How To Secure Your Bitcoin Wallet 2023: How Do I Avoid Losing My Bitcoin Wallet?

You can secure your cryptocurrency in a number of ways:   

1. Use a Cold Wallet

Cold wallets, unlike hot wallets, don’t connect to the internet. Since they don’t connect to the internet, cyberattacks can’t happen to them.

The best way to store your private keys is in a cold wallet, also called a hardware wallet, because these wallets are encrypted and keep your keys safe.

In 2019, the Japanese exchange BITpoint found that $32 million worth of different cryptocurrencies had been taken out of its “hot wallet” without permission.

This happened to more than 50,000 users. The exchange had Bitcoin, Bitcoin Cash, Ethereum, Litecoin, and Ripple in its “hot wallet.” But BITpoint made it clear that the incident had no effect on its cold wallet or cash.

2. Use Secure Internet

If you want to trade or buy crypto, you should only use a secure internet connection and stay away from public Wi-Fi networks.

Use a VPN to protect yourself even when you’re accessing your home network. A VPN changes your IP address and location, making it harder for people who want to harm you to track what you do online

3. Maintain Multiple Wallets

Since you can make as many wallets as you want, you can spread out your cryptocurrency investments among them.

Use one wallet for your daily transactions and keep the rest in a different wallet. This will protect your portfolio and limit the damage if your cryptocurrency account is hacked.

4. Secure Your Personal Device

Make sure your personal device has the most up-to-date virus definitions so it can protect you from newly found security holes. Use a strong anti-virus and firewall to improve the security of your device and stop hackers from writing code to take advantage of the weakness.

5. Change Your Password Regularly

When we talk about security, we can’t forget how important a strong password is. Three-quarters of millennials in the U.S. use the same password on more than 10 devices, apps, and social media accounts, according to a study.

It also said that most of them used the same password more than 50 times. Make sure you have a strong, complicated password that is hard to figure out and change often.

Make sure your passwords for different wallets are different. Authenticate using two-factor or multi-factor authentication (2FA).

6. Don’t Get Phished

In the cryptocurrency world, there are a lot of phishing scams that use malicious ads and emails. Be careful when making crypto transactions and stay away from links that you don’t know anything about.

In a recent theft of cryptocurrency, a hacking group called “CryptoCore” used spear-phishing campaigns to steal from cryptocurrency exchanges. Since 2018, thieves have gone after companies in the U.S. and Japan and stolen cryptocurrency worth $200 million.

ClearSky said that before the spear-phishing attack, CryptoCore did a reconnaissance phase to find the email addresses of employees and security executives of the cryptocurrency exchange.

Fake domains impersonating affiliated organizations and employees were used in these attacks, as well as emails with malicious links embedded in documents.