You can buy or receive Bitcoin (BTC), and now you are worried about its security. Here are some security guides for beginners to follow for keeping your Bitcoin safe.
1. Store Private Keys Offline
Keeping your private key secure is essential for your crypto wallet, and you should not share it with anyone who is not trustworthy, as doing so can compromise your security and result in a significant loss.
You can use Bitcoin cold storage to keep these keys secure, such as if you have a computer with no internet access. This helps you stay safe from cyber attacks and malware. You can also use a piece of paper or a USB to keep your key safe.
2. Use Dedicated Hardware
You can use a dedicated USB to move your data from your online computer to your offline computer. This action helps minimize the exposure of viruses or hacks. Some people take the initiative to use their offline computer as an offline wallet.
3. Make Use of a Hardware Wallet
Maybe you are aware of this, but using a hardware wallet is the safest way to keep your Bitcoin safe. A hardware wallet can run on a computer with special operations which access an encrypted USB to operate the Bitcoin contained in this wallet.
Here are some of the most popular Bitcoin wallets:
4. Secure Your PC
To keep your PC secure, you need to make sure that your security options are up-to-date, as well as your antivirus software. It only takes seconds for a hacker to get into your computer. You need to keep an eagle eye and gather all the possible information about cybersecurity to keep your PC and keys safe.
5. Use Linux
Linux is a community-defined operating system that operates on almost all devices, including mobiles and computers, making it a widely spread operating system. It has the best records of resisting any hacking attempt. You can use this for transferring your Bitcoin either online or offline.
6. Make Backups For Your Security
Don’t put all of your assets in a single wallet, even if you use a hot or cold wallet. Dividing your assets in different wallets will help you save your remaining assets if one of them is compromised. Using a cold wallet and making its backup is strongly recommended, as it is impossible to hack, and backup will save you from loss if your hard drive crashes.
7. Protect Your Identity
Attacks on Cryptocurrency holders are increasing day by day. Keeping your profile low on your investments will help you save not only your assets but also your life. In some recent cases, attackers tortured a Dutch man with a drill machine in an attempt to steal his cryptographic assets.
Do not provide details like your phone number, email, passwords, etc., that someone could use to access your assets. Avoid sharing your mother’s name, first pet’s name, or first school’s name, as these are the most common backup questions. Try to avoid suspicious transactions that require your personal details.
8. Use Escrow Services
It acts as a mediator between the parties, especially useful when you are unsure of the identity of another party in a transaction.
Escrow services help people make secure transactions. In this scenario, the buyer sends their Bitcoin to Escrow services and waits for the product they are buying, meanwhile, the seller sends them the product, as both know that the payment and product are secure. After receiving the product, the buyer notifies services to release the payment.
9. Use two-Factor Authentication (2FA)
An additional layer of security is always helpful to eliminate cyber attacks; however, it is irritating to pass through 2FA all the time you log in. It is better to face this hurdle than lose your assets.
Two-factor Authentication is an additional layer of security for your wallet. As you log into your wallet, 2FA sends a verification code to your trusted device, Only after providing this code you are allowed to access your wallet.
10. Use Multisig
This is an advanced level of security specially designed for corporate users, but anyone can use it. Multisig requires a signature before processing any transaction, which makes it more secure and eliminates the chances of funds misuse.
Here are several wallets that use this technology
- Armory
- Xapo
- GreenAddress
