Whether you’re storing crypto or NFTs in your wallet, it’s essential to keep them secure. Blockchain itself is almost hack proof; Bitcoin has never been hacked in 13 years. Security issues with crypto typically come from careless users or third parties. Luckily, there are plenty of ways to reduce the risks of crypto asset breaches or losses – continue reading to find out more.
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Two-Factor-Authentication (2FA)
Technology has evolved considerably over recent years, and the majority of platforms store passwords to save time logging in and remembering different alphanumeric phrases. This is all well and good, but it makes it extremely easy for unwanted eyes to log in to accounts. Fortunately, 2FA is slowly becoming the industry standard. This protective tech requires a unique code, sent via email or SMS, to be inputted after typing in a password.
Authenticator Apps
In tangent with platform 2FA, you can use an app like Google Authenticator to boost security even further. Instead of using SMS and email, authenticator apps generate a code internally, meaning nothing is sent over unsecured networks. This is great because it means would-be attackers can’t see your information, even if they mirrored your messages.
Back-Up Seed Words
Non-custodial wallet providers, like this fantastic NFT wallet, provide you with twelve seed words once you’ve put in a password – this is your account recovery phrase. If you ever get locked out of your account or get hacked, your seed words get you back in. Looking after seed words is your responsibility, so make sure it’s backed up properly.
You can store them on a computer for safekeeping, as long as the folder is encrypted. However, keep in mind that all hardware fails eventually – or you could have your computer stolen and hacked into. Therefore, you should back up the seed words on a piece of paper and store it somewhere safe.
People tend to use the same password for everything because it’s easy. We feel it’s important to mention the obvious here – do NOT use the same password for your wallet. If a hacker gets into a different account, like a social media platform, they’ll attempt this email and password combination for everything.
Strong Passwords
The only person who knows your password should be you, which is why hackers shouldn’t be able to break into your account and access your wallet. However, they may use advanced programs like Hashcat to guess thousands of random passwords. If your password is long and complex, this takes more time and will cost them a fortune, leading them to give up and move on.
Withdraw Assets
Crypto exchanges are a necessity for accessing the world of digital currency but having millions of dollars stored on them makes for a juicy target in the eyes of a hacker. A great way to avoid losing out if your exchange gets hacked is to remove your funds, unless you’re HODLing, and store them in a cold wallet.
Blockchain is fairly unbreakable, but third-party infrastructures and user errors make cryptocurrency an even risker landscape. To keep your assets secure, follow the short guide above and be vigilant.