10 Security and Privacy Tips For Bitcoin Holders

Over the past few years, we have seen several reports of people losing their digital assets as they didn’t implement the right security measures.

There are plenty of ways hackers can obtain access to your crypto assets, so you must do your job! So, with all that in mind, let’s take a look at some security features you ought to enforce if you are to enjoy 100% secure Bitcoin transactions.

1. Choose Your Wallet Carefully

There is a general saying in the crypto world – your Bitcoin is as safe as your wallet, and it couldn’t be any more true! You need to understand that the main threat to your Bitcoin savings is not through the blockchain – but through your wallet or exchange.

You will find tons of seemingly reliable digital wallets, and that just emphasizes the importance of you being selective when choosing one. Don’t go into the unknown at the start – read users reviews and choose only wallets that you are 100% sure are secure.

2. Hardware Wallets May Be a Better Idea

If you are unsure about choosing your hot wallet for your Bitcoin assets, then we would suggest that hardware, or cold wallets may be a better idea.

Such wallets don’t rely on internet connection and are impossible to hack, unless you are victim to phishing! Some of the most popular options here include Trezor and Ledger.

3. Don’t Use Only One Wallet

Regardless of whether you choose hot or cold wallets, experienced crypto investors will tell you that you should never put all your eggs in one basket.

Nothing should stop you from using multiple Bitcoin wallets and distribute your savings across them all. That way, you won’t put all your assets at risk if one of the wallets is compromised in any way.

4. Be Careful With Your Devices

We would put several recommendations here as ways you can protect your PC or smartphone. Lots of Bitcoin wallets come with a mobile app and that is one of the features that hackers always seek to exploit.

So, when it comes to managing your security for your device, you are better off with ensuring you follow these guidelines:

• Never use public WiFi.
• Always turn off auto-updates for both the app and the OS, but always update the software when you are at home and use your internet.
• Don’t forget about 2FA – 2-factor authentication is always a great idea. It gives you a second layer of security, so whenever you try to log in to your wallet, you will need to insert a code.
• Always use passwords for your device – this is a no-brainer as regardless of what you use your devices for, make sure to protect them with a password that you will only know.
• Don’t auto-save passwords – Google Chrome will always suggest to save your password on the browser, but we don’t see it as a great idea.
• A good antivirus is key – very often, people overlook the importance of a good antivirus. Find a reliable one and don’t hesitate to pay the amount required to enjoy a top-notch protection.

5. Backup Your Wallet

We can suggest you a couple of vital rules for your private keys:

1. Always store private keys offline so they can’t be accessed by hackers
2. Always have offline backups to your private keys

Find a place for your backup private keys – preferably away from home (a bank safe is a good option), so even if there is an emergency at home, you won’t lose anything.

6. Be Wary of Phishing Scams

Phishing scams will always be a serious threat in the online world, and it seems like they are even a bigger hazard for Bitcoin holders.

There are tons of ways in which someone can compromise the security of your device and your wallet:

• Fake apps
• Fake ads
• Phishing domains

You must learn how to recognize such scams as if you allow access to your private key, you can rest assured that your Bitcoin assets will be gone within seconds!

7. Keep a Low Profile

You have some good Bitcoin asset savings, great! However, don’t fall into the trap of bragging around and letting everyone know. There are some cases of people being held at gunpoint by criminals trying to extort wallet information.

So, privacy and anonymity are the best ways to keep both yourself and your crypto holdings completely secure.

8. Use MultiSig Wallets

MultiSig wallets are an additional steps that tons of people in the corporate world use, but they are also available in the crypto world.

They work very simply – they require several keys to be used at the same time to open them. That way, your security will be enhanced, and some popular MultiSig options you can consider are:

• Armory
• Xapo
• Coinbase
• Electrum

9. Use Linux

It may seem a bit daft, but sometimes information you find in movies is correct! Using the Linux operating system is arguably the best way to ensure that your PC is completely secure.

Linux is known for its great record if resisting any USB based attacks, so it surely seems like a nice idea for your Bitcoin assets!

10. Double Check Before Sending

Finally, one of the biggest challenges Bitcoin holders face is getting the address wrong when sending funds. That way, the funds will be lost, so always be sure to double-check the receiver’s address.

Additionally, malicious programs can edit a simple “copy and paste” process and you will end up copying the wrong address – one that belongs to a hacker.