HOW TO SECURE YOUR CRYPTO WALLET: Generally, cryptocurrency wallets (digital wallets) and exchange providers pose the greatest threat to your digital currencies. Your digital coins are not kept in a crypto wallet, but you can trade cryptocurrencies online with a private key it holds.
Private keys are your digital identity on the cryptocurrency market, and anyone who gains access to them can perform fraudulent transactions or steal crypto coins. The use of sophisticated techniques by cybercriminals to compromise digital wallets and steal/transfer crypto assets without the user’s knowledge is widespread. Securing your wallet is essential when it comes to protecting your digital currency against cyberattacks.
- Use a Cold Wallet
The cold wallet does not connect to the internet and, consequently, isn’t vulnerable to cyberattacks like a hot wallet. Storing your private keys in a cold wallet, also known as a hardware wallet, is the most viable option as these come encrypted, keeping your keys secure.
In the exchange’s hot wallet, five cryptocurrencies were stored: Bitcoin, Bitcoin Cash, Ethereum, Litecoin, and Ripple. However, BITpoint clarified that its cold wallet and cash holdings were not affected by the incident.
- Use Secure Internet
Avoid public Wi-Fi networks and only use a secure internet connection when trading or making crypto transactions. Even when accessing your home network, use a VPN for additional security. With a VPN, you can hide your IP address and location, keeping your browsing activity safe from attackers.
- Maintain Multiple Wallets
Because there is no limit to how many wallets you can create, you can diversify your cryptocurrency investments. Use one wallet for your daily transactions and keep the rest in a separate wallet. This will protect your portfolio and mitigate the loss of any breach to your crypto account.
HOW TO SECURE YOUR CRYPTO WALLET
- Secure Your Device
To protect your device against newly discovered vulnerabilities, be sure your virus definitions are current. By using strong antivirus and firewall software, you will be able to prevent hackers from taking advantage of the weakness by writing code that targets it.
- Change Your Password Regularly
While talking about security, it is important to remember that a strong password is equally important. An American study found that three-quarters of millennials use the same password on more than ten devices, apps, and accounts on social media. Furthermore, nearly half of them were using the same password across nearly 50 different sites. Make sure you have a strong and complex password, which is difficult to guess and change it regularly. Use separate passwords if you have multiple wallets. Security can be enhanced by using two-factor authentication (2FA) or multi-factor authentication (MFA).
Avoid using the same password across multiple services, particularly cryptocurrencies. Security is an important issue. Make sure you use two-factor authentication and change your passwords regularly to prevent a service from being hacked. Using a password manager can help to automate this process and save you a lot of time.
- Don’t Get Phished
Fraudulent advertisements and emails via phishing scams are rampant in the cryptocurrency world. Be careful while making crypto transactions and avoid any suspicious and unknown links.
In a recent cryptocurrency heist, a hacking group “CryptoCore” targeted cryptocurrency exchanges via spear-phishing campaigns. Attackers stole cryptocurrency worth $200 million in two years, targeting companies in the U.S. and Japan since 2018. By impersonating affiliated organizations and employees, infecting email messages with malicious links, and using fake websites, these attacks were carried out.
As cryptocurrency prices continue to rise, phishing campaigns will only get worse. A malicious app can also access your mobile device and steal your login credentials along with phishing. Some mobile apps can watch what you type or take pictures of your screen, which may sound strange to you. If you own a mobile device, you should also consider purchasing antivirus software.
Be safe from potential losses
Cryptocurrency has become more popular and leaves us with an increasing number of people with bad intentions trying to take advantage of new technologies. By following a strict security protocol, you’ll be able to secure your cryptocurrency assets, protect them from fraudsters, and be safe from any potential losses.