How do you keep bitcoins safe? Almost every beginner on the market asks this question. Well, it is understandable to be concerned.
Bitcoin has become quite popular today. It continues to open more and better investment channels.
Despite this, there are scary horror stories about people losing all their bitcoins to hackers. It a terrifying thought, considering personal security is at risk. Bitcoins have become life-changing and security is at the center.
However, picking the right way to keep bitcoins becomes an issue. Most of the information found is all about cryptocurrency security, which may still be hard to understand.
In this article, we will be hitting the nail on the head. We want to establish the best methods one can use to keep their bitcoins away from prying eyes. The best way to store Bitcoin is linked to understanding the best practices. Continue reading.
Look out for phishing attacks
There are bad actors on the internet who pretend to be someone else. They will ask you to send them your private key for your bitcoins. This method is known as phishing attacks.
Back in 2014, there was the most devastating phishing attack. A bad actor sent an email to some Sony employees enabling them to access Sony company private data.
Phishing attacks infiltrated the cryptocurrency world in many forms and shapes. Emails and twitter have been the leading platforms. You may have received an email that looks like it is coming from your cryptocurrency exchange.
These messages may ask you to log in and reset your password. A click on the link in the email will send you to site identical to your exchange. The attacker will then use your login information to steal your information. That is if you forgot to activate two-factor authentication.
Because of this reason, you should never trust messages from any source. Always verify when someone sends you an email asking for confidential data.
One of the biggest mistakes Bitcoin holders do is talking about their holdings. This includes telling it to family and friends. It gives people some crazy ideas. Even if your friends don’t steal your coins directly, they may mention it to someone with ill intentions. Just keep everything to yourself.
Consider cold storage
When storing Bitcoins, use hardware wallets, and leave online ones out. The hardware devices store your private keys offline so that no one can access them. Compare features from different tools when choosing a hardware wallet.
Keep your bitcoin address in secret
Don’t use your public email address to create accounts on bitcoin wallets. Don’t tell anybody online or offline your current bitcoin address to let them have an ability to match your personal data with your safe storage. Make your bitcoin address untraceable by using bitcoin mixer to let nobody find out where your bitcoins sleeping.
Don’t ever leave your Bitcoins on exchanges
This is a common phenomenon where people keep Bitcoins on exchanges owing to complexity in wallets. Newbies are most notorious in this.
Even though exchanges are trustworthy in the industry, it does not mean they will guarantee safety for your coins. Many exchanges get hacked and you would want to avoid resulting loses.
Got an investment opportunity? Be careful!
The hundreds of altcoins on the market make it seem like an investment paradise. Stick to BTC if you are just starting. There are many Ponzi schemes cropping up every now and then.