How to Keep Your Cryptocurrency Safe? 10 Cryptocurrency Security Tips
Cryptocurrency is extremely popular all over the world today. After creating such high-value assets, many people are wondering how to keep cryptocurrency safe. The number of hacker attacks increases every year, so many people care about protecting themselves and their assets. Here are some simple tips.
Here Are Ten Tips On How To Keep Your Finances Safe
Practice shows that buying a cryptocurrency on an appropriate exchange does not require a lot of knowledge. But their storage and security cause many problems for customers. Here are some tips for beginners on how to protect your cryptocurrency.
1. Beware Of Phishing Attacks
Phishing is a different type of online fraud that involves gaining access to confidential information, including logins and passwords. Today, a relatively common type of fraud is that programmers create an ideal copy of a cryptocurrency exchange. When you enter it, you enter your username and password, the attackers, receiving such data, enter your real account and write off all the money from the reports.
How to manage cryptocurrency so that it is as secure as possible? Do not use dubious sites, use various bookmarks, check the site address because only attackers cannot fake it. You must apply the basic rules of computer literacy especially carefully. They seem too simple, but they really help keep your assets safe.
2. Do Not Store Cryptocurrencies On The Exchange
There are two ways to store cryptocurrencies - an exchange and a wallet. The first option is quite common and convenient if you do not just accumulate capital but, on the contrary, constantly participate in trading. However, they are entirely unsuitable for storing large amounts of money. They are very often susceptible to various attacks from hackers. They lose millions of dollars annually to cybercriminals.
Cryptocurrencies related to exchanges are much more likely to be stolen due to the low level of protection.
3. Use Hardware Cryptocurrency Wallets
Not sure how to protect cryptocurrency? The answer to this question is quite simple - use well-secured cryptocurrency wallets. They work on the blockchain. The essence of their work is that a person receives two keys - private and public. Only the recipient knows which lock they fit.
Now there are two types of wallets - with hot and cold storage.
Hot cryptocurrency wallets have an internet connection that is as easy to use as possible, but they are also susceptible to attacks from intruders. Their protection is much better than that of exchanges.
You can easily install hot cryptocurrency wallets on a personal computer or smartphone, use them at any time convenient for you. Such wallets are not much different from a regular electronic wallet that supports fiat currencies.
Cold storage wallets are the safest type of cryptocurrency storage that exists at the moment. It is a small device on which specialists have installed the appropriate software. This device does not connect to the Internet, so the likelihood of hacker attacks is reduced to zero.
The only risk in using a cold storage wallet is losing your device, or attackers might steal it. For such cases, it is convenient to choose a device that makes backups. The disadvantage is that it is quite difficult to manage such a device, the speed of transactions is much lower than on wallets with hot storage, therefore it is not suitable for beginners.
4. Do Not Use Public Wi-Fi Hotspots
How to secure cryptocurrency? Many stars have already managed to ensure that using the Internet in public Wi-Fi hotspots is very dangerous. Experienced hackers can penetrate your device (it doesn't matter if it was a smartphone or a personal computer) and download absolutely all information about you, from logins and passwords from bank cards to private photos.
It is imperative to conduct financial transactions in such places, as malefactors can intercept them.
If you cannot avoid using a cryptocurrency wallet on a public Wi-Fi hotspot, we recommend using a virtual private network (VPN). It is used quite often for confidentiality purposes.
5. Keep Your Device Secure
Ensure the security of your device from which you are using a cryptocurrency wallet. By frequently installing new programs, a person can additionally download a whole range of malicious software.
As a result, it is necessary to use the most innovative antivirus programs. It will help protect your computer from the ransomware viruses that often haunt cryptocurrency owners.
Many companies provide services to ensure the maximum protection of your equipment. They charge inexpensively for their services, but you can do much better protecting cryptocurrency.
6. Turn On Two-Factor Authentication
Many experts advise using two or more factor authentication. It is not enough to use only login and password, which are so easy to steal. It would be more logical to use additional authentication options, for example, phone calls or SMS messages. It will create better protection. Plus, you can find out if someone wants to log into your account.
Such services will cost a little more, but you can not worry about the safety of your assets.
If you own a large company that uses cryptocurrencies for its work, you need to make sure that only a limited number of people can log in and have access to this kind of assets.
7. Don't Gamble With Cryptocurrencies
Today, more and more online casinos offer gambling with cryptocurrencies. It makes it possible to win considerable money if a sound card falls out. How to keep crypto safe? Just don't play such games for cryptocurrencies.
In such establishments, it is pretty rare to find good protection. In addition, the probability of winning on such machines is slightly lower than on conventional ones that support fiat currencies.
In addition, most of these establishments operate illegally or do not obey the laws of the country in which you live, so it may be impossible to resolve controversial issues. The authority will refuse to defend your rights, no matter what the situation is.
You should not deal with illegal online casinos, because there are a lot of scammers who can fraudulently obtain important information about you and your assets.
8. Don't Get Entangled in Pump and Dumps
There is a group of people who create artificial excitement around cryptocurrencies. When many people start buying the same cryptocurrency simultaneously, the price for it starts to skyrocket. Such promotions benefit only their organizers, and you can lose a lot of money on converting money.
You also need to constantly audit the market, control the exchange rate, and analyze why there are sharp jumps in value. This will help you more easily monitor and predict such stocks in order to avoid participating in them. Few people manage to build a successful business on such digital currency fluctuations.
9. Use Strong Passwords
Simple passwords can be easily cracked, and you don't even need to be a qualified specialist for this. When creating passwords, you must use numbers and letters of the Latin alphabet (large and small). Such a cipher is much more challenging to break. It will not be challenging to create one, but the protection will be much better.
10. Keep Information About Your Assets A Secret
You cannot steal what you do not know about. If you do not want hackers to start hunting for your money, keep it as secret as possible that you want to buy cryptocurrency or that you have it. It is a guarantee that you will keep all your assets in complete safety.
Moreover, do not tell anyone how much money is actually stored on your balance sheet.
A Few Tips On How To Choose A Cryptocurrency Wallet
The procedure for issuing a cryptocurrency wallet usually takes only a few minutes, but you get the opportunity to safely store your assets, serve clients using digital currency, pay wages, pay for goods and services, and much more.
How to protect your crypto wallet? Before registering a cryptocurrency wallet, you need to spend a lot of time picking it. We advise you to pay attention to the following points:
- Better decide if you want to use a hot or cold wallet. So, a person who has just started working with cryptocurrencies needs to choose a wallet with hot storage. Since it has a more straightforward management method and a simple and intuitive interface, it can carry out financial transactions faster. Cold storage wallets are better for storing significant assets.
- Select the device on which you will use. If you want to protect cryptocurrency, you can use your smartphone, personal computer, or other devices. There are also e-wallets that you can access from any device and any browser, but their protection is slightly worse.
- Choose a provider with an excellent reputation.
When working with cryptocurrency, you need to be sure that your assets are reliably protected. So, when choosing a wallet, you should consult with your colleagues and find out which providers they use and which ones they see shortcomings. This information is often more useful than hundreds of reviews on the Internet.
Cryptocurrency security comes first for many miners. If you follow all of the above tips and choose the right cryptocurrency wallet, you will not have any problems. The main thing is to be careful about the security of your assets, not to gamble with bitcoins, to use good passwords and two-factor authentication.