The three threats to Bitcoin and how to protect your crypto

The three threats to Bitcoin and how to protect your crypto 1

Last Updated on 59 mins by cryptoevent

The three threats to Bitcoin and how to protect your crypto 2

Cryptocurrency is a fully digital, fully decentralized way for people to own their funds. Given the novelty of emerging technology combined with the irreversible nature of the transaction, it is important to know how you could lose your cryptocurrency – and how to avoid it!

There are three ways your cryptocurrency can be stolen:

  • About the Internet: Cyber ​​Online Threats,
  • By physically attacking your hardware device and
  • Through social engineering with schemes and fraud.

The Internet: Cyber ​​Threats

Anything exposed to the internet is vulnerable to digital threats. This includes your cryptocurrency wallet and your private keys. Having your keys online only is arguably the number one risk to keep them safe from threats.

There are several ways your keys could be vulnerable online:

  • A platform or wallet account is hacked: If you store your keys online, they are at risk if the platform is attacked by a hacker. If the hacker gets access to your keys, it’s easy to plunder your crypto from there.
  • A malicious link can give a hacker remote access to your hardware device to extract your private key that grants them access to your crypto.

How to avoid the threat

Using an offline or hardware wallet protects your keys off the internet. Using an offline storage device and keeping your keys off the internet protects your crypto from the digital threats lurking online.

A physical attack on your device

If your hardware device is (physically) stolen, there are some ingenious ways to get hold of the device if the right measures aren’t taken. Through physical attacks through means such as power failures and attacks on the nodes required to access your private key, it is possible for an attacker to obtain your information through your secure hardware wallet.

How to avoid hardware threats

Make sure you use top-of-the-line hardware wallets to protect your crypto as much as possible. Set up the device with all possible security measures, such as B. Additional PIN codes and advanced passphrases that can help keep your crypto securely locked inside your device, even when the most sophisticated attacks are deployed against the hardware.

Social engineering attacks to steal your cryptocurrency

A scammer uses social engineering to gain your trust so that you give them access without worrying about them stealing your money. This is usually done by scammers pretending to be someone or an authority they are not in order to gain your trust – and essentially your private keys. This is common in attacks like phishing and pharming.

How to avoid social engineering attacks

Understanding the space as best you can is key to keeping crypto safe and in your hands. If you know that caution is the best strategy, you will learn to understand the ins and outs of technology (eg Bitcoin.

The post The Three Threats to Bitcoin and How to Protect Your Crypto first appeared on Coin Insider.

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