To be[In]Crypto Video News Show: Crypto Security Tips

In this episode of Be[In]Crypto Video News Show host Juliet Lima offers several tips to help cryptocurrency holders protect it.

Comparing cryptocurrencies to treasured childhood memories, Juliet explains the fundamental economic concept that value is largely derived from scarcity. As with past events, cryptocurrencies cannot be duplicated and must be protected appropriately. A thoughtful approach to the following suggestions will help anyone strengthen their security.

Private key

The very first principle of cryptocurrency security is to keep your private key written down somewhere and never share it with anyone else. Unlike cash in a bank, cryptocurrency can be held without a third-party intermediary. However, this makes the holder ultimately responsible. If the holder loses the private key, they effectively lose all cryptocurrency in that wallet, as it becomes inaccessible without the unique phrase, which cannot be recovered.

Although anyone with the private key has immediate access to the wallet, so it should not be shared with anyone. Due to hacking, it is recommended that you physically write down the phrase and keep it somewhere safe, but memorable.

Passwords

Another simple step one can take is to choose a sufficiently complex password. A rule of thumb is to use a long sequence of numbers, symbols, letters (upper and lower case).

As passwords have become essential to managing our growing daily accounts, password managers are an effective tool to help consolidate that secure information. Protected by a master password, once inside the manager, users securely store and generate sufficiently random passwords.

Public Wi-Fi

In addition to securing private keys and passwords, another simple step one can take to secure their crypto is to avoid using public Wi-Fi. These networks are almost always insecure, which means someone could easily monitor all internet connections, including access to crypto exchanges or wallets.

These should ideally only be accessible via a virtual private network, which allows for some privacy.

Scams

As with any booming industry, cryptocurrencies have their fair share of scams related to them. While rudimentary scams promising an exorbitant return on a relatively paltry investment persist, fraudsters have become as sophisticated as the blockchain technology behind cryptocurrencies.

Some are capable of using social engineering, performing trust tricks on Guardians to gain access to proprietary information. Others use this talent online, creating fictitious financial platform websites, where users can unwittingly submit their username and password to scammers.

Caution on trades

Even some of the biggest exchanges have fallen victim to scammers and cyber attackers. For this reason, users should be wary of even the most popular exchanges.

Although allowing exchanges with the custody of our crypto is somewhat antithetical to the principle of personal responsibility at the heart of crypto, there are certain advantages to using them. For example, an exchange that has already been hacked is likely to have tightened its security. More consumer protections will likely be put in place as the industry continues to develop.

Safe navigation

Anyone who downloads anything onto a device should always be sure what it is. If for some reason they’re not sure what they’re about to open or click, take a moment to think about it.

Who sends this? What website is this? Does this really seem legitimate to you? Opening the wrong thing could install a program that could give someone easy access to everything stored on the device, including crypto.

Hardware wallets

A hardware wallet is a device with high-level security used specifically to store cryptocurrency. This device is separate from your computer or phone and has one purpose, to store cryptocurrency.

The two main brands are Trezor and Ledger, and although they can be a bit pricey, for peace of mind, they may well be worth the extra expense.

Two-factor authentication

Another best practice is to enable two-factor authentication, which provides an additional layer of security. To access accounts, users need a code generated from an external source, in addition to the initial password. This means that anyone trying to hack into an account would need both a password and a code generated on another device.

SMS verification should be avoided, as hackers can easily circumvent this measure through SIM card swapping. Popular apps for this, such as Google Authenticator, are fairly easy to set up.

Keep it to yourself

While some may be inclined to share the details of the fortunes they have gained from cryptocurrencies, it is usually wiser to keep these details to yourself. The fact that other people know about these assets actually poses a security risk.

At some point, when certain cryptos have been able to appreciate even more dramatically, they may feel inclined to leverage this information for their own benefit.

Check the address

Finally, when funds are about to be sent, the receiving address should always be verified. Due to the complexity and draconian security measures behind cryptocurrencies, addresses tend to be long and complicated. Similar to the loss of a private key, once the cryptography is sent, it is impossible to recover it.

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