Keeping Your Crypto Safe
Everything you need to know so you won’t lose your crypto.
We have all heard about people losing millions in crypto because of a hacker. Recently the poly network hack which the hacker stole 600 million dollars which he then returned. (note not all hackers are like this.)
So how can you lower your risk of losing your crypto?
You can store it safely and securely! In this article, I am going to highlight the safest places you can keep your crypto starting from least safe to most safe.
- Any big name exchange like Binance and Coinbase. Exchanges are the least safe because exchanges can be hacked and they can abruptly shut down. When you are using an exchange you don’t have a private key to recover your funds. The only way you can move your funds is by sending them through the exchange. This can pose a risk to your crypto as exchanges can be hacked, and they can pause trading/withdrawals/deposits.
I am sure you have heard the stories of people who lost thousands of dollars because a crypto exchange was hacked. (Here is an article I found detailing crypto exchange hacks. https://selfkey.org/list-of-cryptocurrency-exchange-hacks/) If you are using an exchange to hold crypto I would recommend using Binance or Coinbase as they are two of the biggest exchange and are both quite secure.
2. We now move onto wallets. Most wallets are safer than any exchange but of course, there are some wallets that are definitely much safer than others. The least safe type of wallet is any software wallet. These include wallets like metamask and trust wallet. These make the list as least safest because your private key is not stored in cold storage which leaves the possibility that it can be hacked as it is stored on your own device.
3. The best and most safe way to store your crypto is using a hardware wallet. What makes a hardware wallet so safe is that your crypto is always stored in cold storage. Stored in cold storage essentially means that your crypto and private key is stored offline which means it cant be hacked. Examples of good hardware wallets are Ledger and Trezor. I personally like Ledger more as that is what I use and am most familiar with.
So know you know how to keep your crypto safe.
I hope you enjoyed reading this article and learned something. As always claps and follow are greatly appreciated as they allow me to grow as a writer and teach more and more people about the future/crypto.
Thanks all
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