In this techno-savvy world, keeping your security is very complex. Most of the day, there is a report of a major hacking or ransomware violation. By increasing in the number of hacks, consumer desires for crypto wallet security increase as well. Today we see an ever growing crypto phishing attempts where bad actors are trying to scam the innocent.
The data that is collected by your wallet provider, and the information that is possible to gain from your computer for marketing purposes, can be combined to allow hackers to sneak into your digital wallet. The possibility of revealing your secret key to your wallet provider is real, and that data can be accessed simply by hacking the wallet provider’s servers or through insider’s hacking.
Now let’s take a look here as how to stay safe and protect your fund.
Tips to Keep Your Crypto Wallet Security
The threat to your digital wallet is not through the blockchain but through the wallet or exchange provider. Information can be tracked and stored at the provider level, including your personal key, and can then be accessed by hackers in order to access your wallet without your permission.
There are many important safety and security practices that can help you to protect your crypto wallet privacy and as a result, protect your funds.
1. Start with a Secure Foundation for Your Wallet
You must be sure that your device doesn’t have any malware and also keep in mind never install your wallet onto a rooted device. Always be sure about using an authentic version of your wallet which is provided on its original website.
It is wise to find a wallet with security measures beyond the normal wallet providers. Some wallets are now using encryption to protect the private keys. Companies like Corion have created a code package that encrypts the key data and protects it from insider hacking.
The above company offers a variety of services including a wallet and an exchange, all of which use encryption for private keys. Corion stands for capital online reward incentive optimized network – meaning that the company incentivizes consumers to use the platform by giving them rewards for activity. Corion has also shared the code for their Safety Look Solution so that other wallet providers can offer the same level of security.
2. Separate Your Funds, Use Cold Storage to Keep Your Wallet Security
Users should always have at least two digital wallets (or even more, depends on amount of crypto funds). One wallet should be used for trading and transactional purposes, and the other wallet should be used to store savings and be kept in a secure location. This type of wallet must be a cold storage wallet. In anyway, a backup of the private keys have to be stored safely offline (it’s a good idea to separate the private key into 2-3 parts and store them safely away from each other).
3. Turn off Auto-Updates to Keep Your Crypto Wallet Security
It is always a good idea to turn off auto-updates for applications relating to the crypto sphere. Application bugs can potentially create massive losses for account holders. It is best to wait 2 or 3 days after an update has been released to see if any bugs appear. Once the app has been tested by other users, it is a safe bet that you can install it without risk.
4. Use Different Recovery phrases for Each Wallets
Do not use your same recovery phrase for different wallets. Best practice is to always use one recovery phrase for one wallet.
5. Wi-Fi Wisdom
When you are using a device that has a wallet on it, you need to be aware of the websites you go online. Because, there are some factors like dangerous websites and risky Wi-Fi networks that can put your wallet at risk. Generally, don’t leave your device unattended or lend it to anyone.
6. Always Keep a Backup
As there is no reset or recovery process, you should remember to always keep a backup copy of your recovery phrase. In the event your phone is broken, stolen, lost or the app is accidentally deleted, your wallet can always be restored on a different phone using the recovery phrase. There is no reset or recovery process; lose your phrase and you lose your funds with it!
7. Enable Two Factor Authentication (2FA)
If your wallet allows for it, it is best to enable two factor authentication (2FA). 2FA is simply a double authentication of who you are. 2FA Authentication can be done in different ways – Google Authenticator app uses a 6 digit code which is changing minute by minute and is unique to you, another option is to add biometric identification like a fingerprint. Whichever you choose, 2FA is very important in order to to increase security.
8. Beware of Phishing to Keep Your Crypto Wallet Security
Phishing scams through Google Ads and through email are rampant in the crypto world. Phishing scams are increasing more and more and you need to make sure that email received from wallet companies have their domain spelled correctly and never look for their web address clicking on Google Ads. You can say goodbye to your funds, once you send a phishing website to your private key.
9. Check the Address Again
Double checking the address that you send any payment transaction to, is an important action you should do. There are malicious programs that can edit a “copy and paste” procedure in order to paste a different address, the new address belongs to an attacker. Sending a micro payment as a verification and then sending the larger payment to the verified address is usually the best thing to do.
10. Check the SSL Security Mark
The most important thing here to do when using a web wallet is to ensure that there is an SSL security mark in the address window of your web browser. The SSL stands for secure site seal, also it ensures that your browsing is encrypted. The website should begin with HTTPS rather than HTTP and a lock sign should be visible next to the URL. Always remember, security is critical when you are dealing with digital wallets.
You’d better to use a non-public email address for all your crypto accounts including exchanges. For that mail, set up a two factor verification. As always, make up a strong password including some unique characters.