Crypto Bot Permissions Checklist: What a Trading Bot Should and Should Not Ask For

Answer first - A crypto trading bot should never ask for your seed phrase, should not require your main holdings wallet, and should not need unlimited authority over every token you own. Safer bot usage starts with a dedicated wallet, limited approvals, local signing where possible, simulation mode, and a clear stop plan. FRB is designed around user-controlled keys, but users still need disciplined permission hygiene.

Crypto bot risk often starts before the first trade. The dangerous moment is not only "go live"; it is the first time a user grants a permission they do not understand.

Permission types to understand

The safer pattern is least privilege: give the tool only the minimum access needed for the specific workflow.

Critical red flags

Walk away or pause if a bot asks for:

• Your seed phrase.
• A screenshot of your wallet.
• Remote desktop access to "finish setup".
• Unlimited CEX withdrawal permissions.
• A private key for your main holdings wallet.
• A blind signature without readable transaction simulation.
• A link from a DM instead of the official website.
• A contract approval you cannot identify.

Some legitimate workflows need a dedicated hot wallet. That wallet should be funded only with the amount you intentionally allocate to execution, not with long-term holdings.

What FRB users should check

FRB's trust posture is non-custodial by design, but that does not remove user-side responsibility. Before live execution:

1. Download only from the official Download page.
2. Verify the build through Trust Verification and Releases.
3. Use a dedicated wallet for trading operations.
4. Start in Simulation Mode.
5. Set per-trade, per-strategy, and daily execution limits.
6. Keep your main savings wallet separate.
7. Revoke stale token approvals after testing.

If a setup flow feels rushed, stop. A legitimate trading workflow can wait for verification.

Bounded approvals beat unlimited approvals

DeFi routers often ask for token approvals. The risky version is an approval for a very large or unlimited amount. That approval can remain active after the original trade, and a compromised or malicious contract can abuse it later.

Better habits:

• Approve only the token needed for the strategy.
• Approve only the expected size plus a small operating buffer.
• Revoke approvals after changing strategy or router.
• Review approvals weekly for active wallets.
• Do not reuse the same wallet across experimental protocols.

Approvals are not the same as custody, but they can still create a drain path.

Dedicated wallets are not optional

For MEV and high-frequency DeFi workflows, separate wallets by role:

This keeps a mistake in one workflow from affecting the entire portfolio.

Permission review checklist

Before live execution, ask:

• Does the tool ask for a seed phrase? If yes, stop.
• Can I verify the build or source?
• Can I run without live capital first?
• Can I cap per-trade size?
• Can I cap daily execution?
• Can I identify every approved contract?
• Can I revoke or rotate the wallet quickly?
• Does the vendor publish a risk disclosure?

The right answer is not "trust us." The right answer is a process you can verify.

Internal links for safer setup

• FRB Trust Verification
• Security Model
• Risk Disclosure
• Wallet Hygiene for MEV Traders
• Crypto Trading Bot Security Best Practices
• Windows Setup: Verify SHA-256 and Start with Simulation

CTA: Review the security model and verify the build before importing or funding any trading wallet.

This article is educational, not financial advice. Non-custodial software reduces custody risk, but users still control wallet hygiene, approvals, limits, and live-execution decisions.