As technology is advancing and opportunities to invest and make money online are growing, so are the risks and chances to be hacked. Obviously, none of us likes being hacked or experiencing theft in any way, whether it is in the real world or in the virtual one.
In the past years, crypto investors have been a hacking target from many hackers, increasing the risk and the fear among investors and those who want to get into the crypto world.
Recently, popular cryptocurrency IOTA had to temporarily shut down its entire network after a hacker stole funds from ten of its highest value users. In July 2019 the company released a wallet they named Trinity which ended up being vulnerable since it was the main “tool” hackers used to steal the digital keys that provide access to wallet’s funds. But how did the IOTA team handle the issue?
They came up with three step-plan to solve the problem. First, they made a decision that all users must install the updated version of Trinity desktop wallet with different passwords. Then, using a seed migration tool all users must transfer their token to a safe seed. This would prevent hackers from making any unauthorized crypto transfers.
As mentioned above, the cryptocurrency world has suffered several attacks before. No farther than in January 2019 an eighteen-year-old teenager had faced criminal charges related to a 50$ million scam targeting cryptocurrency holders. The hacker had been accused by the Canadian authorities for being part of a ring that stole millions of dollars on cryptocurrency from Canadian and American holders. This teenager used a “SIM-swapping” attack. This is one of the tricks hackers use tricking telecom companies to transfer the victim’s phone numbers to the attacker’s SIM card. This way attackers can bypass authentication and password mechanisms that rely on phone numbers.
Hackers in the past used another form of malicious activity called “Cryptojacking”. They would use an infected device to secretly mine for cryptocurrencies.
On the other side, in the same month German and British authorities arrested someone suspected of stealing millions of dollars in IOTA by creating a website with the purpose to generate digital keys that were used to secure wallets.
With all these attacks that have happened in the past, there is always a chance that they might happen in the future too. No one can guarantee! That’s why investors must be aware and take the steps necessary in order to be ready and prevent any attack of any kind and maintain a high-security level. Here is some advice.
What are some of the tips to secure your cryptocurrency wallet?
- Use cold storage
Using cold storage is one of the options you should consider in order to keep your wallet safe. This goes in particular for users that are concerned more about cyber threats. Cold wallets are online and secure. There are two ways you could store your keys on a cold wallet: You could use a paper wallet, or you could buy a hardware wallet.
On the paper wallet, you would have to write everything down. If you feel like doing all that would be a lot of work and would be complicated you could buy a hardware wallet. It would cost you a little but it would save you a lot of time and effort. Always make sure that you check the reviews of previous users, since you want this one to be safe and secure.
- Use a secure antivirus software
Check your computer if it has antivirus software. Before installing your wallet do a quick scan on your computer and make sure everything is clean. Most cyber-attacks use malware and viruses to get through to your device so always be careful!
- Be careful when connecting to Wi-Fi
If you are carrying the device that has a wallet on it with you, always pay more attention when you connect it to Wi-Fi networks. There are risky Wi-Fi networks that could put your wallet at risk.
- Do not give away your private key
Never ask anyone else to make transactions for you. They are your keys only and do not share them with anyone else.
- Auto Updates – Turn them off
Any app that you use related to cryptocurrency should never be auto-updated. The best thing to do is to wait for a couple of days after the update has been released. After it has been tested and used by previous users then it should be good to go.
- Make sure you use a strong password for your online wallet
Make sure that the password for your wallet is unique and it is not reused from other different services. Use a unique alphanumeric combination. Names, birth dates, movies, phone numbers should never be used as passwords for crypto wallets since they would be so vulnerable and someone could get through them. You would never want that to happen!
- Use a two-factor authentication
If your wallet allows it always to use two-factor authentication. The best way would be to add biometric identification like fingerprints.
All in all
Well, since you are here and you made it this far reading this article, you probably are being prepared to invest in one of the cryptocurrencies. To get more familiar with the crypto world visit exchangeratings On this website you have a full list of crypto exchanges rated by users.
It is all up to you and it is your responsibility to keep your cryptocurrency wallet safe. Although in the cryptocurrency world the risk is not much greater to get hacked than in any other online platform you must always be prepared and ready for anything that could happen. At least, now after reading this article, you have an idea how to protect and you should be able to mitigate most of the risks if you are proactive enough. It is up to you to choose the cryptocurrency you want to trade, but trading with well-known cryptocurrencies could be safer.