Everything online is unsafe to some extent. Even the cryptocurrency industry is not completely safe from hackers. As cryptocurrency drew more attention from the public in the past few years, the number of hacking cases also increased. From individual to the entire cryptocurrency industry, everything is under the threat of malicious attacks and hacks.
Thus, several currencies go missing and the hackers are nowhere to be found as they disappear into the anonymous internet. The huge amount of money stolen in the form of digital currency is not possible to recover or trace. However, there are some precautionary measures that you can take before any incident:
The Use of Wallets
Most people tend to buy the most popular cryptocurrencies like bitcoin or Ethereum through an exchange. They tend to keep the currency on the platform and while it is true that digital exchanges take some precautionary measures, still they are facing many malicious attacks. Thus, the best way to store your digital currency is by using a digital wallet. It is one of the best ways to store your investments.
There are mainly two types of wallets but, there are plenty of options and designs available in the market. Of the two main types of wallets, hardware devices are preferred to be the best option. These hardware wallets look like a USB device and can act as a physical storage mechanism for your coins. Each wallet has its private key (just like a password or pin code) that allows you to access or decrypt your wallet so you can use your coins or tokens.
This private is the most crucial aspect of a wallet and as long as your private key is safe, your wallet is safe. If by any means you lose your private key or tell it to someone and get in trouble, then nothing can be done to recover the content of your wallet.
Other Types of Wallets
If you are one of those people who are not comfortable with physical devices then you can use online digital wallets. The working of a hardware USB-like wallet and online digital wallet are much similar except for the fact that the former is a handheld device. As discussed about the private key previously, online wallets also have a private key that is of the same crucial importance.
If you lose your key, data would not be recoverable. Thus, it is vital that you store your key in a secure location and always remember it. Some people tend to take extreme security measures and record their keys in graphics files with encryption or a safe deposit.
Desktop wallets are also an option but they are not as reliable as the above two mentioned options. Although these desktop wallets are not directly linked to the internet, still hackers can use them to retrieve your information easily through some virus. Thus, if you are planning to use a wallet then it is better that you go with one of the above-mentioned ones.
Some Other Tips
- Before you open an account at any exchange, set up a unique email.
- Make sure to keep a long and strong password that is hard to crack.
- Don’t talk about cryptocurrency details publically on social media.
- Don’t keep all your cryptocurrencies in one place.
- Prefer using a decentralized network for trading cryptocurrencies like yuanpaygroup.app.
- Call your cell phone provider and put all the levels of security that you can.
There are many ways to protect you from the dark side of the internet community. Hacking is becoming common but so are the measures to prevent it. If you want to save your digital assets from stealing, make sure to stay vigilant and apply these tips to avoid stealing or losing cryptos.