How to protect your bitcoins against theft?

Protecting your Bitcoins, as well as other cryptocurrencies you trade, is essential. Do you want to know how to do it? Don't worry, here's how to do it.

Ways to protect your Bitcoins from theft

Keeping your cryptocurrencies, whether you have obtained them through trading, mining or staking, is essential to secure your investment. Against a backdrop of rising Bitcoin prices, these assets are particularly attractive to criminals. Fortunately, there are strategies to reduce this risk to a minimum. Here are a few examples to help you double your security:

1. Use a reliable trading platform

First of all, you must have a reliable cryptocurrency exchange or platform to trade on. And this means, for example, that it has no references of hacks or that guarantees the invested capital in case of system incidents. Kraken, due to its track record in the market, is an option that may be of interest to you.

Cryptocurrency exchanges usually work with their own encryption systems. Therefore, it is a good idea to check whether their security references are good.

1. Do not share your passwords with anyone

It seems obvious, but we must remember: the easiest way for information to be stolen is for them to have it. Therefore, never share your access codes or passwords with anyone. A complementary security action to protect your bitcoins is to make sure that the password is never remembered on your devices, so that in case of problems, you can easily solve them.

Although it may be a bit of a nuisance, memorising the passwords in the first place is a way to ensure that there are no problems. And, after all, reliable trading platforms have telephone numbers or incident contact systems.

1. Consider using cold wallets

Although it can always be stolen, using a cold wallet, i.e. a physical wallet, may be worthwhile in some cases. If the amount invested is very large, storing that information on a separate device minimises the chances of data being stolen while you trade.

However, you should be sure to keep it safe when you are not using it. And, of course, the password should only be held by you.

1. Introduce two-factor authentication

The two-factor authentic ation serves as a second safety net. The system can be implemented in several ways: with a second password sent to your mobile phone or email, with a secret question, or simply with a second one-time code. The idea is to prevent the security of your account from being exposed in the event of a one-off failure.

1. Don't be fooled by phishing attempts

When you receive a suspicious email or your device warns of intrusion attempts, it is best to refrain. Avoid avoidable problems, and here, if you see a risk of data theft, it is best to stop browsing. Remember that there is no such thing as zero risk, not even in the most secure systems.

1. Avoid public network connections

Public network connections are more dangerous because access is not restricted. And, obviously, the fewer passwords and encryption systems there are, the easier it is to hack. For that reason, and whenever you can, it is best to operate from a data connection, a restricted personal WiFi or cable connection.

The bottom line...

Protecting your Bitcoins is essential and, in order to achieve this with guarantees, you have to preserve your passwords. For this, these tips and the use of a proven platform such as Kraken will help. Learn more about our services!