HqwskUylZE3dzKm2CRi%2F%D0%A1%D0%BD%D0%B8%D0%BC%D0%BE%D0%BA%20%D1%8D%D0%BA%D1%80%D0%B0%D0%BD%D0%B0%202025-04-01%20%D0%B2%2011.50.50%20PM.png?alt=media&#x26;token=6b5430a3-ad7a-4a8b-a197-40a4ce94456e" alt=""><figcaption></figcaption></figure>

{% hint style="info" %}

#### How Address Index Affects Multisig Derivation

The address index directly affects the **derivation path** used in the multisig setup.

For example:

* If all owners use **account 1**, the corresponding derivation path will be:

  <pre><code><strong>m/84'/0'/0'/0/0
  </strong></code></pre>
* If all owners use **account 2**, the derivation path will be:

  ```
  m/84'/0'/0'/0/1
  ```
* If all owners use **account 3**, the derivation path will be:

  ```
  m/84'/0'/0'/0/2
  ```

And so on.

👉 **Consistency is crucial** — all owners must use the same address index to generate matching setup and enable successful multisig import into Sparrow Wallet.
{% endhint %}

<figure><img src="https://254144762-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FLmUskow6Yg0G4jQRE0Lf%2Fuploads%2FTrEN7bYugu5UxRBBC2l4%2F%D0%A1%D0%BD%D0%B8%D0%BC%D0%BE%D0%BA%20%D1%8D%D0%BA%D1%80%D0%B0%D0%BD%D0%B0%202025-04-02%20%D0%B2%2012.11.59%20AM.png?alt=media&#x26;token=8e757509-8406-4147-98a6-75e1d9057137" alt=""><figcaption></figcaption></figure>