Are you sure nobody can steal your wallet right from the pocket? Well, it might happen while you commute in the public transport, stay in a line to buy hot dogs or just walk along the street. Yes, everyone has to be very careful. Is it different in cyberspace? Of course, it’s not. It’s better to keep your cryptocurrency wallet secure and today The Coin Shark will briefly tell about some key steps everybody should make to ensure their crypto funds safety.
Although cyberpirates can potentially board every vessel in the cyberocean, users often lose their money because they themselves do not take security measures serious enough.
First of all, it’s good to backup cryptocurrency wallet data so that you will manage to restore it in case your device gets broken, burn down, is stolen or if your cat drops a cup of water on it.
Secondly, you can learn poems, remember sequences of numbers or objects, so basically train your memory not to be afraid of a long random password. Or just write it down on a piece of paper. 15 characters and more, lower and upper case, letters, numbers, symbols and so on – try to make it more complicated than just a birth date.
Thirdly, private key security is vital. Only wallet’s owner should know it and use to “decipher” transactions and, actually to put virtual currency into their cyber pocket. If you keep your private key on your device, you can encode it, especially if somebody you don’t trust enough can access your computer. It’s also useful to prevent yourself from being a person whose kid has accidentally spent all cryptocurrency. You can also store your private key offline – on a piece of paper or USB.
You also need an efficient antivirus. In particular, it will protect you from keylogger software that can record which buttons you press on the keyboard, or from phishing, when you follow malware links and let hackers get your passwords.
The wallet type also matters. If extra security is more important for you than extra convenience, then you’d better use a hardware wallet. Online and especially exchanges wallets are very convenient and won’t require gigabytes of available memory on your device so that you can manage your cryptocurrency using a mobile phone. However, hardware wallets download the whole blockchain on your computer, interact directly with it and don’t need any agents like online services or exchanges that can have security flaws. In addition, hackers found bugs in the transaction code of Mt.Gox exchange and manage to steal $460 million in Bitcoin. However, if you trade your cryptoassets on exchanges, you will need an online wallet to makes deals fast. Anyway, hardware wallets are probably the best to store cryptocurrency but online ones are required for quick operations with digital coins.
So, security is a really important issue of crypto investing. As cryptocurrency market expands and prices for virtual coins grow the crypto fraud is likely to increase and develop.