- A wallet is a place where you can store your crypto. Therefore, it is important to maintain the security of your crypto wallet.
- With so many cases of phishing and scams, you need to be careful in providing information about your wallet address, including private keys and seed phrase.
- A cold wallet is the safest crypto wallet because no one can access it but yourself.
A crypto wallet is a safe place to store your cryptocurrency. Even though crypto wallets have a high level of security, you still need to maintain the safety of your wallet.
In this article, we will share nine tips that you can do to increase the security of your crypto wallet.
Use Two-factor Authentication (2FA)
Two-factor Authentication (2FA) is a layer of security that you can use to increase the security of your wallet.
To use the 2FA on your wallet, you only need to connect your wallet to an authenticator tool such as Google Authenticator, which can be downloaded on your device. After that, you can enter the authentication code that you will get from Google Authenticator every time you access your wallet. The code that you will get from Google Authenticator is a code that changes every time. So, make sure the code you enter is the same as the one displayed on Google Authenticator.
Make Sure to Use a Reputable Wallet
Before you put some crypto into any options of crypto wallet, make sure you are using a wallet provider with a good reputation in the industry. You can use well-known wallets like MetaMask, Trust Wallet, or even hardware wallets like Ledger. Especially if you will use the crypto wallet for transactions through crypto exchanges or other parties, make sure the wallet you use has an excellent level of security.
Use Encrypted Passwords
Encryption is the process of converting data into a secret code. The password encryption process is done by scrambling your password so hackers cannot read or use it. Attempts to encrypt passwords are made to protect your password when accessing the server.
If the wallet you currently use offers the option of using an encrypted password, you can use it as an additional layer of security to prevent anyone other than you from accessing or even sending funds out of your wallet.
Back Up Your Wallet Address Information
If you use a hot wallet like MetaMask or Trust Wallet, you will receive a seed phrase that contains a few random words to protect your wallet from bad people trying to access your wallet.
That way, place and record your seed phrase in the safest place as soon as you generate a new wallet or private key. Because if you lose access to your wallet before keeping your seed phrase, chances are high that the crypto you have stored in that wallet will be lost.
The following are several ways you can store recovery wallet phrases safely, such as saving the seed phrase by writing it down on a piece of paper and storing it safely in a place that is not easily accessible to people.
Don't Keep All Your Assets in One Wallet
You often hear this term in crypto investment advice. This method is not only good practice in investment strategies but also in crypto security. You should not put all of your cryptocurrencies in one wallet. Because if you lose the private key or seed phrase, you cannot access all the crypto stored in the wallet.
One of the best ways to do this is to use several crypto wallets with a high level of security; then distribute your crypto to several wallets you have. That way, it will only affect you if you get lost or hacked by bad guys.
Apart from that, using a cold wallet to store crypto is also highly recommended. Because cold wallets are not connected to the internet and, therefore, are almost impossible to hack unless you fall victim to a phishing scam.
Make Sure You Make Crypto Purchases on a Trusted Exchange
In purchasing any cryptocurrencies, whether as an investment, for a transaction, or simply wanting to experience transactions via the blockchain, make sure you use a trusted and regulated exchange or exchange. Make sure to do your own research before you make any transactions on an exchange. Make sure the exchange you choose is licensed and supervised by the country concerned and doesn't have a bad reputation for transaction processing.
Be Careful When Making Crypto Transactions Through Mobile Apps
Many cryptocurrency apps, like digital wallets or mobile exchanges, are prone to hackers' exploitation.
There are three essential things to do to manage the security of your mobile-based wallet, such as not using public Wi-Fi when opening a mobile wallet, not saving wallet passwords automatically when offered by the browser you are using, and always using 2FA when applying.
Avoid Phishing Attempts
Phishing is one of the efforts that often occur in the cryptocurrency industry, where someone will direct crypto users to sites or pages that encourage users to provide access to crypto wallets.
Never click links or provide information regarding crypto wallets from unconvincing sources to avoid phishing attempts. This could mean an email, Twitter thread, airdrop, community site, or text. Remember that no legitimate wallet provider or exchange will ever ask for your seed phrase or private key wallet.
Even though crypto wallets come with a high level of security, maintaining the safety of your wallet is fine. Seed phrases and private keys cannot be known by anyone other than the wallet holder. Because anyone who has these two things can easily access your crypto wallet. Therefore, keep the seed phrase and private key confidential. Exchanges and other crypto services with a high reputation will usually not ask for these things.