What is a Crypto wallet?
A digital wallet for cryptocurrencies is a software application that enables the storage, transfer, and receipt of virtual money.
To conduct transactions, the majority of cryptocurrency wallets let you communicate with multiple blockchains. Two kinds of data are kept in each wallet: a public key and a private key.Your private key is a special number that gives you access to your cryptocurrency, much like your bank account number does.
Similar to your bank routing number, your public key enables other people to transfer funds to your wallet.
Both keys are needed for every crypto transaction to be completed. That being said, since your private key is the only way to access your cryptocurrency wallet, it is imperative that you keep it safe and secure.
How to protect your crypto wallet
1.Select a safe platform: Use a trustworthy and safe platform when selecting a digital wallet. Make sure the platform is well-known and has security safeguards in place to keep users’ private keys safe by doing some research.
To make sure your digital wallet is secure, do some research beforehand. You can reduce your risk by only doing business with respectable people in the field.
2.Make a secure password.
Make sure you choose a strong password for your account that is difficult for someone else to figure out. Steer clear of popular terms like “password” and your birthdate. Instead, make use of a mix of special characters, numbers, and letters. To generate a strong, one-of-a-kind password for your account, use a password generator such as LastPass.
3. You can store your private keys offline by using a hardware wallet: Using a hardware wallet is among the safest methods to keep your private keys safe. With hardware wallets, you can store your private keys offline on tangible objects. This implies that your private keys will remain secure even in the event of a computer hack. Two reputable hardware wallets are the Ledger Nano S and the Trezor.
4.Enable two-factor authentication: If a platform offers two-factor authentication, be sure to enable it. This adds an extra layer of security to your account by requiring you to enter a code from your phone or another device in addition to your password.
While not foolproof, two-factor authentication can go a long way in protecting your account from being hacked.
5. Keep your software up to date: Keep your digital wallet software up to date with the latest security patches. By doing this, you’ll be able to protect yourself against any new security vulnerabilities discovered.
6. Make use of multiple crypto wallets:You don’t have to rely on just one digital wallet. In fact, it’s often a good idea to use multiple wallets. This way, if one wallet is compromised, your other assets will still be safe.
7. Avoid public Wifi: When accessing your digital wallet, avoid doing so from public Wifi. This could be a hot spot for hackers looking to steal people’s private keys. Here we prepared for you a guide on how to use public WiFi safely, so don’t forget to check it too.
Better yet, always use a good VPN for crypto wallets. This will encrypt your traffic and make it much harder for hackers to steal your private keys.
8. Don’t share your private keys
It goes without saying that you need to keep your private keys safe and secure. Avoid sharing them with anyone other than a family with whom you’ll entrust your estate in the event something happens to you.
9. Backup your digital wallet: Be sure to back up your digital wallet in case you lose access to your account or device. This will ensure that you don’t lose your funds if something happens to your device.
Come up with a schedule for backing up your digital wallet and stick to it. That way, you’ll always have a recent backup to fall back on.
10. Keep your recovery phrase safe: If you’re using a software wallet, you’ll be given a recovery phrase when you set it up. This is a string of words that can be used to regain access to your account if you forget your password. Keep this phrase safe and secure in a location only you have access to.