Cryptocurrency Wallet – Without a doubt, cryptocurrency has provided a myriad of chances for crypto users and made trading much easier and more accessible to people all over the world. Many people are following the path of businesses converting their payment methods from fiat to crypto, which appears to be bringing money to your digital gadgets.
With benefits come disadvantages, and cryptocurrency has the most serious issue of hacking, which is a critical one to consider and will most likely deter more individuals from participating in and investing in the market. This is also because crypto has been the target of numerous hack assaults since its inception in 2009. Cryptocurrency suffered a worldwide loss of approximately $4.3 billion in 2009, according to a report published by Anti Money Laundering (AML). Criminals were on the verge of stealing more than $125 million in cryptocurrencies such as Bitcoin and Ethereum.
While the Bitcoin initiative has spawned a slew of investment opportunities, individuals are concerned about retaining rewards in their wallets while the possibility of hacking looms. However, you may use a few strategies and some Ethereum Trading Tips to keep your wallets safe from fraudsters.
Let’s have a look at the numerous techniques you’re still missing out on:
Cryptocurrency Wallet – Non-Custodial Wallet
If you’ve stored your cryptos in multiple projects, non-custodial wallets are a much better solution. These wallets reduce the risk of your wallet being stolen by providing a number of safeguards that give users complete access to their crypto wallet keys without allowing third-party access.
However, managing a non-custodial wallet is not as simple as it appears. With the wallet comes the greater responsibility of holding the keys. You risk losing all of your saved cryptos if you lose your wallet keys. That is why, whether in written form or through a hardware wallet, having a backup plan is essential.
Adapting a hardware wallet is superior and preferable since it adds an extra layer of security against cyber assaults and requires pin access for private keys. If written on paper, however, you risk losing the paper and losing access to the keys.
Only a few hardware wallets have various capabilities for key protection. The MetaMask wallet is one of the non-custodial wallets that offers this capability.
Prevent Unauthorized Exchanges of Cryptocurrency Wallet
Many people retain their cryptocurrency assets on unlicensed exchanges, which is quite dangerous. These unregulated exchanges do not meet the same rules and policies as licensed exchanges and frequently lose their holdings. In many circumstances, the management is the one who is in charge of carrying it out. They are nameless, and once they gain holders, they vanish.
Two Factor Authentication
It is better to employ app-based two-factor authentication if you retain your cryptos at an authorized exchange for added security. Users will be able to log in using two-factor authentication. This implies that each time a person logs in, they will receive an SMS code to secure their cryptocurrency holdings.
There are a plethora of two-factor authentication apps on the market. To make your wallet safer and free from cyber threats, you can use any reputable option.
Avoid Double-Received Emails
Many people have a bad habit of using the same password on many sites. It does, however, raise the risk of your accounts being hacked. The ideal approach is to use distinct passwords for each app, and if you’re worried about forgetting them, use a password manager service to store and encrypt them.
Wrapping It Up
The number of cyberattacks has risen in tandem with the rise of bitcoin. There have been several reports of users being hacked and losing their cryptocurrency holdings. As a result, it is preferable to use these methods to ensure that your wallet is safe and secure.
The risk of cyber attacks diminishes instantly after you take the essential steps to secure your money.