Just like real money, keeping your Bitcoin wallet safe should be a top priority. Cryptocurrency gives you the freedom to be in control of your money like when you withdraw, spend or invest. Such freedom comes with security risks, which you must always control to keep your digital money safe.
So, how can you keep your Cryptocurrency wallet safe? Here are the details for you:
Only have small amount available for daily use
In real life, it is not safe having a lot of cash with you at home or when you are moving around. You should only keep a little stash for daily use, and safely keep the rest. With Cryptocurrency, you only have a minimal amount on your phone, computer or server. The rest should be kept in a safe environment.
Backup your wallet and encrypt the backups
Always have a backup of your entire wallet. After that, encrypt the backup as a further security measure. The chances of any malicious software finding a way into your wallet are greatly minimized. As you continue piling more coins on your wallet keep pace with backing up.
Use strong passwords and never forget them
A strong password should contain at least 16 characters made up of letters, special characters, and numbers. Even after that, you should never forget the password because there are very few options for recovery. If you are afraid of forgetting, keep a paper record for future reference.
Offline wallets are the best
Also referred to as cold storage, offline wallets are the best and secure location to keep your Cryptocurrencies. It is simply storing your wallet on a computer that is not connected to an online or offline network. You will not be exposed to any computer anomalies and vulnerabilities. You should also use it with backups and encryptions to make it more secure from any malicious advances.
Keep your programs updated
Keeping your system software updated would prove useful in ensuring the safety of your wallet. Ensure that your computer is using the latest Cryptocurrency software. Your other applications should also be up to date to keep any vulnerability at bay. If you use your phone, make sure it is up to scratch in terms of apps and other important programs.
Use multi-signature protection
Bitcoin and scores of other Cryptocurrencies use multi-signature process to access your wallets. This could be of a big help in keeping your digital money safe. To access the wallet, you should need 3 to 5 persons. If one of them is missing that would mean nobody will have any access. Even if someone was to hack into your wallet, it would be a hard task to bypass all these securities.
Rethink about your statement to your family or peers
Your Cryptocurrencies will be for good gone if you do not have a backup plan involving your family or relatives. If they do not know your passwords or about your stock of digital currency, the money will be gone forever if you are no more. Involve your close family or relatives.
Keeping your money safe, conventional or digital, should always be your priority. Now that you have learned a few ways to keep your wallet safe, give it solid protection.