If you have invested in cryptocurrency, or you are thinking about doing so, there are many different things you need to consider to ensure your investment is a success. One of the most vital aspects you need to keep in mind is cyber security. The last thing you want is for your investment to fail because you have not protected it properly. With that in mind, read on to discover some of the best ways to protect your cryptocurrency.
Spread your cryptocurrency across a number of different wallets – Hopefully, you are already aware of the fact that you need to store your cryptocurrency in a wallet. You can easily find a secure wallet for Bitcoin and Litecoin, as well as the other popular cryptocurrencies, online. However, one of the best ways to protect your investment is to spread it across a number of different wallets. If you do this, if one wallet is compromised, you won’t have lost your entire investment, and so this is a good form of risk management.
Educate yourself – You would be surprised by how many people still fall victim to phishing scams today. This relates to fake emails and websites that are designed to steal your personal information, and consequently, your Bitcoins and real cash too. Fake emails are not as blatant as they used to be. Expert hackers carefully craft emails so they look like the exact replica of an email you may receive from PayPal or your bank. The best thing to do is look at the sender, you will probably find that the email address is that of a company that has been spelled incorrectly or has a few numbers after it.
Add two-factor authentication to your accounts – Another important step to take is to add two-factor authentication to your accounts. This is something you can do using the Authy app. No matter how you go about it, two-factor authentication means that there is another security method implemented, so you do not only need to enter your password, but you need to pass another security method. This could be anything from a fingerprint to answering a security question or having a code sent to your mobile phone.
Practice effective password management – Last but not least, the final tip to follow when protecting your cryptocurrency investment is to carefully construct passwords and store them safely. Every password needs to be different, and they all need to be updated every three months. Passwords should not include full words, and they should be a mix of uppercase and lowercase letters, as well as numbers and special characters.
No matter whether you have invested in Bitcoin, Ripple or any other type of cryptocurrency, it is vital that you protect it properly. Follow the advice that has been mentioned above so that you can be certain your investment is safeguarded from hackers. Plus, make sure you keep up to date with all of the latest protection methods, as you may need to adapt as cybercriminals become more and more sophisticated.
Walter G. is a software engineer with over 10 years of professional experience. When he isn't blogging or being a CTO he enjoys coding randomly complex things that he hopes many people will get a chance to use one day.