When you decide to invest in Bitcoin, one of the most important things you’ll need in order to receive, store, and send Bitcoins is a Bitcoin wallet.
Keep in mind that Bitcoin is decentralized, which means that there’s no central authority managing it. Because of this, many new investors are tempted into believing that it’s safe and fraud-free. However, without a Bitcoin wallet, hackers can access your Bitcoin and steal it from you.
When choosing a bitcoin wallet, ensure that it’s compatible with your operating system, whether you’re using a desktop computer or mobile. Note also that the Bitcoin wallet doesn’t store actual Bitcoins. Rather, it stores a private key that serves as your connection to a series of transactions.
That being said, let’s take a look at how you can safely secure your Bitcoin wallet, allowing you to safely enjoy the world of cryptocurrencies.
1) Going For A Hardware Wallet
One of the main benefits of a hardware wallet is that it’ll not connect to the internet. It also comes with built-in security features and encryption. Encryption requires a password for every transaction. This greatly reduces the chances of anyone using your wallet for any Bitcoin transaction. Note, however, that it’s not the most effective method for protection against keylogging software or hardware.
Hardware wallets are simply designed to store information and no software or malware can be installed in them. Because of this, they’re safe from the vulnerabilities of computers. Hackers will not be able to access your private key and is, therefore, the safest option. Make sure to get your hardware Bitcoin wallet from recognized companies.
2) Make Use of Multiple Wallets
This is especially useful for people who carry out daily transactions with their Bitcoins. Note that you’re not limited to the number of bitcoin wallets that you can have.
Having separate wallets ensures that you keep the main private key safe in one wallet and use the other for regular transactions. This will help increase security.
3) Use A Secure Network
Some people prefer to use an online wallet or an Android Bitcoin wallet. If you’re one of them, it’s best to connect to the internet by using a trusted and secure network. Avoid public networks at all times as these are prone to cyber-attacks.
A preferable alternative is either a home network or your mobile phone’s hotspot. You can check the best Bitcoin wallets for Android at cointippy.com
4) Manual Storage of Private Key
You can also manually keep your private key safe. You can do this by physically writing down the private key and avoiding storing it on devices that could access the internet. This ensures that hackers cannot access it.
That said, it’s important to ensure that you write the private key in a safe place and one where it’ll not deteriorate.
5) Use Updated Software
When using online Bitcoin wallets to help keep your private key safe, it’s important that you ensure your computer has the latest antivirus software.
In most instances, cybercriminals will use a virus to hack into your computer and steal valuable information. An up-to-date antivirus software will help stop them in their tracks.
6) Use Better Passwords
Many people tend to use obvious passwords, such as date of birth, pet’s name, favorite movie, etc. Moreover, they tend to use the very same passwords on multiple accords.
Make sure that your Bitcoin wallet has a unique password and one that’s alphanumeric (a combination of letters and numbers). This makes it difficult for any would-be cybercriminal to figure out the password.
7) Avoid Suspicious Links
If you spend a considerable amount of your time online, this could open your computer to attacks. Thus, it’s crucial that you avoid accessing certain links that you find suspicious. This could cause a virus to download itself into your computer.
Also, beware of Bitcoin scam emails. These will prompt you to access a particular site where it’ll ask you to fill in your information. The scammer can then use this to access your computer and steal your private key.
8) Always Double Check the Address
Hackers could use malware that could alter the address. This would then cause you to send Bitcoin to the wrong address.
Therefore, it’s important to always countercheck your address and the one you’re sending to ensure that you transact with the right address.
9) Never Share Your Private Key
It’s never a good idea to let someone else carry out transactions on your behalf. For one, they may not be as trustworthy as you might think. Even if they are, they may not observe the same level of caution as you when conducting transactions.
Because of this, they may create gaps that cybercriminals could use to steal your product key.
10) Always Use Two-Factor Authentication
Any Bitcoin wallet that’s worth using will allow a two-factor authentication. This ensures secure transactions. Hence, it’s important to always use it when making a transaction.
Some wallets even allow for multi-signature authentication. This is great in case the security of one device is compromised. By requiring multiple signatures for each transaction, the chances of theft are significantly brought down.
11) Backing Up Your Bitcoin Wallet
Devices in which you store your Bitcoin wallet can never be 100% safe. They may crash, get broken, or even get stolen. Because of this, it’s always a good idea to have a backup plan.
In case something happens to your device, you can access your private key and any other information that you need. A good example is to back up your digital wallet in another Bitcoin wallet.
Remember that you could lose your bitcoins forever if a fraudster was to access them. Therefore, always take more than a single security measure.
For anyone who’s into Bitcoin, it’s their responsibility to ensure that their Bitcoin wallet and private key is safe. Keep in mind that the world of crypto is always evolving with new security features regularly popping up. Therefore, you should always stay up-to-date and make use of the latest security measures.