People wrongly assume that cryptocurrencies is safer than national currencies.This is true in some ways.Privacy is better with the use of a credit or debit card.It is not as safe as the place where it is stored.To keep yourcryptocurrencies safe, use a secure wallet, maintain strict security protocols, and create multiple backups so that you can recover a lost wallet quickly.
Step 1: As soon as possible, transfer your money to a wallet.
You can simply leave it in your exchange account when you buy cryptocurrencies.Cryptocurrencies are major targets for hackers.Any currency left in an exchange account is vulnerable to theft.Exchange accounts are the least secure.The basic rule withcryptocurrencies is that the more convenient you are to access it, the less secure it is.If you leave it in your exchange account for a few days, it should be okay.You should find a more secure location any longer than that.
Step 2: Hardware or paper wallet can be used to hold coins.
The sole purpose of hardware wallets is to storeCryptocurrencies.They are not vulnerable to hackers since they aren't online.Paper wallet are vulnerable to hackers.A hardware wallet will cost you a minimum of $100.If you have a small amount of currency, the expense may not be worth it.A hardware wallet is the best option if you have a lot of money.You can print the codes from a paper wallet.Before you create a paper wallet, make sure your computer and network are free of malicious software.A brand-new computer that has never been used for any other purpose or been connected to the internet should be used.Hardware and paper wallet are the least convenient ways to hold yourcryptocurrencies, but they are also the most secure.If you don't want to spend it, but still want it to be an investment, these wallet are ideal.
Step 3: Evaluate the online wallet security.
A strong online wallet has an active development team and is compatible with multiple operating systems.The wallet should allow you to keep control of your private keys.Your private keys can be moved by anyone.Don't use online wallets that require you to give up control of your private key.Cryptocurrencies aren't subject to the same regulations as banks.There is no recourse if the wallet company loses your money.There are people handling security for the wallet company.People's names can be searched online to learn more about their reputation.
Step 4: The less secure wallet is where you should keep small amounts.
Any wallet you can access online, including web wallet and mobile wallet, are more vulnerable to hacking than hardware or paper wallet.You trade convenience for security.Don't put more in these wallets than you can afford to lose.If you plan to use cryptocurrencies for both regular transactions and investment purposes, it's best to keep the bulk of your money in a paper wallet or web wallet.Think of it this way, keeping your money in the bank and a small amount of cash on your person.Don't put all of your money in an online wallet, it's like putting cash in your pocket.
Step 5: It is possible to give someone else access to a multi-signature wallet.
A multi-signature wallet requires more than one person to enter a password.If there is someone you trust with access to your coin, then you should use this.If you are married, both you and your spouse can sign on a multi-signature wallet.Both of you would have to enter a separate password before you could complete a transaction.Multi-signature wallets are great for businesses that have cryptocurrencies.In order to prevent the theft of company funds, at least 2 officers or managers in the company would have to sign off on a transaction.
Step 6: Change a complex password frequently.
When you set up your wallet, you should have a long password that includes numbers, special characters, and both capital and lower case letters.It should be hard for anyone else to guess, but easy for you to remember.You can set reminders for yourself to change your password.Change it with something that is different from the previous one.Don't reuse an old password.Your computer can create a random password for you if it has a password manager.Make sure you have a strong password for your computer if you use a password manager.Anyone can access your computer with a password manager.
Step 7: You can use a separate email address.
The hacker could gain access to yourcryptocurrencies if your email is hacked.A hacker would be easy to guess if you set up a free email address that doesn't include your name.For additional security, use different email addresses for your exchange account and wallet accounts.For no other reason, use those addresses for that account.
Step 8: Two-factor identification can be enabled on all accounts.
Every time you attempt to log in to your account with 2FA, the service will send you a code for your phone or email account.You need to enter that code in a short period of time to access your account.Text messaging is more secure than email.Unless you have a phone, someone won't be able to access your wallet unless they have your phone.
Step 9: All security updates should be downloaded immediately.
Every now and then, software and mobile wallet update to protect and counter new threats.Updating these downloads as soon as they become available will ensure you're using the most secure version of their software.Automatic updates will be installed on your computer or other device when they become available.All updates for your operating system and virus protection software should be downloaded along with the specific app or software.The environment it operates in is as secure as the app or software is.
Step 10: You should protect any device where you store or accessCryptocurrencies.
In your preferences, operating systems come with encryption technology.You can use the software to run on any device you use to store or make cryptocurrencies.It's important to protect your wireless network from unauthorized access and transfer of information from a computer to the network.Don't make anycryptocurrencies transactions on public networks.
Step 11: It's important to safeguard your seed phrase.
If your hard drive crashes or you lose access to it, you can use a secure wallet to recover your wallet.Passwords should be written down and kept locked away in a safe.You don't have to memorize for storage of phrases.You can forget or mistake the phrase in the heat of the moment.If one of the phrases is destroyed, make more than one copy and keep them in different places.
Step 12: Multiple backups of different types are created.
Any backup could be lost or corrupted.Multiple backups keep your wallet safe.You can use different media, such as a thumb drive, cloud storage, and paper storage.You could make one backup on a CD-ROM and keep another on the cloud.The cloud storage service should be end-to-end secure.The storage service shouldn't be able to break the encryption on your data.
Step 13: There are backups in different places.
Even though physical media is less vulnerable to hackers, it could still be destroyed by fire or flood.If you have backups in different places, they are less likely to be destroyed.If you keep a backup at home, have one at your place of business or at the home of a trusted friend or family member.You could keep a backup on paper or on a small thumb drive.
Step 14: Tell someone where your backups are located.
It is lost if something happens to you and no one knows how to get to your coin.A trusted friend or family member should be able to access your coin.They don't need to know your passwords or have access to your account.If necessary, they need to know where to find the information.If you have a will or trust, you should leave this information with the lawyer who drafted it.
Step 15: Your backup needs to be updated after every transaction.
When you make a transfer into or out of your wallet, the balance will be updated.Your backups won't change until you create new ones.Don't use old backups again, destroy them.Even though the balance has changed, the old backups may still work.Anyone with your private keys can move yourcryptocurrencies.They don't need your wallet to do that.