Inflation from a cold wallet?

Question

Is there a good way to make a wallet a cold wallet after setting the inflation destination? That is, if I have a wallet and set the inflation destination to a pool so I will accumulate inflation, can I still make that wallet "cold"?

Answer 1

Just create a paper wallet (paper, pendrive, ledger nano, etc), add some funds, set inflation destination and that's it. Even if you don't touch your account for years inflation will get to the ledger and increase your balance.

function setInflation(secretKey, destination, memo='Inflation') {
    var serverUrl = 'https://horizon.stellar.org';
    var server    = new StellarSdk.Server(serverUrl);
    var account   = StellarSdk.Keypair.fromSecret(secretKey);

    server.loadAccount(account.publicKey()).then(function(sourceAccount) {
        var operation   = StellarSdk.Operation.setOptions({inflationDest: destination});
        var transaction = new StellarSdk.TransactionBuilder(sourceAccount)
            .addOperation(operation)
            .addMemo(StellarSdk.Memo.text(memo))
            .build();
        transaction.sign(account);
        server.submitTransaction(transaction);
    });
}

Answer 2

Stellar doesn't have such concept as "cold" wallet. Once your wallet is created and funded, the public key and current balance are recorded on the ledger. If your private key securely stored somewhere (encrypted flash-drive or hardware wallet like Ledger Nano S), you shouldn't worry about the funds.

In order to enhance your account security, you can add one more signer and set all account thresholds to 2. In that way only those persons who have both private keys can authorize a transaction. However, multi-sig is not supported by most wallets so far, and if you choose this option you'll have to dive deeper into the Stellar docs and use Stellar Laboratory instead of a wallet with fancy interface.