At a point in time, you must have suspected that someone is watching your internet activities? Especially when you create or disclose your data through your online actions and communications in today’s environment, where you can do nearly anything on the Internet. Unfortunately, cybercriminals can easily steal, delete or alter your credentials and use them fraudulently without your awareness because of these digital traces.
Because digital currencies can only run electronically, cryptocurrency holders and traders are particularly vulnerable to cyber-attacks. And this is why picking a safe and dependable online Bitcoin wallet is so important. Here are a few strategies to avoid thieves’ cunning traps and keep your cryptos safe.
Choose a crypto wallet that fits your needs
A Bitcoin wallet is a device that stores digital currency such as Bitcoin. It can also refer to a specialized electronic device employed for digital currency storage, transmission, receipt, and tracking. There are a variety of crypto wallets available online, and you must pick one that meets your storage and trading requirements, as well as your budget. The company that provides the digital wallet is also essential to take into account. Get one from a trustworthy and respected provider. Some crypto exchanges offer a free Bitcoin wallet to their customers. It would be best if you did comprehensive research online to get one.
Do not trust web wallets
Web wallets are convenient, and you can easily create and use them on your website. It is also convenient to use Bitcoin on any device if it has a connection to the Internet. The problem is that as it is easy to write, it is also risky to use. A web wallet full of bitcoins is mouth-watering prey for hackers. Due to the internet connection, the web wallet Bitcoin will always stay exposed to the risk of being hacked. Even if you cut off the Internet, you can get away from a lot of hacking threats. Download and install an offline bitcoin wallet, put bitcoins in it, and disconnect from the Internet. You can also use an old laptop computer. Bitcoin exchanges use this method of storing bitcoins on devices blocked from the Internet, formally called ‘cold storage.’
Enable two-factor authentication
Get a two-factor authentication Bitcoin wallet as well (2FA). Additional security for your cash is provided by demanding verification before performing account operations like signing in and withdrawing or sending money. The intelligent software will request your 2FA code if someone attempts to access your wallet without your consent.
Encrypt your Bitcoin wallet
Another line of defense against future cyber-attacks is to encrypt your digital wallet. When someone attempts to enter your account, you can establish a password and lock your coins to prevent them from gaining access. The hacker will not be able to steal your Bitcoin unless he knows the password you created for yourself. Even the most obstinate hacker will fruitlessly toil trying to access your account if it is duly encrypted.
Back up your entire wallet regularly
Some wallet service providers let you make a backup of the data in your wallet. A backup of your wallet ensures that your data and funds are safe in the event of your computer system or software failure. If your money or data is stolen or misplaced, you can quickly get it back. Use a variety of backup devices to make account recovery a snap. A variety of devices, such as paper or hard drives like USBs and CDs, may be an option for you to investigate.
Make use of the ability to sign with multiple signatures
One of the most excellent ways to keep your crypto coins safe if you have a lot is to use a multisig wallet. To use this feature, you will need the digital signatures of many approved users, which are available in many crypto wallets. Without the consent of these individuals, hackers will be unable to gain unauthorized access to your wallet and steal your crypto funds. Check to see if your Bitcoin wallet has this option enabled, and if not, do so now!
Keep your software updated
Keep your software up-to-date at all times. You can access the latest features and security patches by updating the software in your wallet. Enabling automatic updates may make users’ lives easier, but receiving notifications of new software updates is still desirable. The software will inform you of the new features, and the installation will not stop you in the middle of a transaction. It is possible to test for an issue that could affect your data before applying the update by waiting a few days.
To prevent identity theft, use unique passwords for each account
Make passwords that are long and difficult to guess. No one writes a bank account without using a password. A Bitcoin wallet functions similarly to a bank account used to send and receive directly from one wallet to another. Note that a Bitcoin wallet, of course, requires a password. Make the web service password complicated if it’s a web wallet, and encrypt it if it is an offline wallet.
The more complex and lengthy you make the password, the more secure it is. The ‘random substitution technique,’ which cracks passwords by entering random characters, can solve any password, no matter how complex. To begin, make your password as long as possible. The longer a password is, the more time it takes to crack it. Hackers are more likely to give up if it takes too long to break. Use a password that is at least 8 characters long and as long as possible.
Do not, however, use a password like ‘12345678’ or ‘password.’ It is simple to figure out even before using the randomization technique. When creating a password, make sure to use a combination of letters, numbers, and special characters. ‘passwordispa33w0rd’ is more secure than ‘pa33w0rd,’ and ‘pa33w0rd’ is more secure than ‘password.’ Do not forget the password, though.
Although if you forget your bank account password and go to the bank with your ID, they will tell you the password. However, retrieving the password for your Bitcoin wallet is difficult. It is because no other institution can take over management in the same way that a bank can.
Some Bitcoin wallets send passwords via e-mail after confirming the user’s identity, but this is not true for all services. Users have no choice but to keep their passwords safe in the end. Never divulge your private key to anyone else.
Think of your private key as the PIN to your bank account. Please keep it safe because it is the key to your hard-earned cash. Keeping your private keys offline is one approach to keeping your crypto wallet and cash safe. To minimize deterioration, you can write it down on paper and save it somewhere safe, or you can utilize cold storage devices that are accessible offline.
Avoid clicking on links that are unfamiliar or questionable
Cybercriminals frequently use false links to set up their traps. They will do everything they can to capture their target’s attention and persuade them to click on unique links that lead to dangerous websites that can steal personal information and damage computing gadgets. Clicking on a potentially harmful link could jeopardize your Bitcoin wallet, so stay away from unfamiliar links.
Use a secure Internet connection
Do you enjoy using free WiFi in public places? Hackers, on the other hand, do! Users’ sensitive information is at risk on Free WiFi networks since they are frequently left unprotected. You can use mobile data to connect to password-protected accounts such as bank accounts, online wallets, and business and social networking accounts while you’re out and about. Alternatively, you can use a virtual private network (VPN) to encrypt your connection and disable Bluetooth on your phone to prevent it from connecting to unrecognized devices.
Practice these security tips today
Hackers are always looking for new ways to steal your information. So, follow these best practices to construct the most secure Bitcoin wallet possible. If you have not already, use your wallet’s comprehensive security features to ensure your crypto cash’s safety, reliability, and accessibility.
Possibly, at this moment, you have something in your mind like: “Is it that complicated? Do I have to have all this in my head to have bitcoins? What you do with your bitcoins is entirely up to you and how serious you want to take its security. In some cases, it is possible that the greater the number of bitcoins that you wish to have, the greater the level of protection you will need.
Our recommendation is to start from the simplest. If you are going to store a couple of hundred euros, do not get too complicated: use a lightweight HD wallet on your computer or mobile phone. Make a backup copy of the seed, encrypt it if you wish, and keep it well. Also, protect the wallet with a pin or password.
With this, you have something reasonably safe, as long as you do not have the infected device, and it is a simple process that does not take you more than 3 minutes to complete. As a bonus, if you do not mind spending money, you can use a hardware device to store the keys.
If you store more significant quantities, we recommend creating a cold wallet through a 2 of 3 multi-signature address, for example, with Copay. If the amount to be stored is going to be very large, put two of the encrypted keys and print them on paper in a safe place and separate them from each other. Do not use Copay on the same computer to obtain the three keys. You must use, for example, a tablet, a smartphone, and a computer.
Finally, you should eliminate the wallet of two devices and only leave one in the most comfortable device, for example, the smartphone, to see the balance and even have the address to hand to send funds. Still, you can never operate without one of the two other keys that you can load from time to time in another of the devices.