Cryptocurrency has gained increasing popularity worldwide as this sector becomes more profitable. Many countries are using cryptocurrency for financial transactions, including online betting at M8Asia.
With more people interested in crypto, the need for secure crypto wallet management increases. A cryptocurrency wallet is a software or a device with security features to save and use your cryptocurrencies.
Even a small mistake in security steps can result in a loss, as many malicious hackers are constantly looking to exploit crypto investors and steal their funds. There is also a risk of making mistakes in using a crypto wallet, resulting in losing your money. To avoid the risks, here are 5 safety tips to use your cryptocurrency wallet to help you protect your investment in the short and long term.
Choose a reputable wallet
The first step to secure your cryptocurrency is choosing a good, reputable crypto wallet. Do some research to learn the options of crypto wallets to choose from and the features they offer. Security measures to consider include encryption, multi-factor authentication, and non-stop monitoring to prevent unauthorized access.
Choose a wallet format that is right for you, the one that you’re most comfortable with. It is recommended to use a hardware wallet if you plan to store your crypto for the long term, to reduce the risk of hacks. The hardware wallet is also suitable if you want to store a large amount of cryptocurrency. Don’t store more than you need if you use an online wallet.
Use 2-factor authentication (2FA)
Using 2FA is the most basic step to maintain your crypto wallet’s security. The first layer for your wallet’s security is a strong password, and the 2FA will add the second layer to secure your crypto, so it will be harder for hackers to attack your crypto account even if they obtain your password somehow.
By using 2FA, you will still need to enter a code after you enter the password to access your wallet. The code can be obtained from SMS or personal chat. The 2FA, combined with strong passwords and reputable wallets, is a powerful tool to secure your cryptocurrency.
Consider cold wallets
There are two types of crypto wallets: hot wallets and cold wallets. Hot wallets, or online wallets, are great for quick access and transactions. But if you plan to save your crypto for the long term, consider using cold wallets.
Cryptocurrency cold wallets include hardware wallets and paper wallets. When you need to make transactions, you need to connect your cold wallets to your computer to authorize. Using cold wallets eliminates the risk of getting hacked because the wallets operate offline–you don’t expose your cold wallet directly to the web.
Update software regularly
Whether you’re using hot or cold wallets, regularly updating the software is a simple but important step to secure your crypto. Check for updates for your wallet app and your device’s operating system regularly, or enable the automatic updates. The new updates may include new features to improve the security of your wallets and devices.