The number of people embracing bitcoin and other cryptocurrencies is increasing at an exponential rate. Though the cryptocurrency industry is a very safe place, it is not immune to cyberpunks. Due to the negligence of users, the security details might be compromised. In this article, we are going to give you five amazing tips that can help secure your crypto wallet.
The first thing that you need to do is to create multiple backups for the wallets. If for any reason you lose access to your personal computer, you should not be worried about your wallet. Be sure you keep the backups in a safe place. Some of you might think having an online backup is the best way to secure your wallet. But this is not entirely true.
You might even lose control of the online portal and thus you will lose money. Create an offline backup for the wallet so that you don’t have to think about the safety issues. Offline backups are often known as cold backups and it can greatly reduce the risk of losing your cryptocurrency due to machine failure.
Use an encrypted wallet
Reputed companies always suggest the bitcoin users encrypt their wallet. By encrypting your bitcoin or cryptocurrency wallet you are just adding an extra layer of security. The cyberpunks are getting smarter and they are always looking to peak into your wallet. If you fail to keep pace with their smart moves, you are going to have a tough time while using the wallet. Encrypting your wallet is not a tough task.
Even with the basic skills needed to use a smartphone, you can encrypt your wallet using the advanced software associated with your wallet. So, stop risking your cryptocurrency and add a second layer of security. Those who are using bitcoins wallets regularly via mobile device or smartphone should add this second security layer. The best cryptocurrency exchange platform always have this feature so that the users have more secured layer.
Never forget your password
People always think that forgetting the password is not a big issue. Though the traditional online portal offers a very easy process to reset the password in cryptocurrency users are not blessed with such options. These measures are taken to reduce the fraudulent cases which are very common in traditional credit and debit card transactions. You can store your password in a cold store so that you never risk forgetting the password. In some rare cases, users might be able to recover the password but this is like flipping a coin without knowing the results.
The multi-signature option is a great way to secure your bitcoin wallet. Those who are dealing with a big sum of money should opt-in for the multi-signature options. So, what is a multi-signature? This is more like a joint account as used in banks. When you request a withdrawal or transfer of funds, the transactions need to be approved by 3-5 different people. Being the owner of a bitcoin wallet, you can choose a reliable person as your transaction authorizers.
Enable two factors authentication
Last but not least, you must enable two factors authentication. In this process, users have to input a preset password and then the bitcoin wallet will send a verification code to your registration email address. For instance, if you use Gmail, you will get a unique six-digit verification code each time you try to login to your account. So, if any person gets access to your password, he or she will not be able to login without the Google authorization code.
Though two factors authorization might seem unnecessary, it is one of the best ways to secure your money. You need to use some smarts to keep one step ahead of the hackers. So, make sure you have enabled two factors authentication to give your account the highest level of security possible.