Cryptocurrency security is gaining prominence these days with a greater number of businesses allowing transactions in cryptocurrencies such as bitcoin and Etherum. The earlier concerns of anonymity and blockchain are now considered the core strengths of cryptocurrency. Online bitcoin business has got a shot in the arm by wide-scale adaption of the cryptocurrency but the issues related to the safety of cryptocurrency are also rising as news of crypto tokens being stolen or compromised due to lax data security policies are being received more frequently. There are certain measures that must be taken by all the individuals that want to use bitcoin or any other cryptocurrency, especially through designated crypto platforms of crypto wallets or crypto exchanges. There are even forex businesses dealing in both fiat currency as well as cryptocurrencies. So for both online as well as physical trading of cryptocurrencies, adopt the following measures
Do the basic right
Digital resources require a general habit of digital security to be adopted by their users. So if you are interested in the large-scale usage of cryptocurrencies for individual, business or investment purpose, you need to take a few foundational, yet free, steps in order to secure your digital wealth. These steps include but are not limited to
- Use a strong and highly rated password manager to have more than one password for your multiple services. This is to ensure that you are not using a password on your crypto exchange wallet same as the one on your primary email address. Because if a hacker gets hold of such a singular password, a domino effect is experienced and security for all of the user’s account is compromised.
- Apart from a reliable password manager, you also need to have two-factor authentication enabled on all of your crypto platforms. Most of the established crypto wallets and crypto exchanges have this feature because it adds an additional layer of security and even makes the account recovery process easier for end-user. It also helps the crypto platform to easily block account whenever they consider that someone other than the original user is trying to access the account. A simple recovery code sent to the phone number can re-open the account for the original owner of the account.
- Utilize all available security protocols to secure your primary email address from any probable breach. Have a safer secondary email address attached to the primary one, in order to recover crucial information related to your crypto transactions
Strong and regular backups
Whether you are using the wallet provided by your preferred crypto exchange or using an independent crypto wallet service, make sure that you make regular back up of all the crypto wealth you have got with you in order to recover your digital assets in case of a data breach. Use multiple locations to store vital information because data recovery will be easier in case of more than one account or back up site is compromised.
Mnemonic seed protection
This comes handy for cryptocurrency security whenever there is a hardware failure of the physical assets on which cryptocurrency is stored on. You are supposed to generate the mnemonic seed and save it in written form with you. Never share it with anyone as it will help you restore your crypto wealth without any problem.
Most of the times, it is considered the responsibility of crypto enthusiasts to address cryptocurrency security issues on an individual level. All the above-stated points are designed for individuals but crypto platforms such as cryptocurrency exchange and cryptocurrency wallets are also required appropriate measures to help ensure the safety of digital assets of their customers. They can use hard-to-crack identity verification systems to avoid large-scale data breaches and hacking of critical client data. Shufti Pro is one such identity verification system that is currently being used by many crypto exchanges and crypto wallets to secure their digital assets.
Shufti Pro is an AI-based identity verification product offering multiple KYC and AML compliance solutions to a worldwide customer base. Covering 190+ countries and with support for more than 150 languages, Shufti Pro is an ideal solution for crypto platforms that are either already catering to a global audience or want to expand into new territories with a unified verification system. Real-time verification results are provided for facial verification, document verification, address verification, 2-factor authentication, and biometric consent verification by Shufti Pro.