Trades and transactions are faster than ever. It can be easy to lose sight of securing the devices you use to invest. Let's look at some common scams and the best ways to safeguard your funds.
Use Your Own Link
Phishing is still the number one go-to for scammers to steal your crypto. Hackers use emails to impersonate crypto wallets or exchanges.
Crypto phishing emails will try to entice investors with free giveaways or scare them with fake security issues.
Be skeptical of any direct emails you get. Check the sender; phishing emails have a unique sending address.
The text in the email may be misspelled and have grammar issues.
However, hackers have gotten better at making phishing emails look like the real thing.
The best practice is to log on to the exchange or access your wallet in a separate tab. Don't click, use your own link.
Where's Your Wallet?
Never put all your crypto eggs in one basket. Instead of putting all your funds in one wallet, divide them into at least two.
One wallet for day-to-day transactions, and one wallet for HODLing.
It may be annoying to keep track of separate keys and passwords, but this could save you from disaster if one wallet dies.
You should also store your wallet's keys offline. And it's important to make a backup of these keys - offline.
Once your backups are complete, move a couple of them outside of your home. In case there is a fire, earthquake, etc., you can still access your crypto assets.
When you're handling crypto, try to avoid public Wi-Fi. Public Wi-Fi is usually under-protected due to weak passwords and encryption.
Your confidential information is a lot easier to obtain. Access your funds from a private connection. If possible, connect to a VPN.
Isolating your investments from other devices is another great strategy.
Whether that is a cheap computer or an Android phone, pick something that's easily accessible and light on resources. Try not to install anything on it other than crypto software.
You should also create an email dedicated to crypto rather than using a personal email.
Carefully vet all crypto-related emails before clicking on any links. The safest option is to log into your account in a separate tab. If there's a security issue or transaction update, you'll see it there.
Whether you use a hardware, software, or paper wallet, keeping your keys secure is a top priority. Consider a wallet for day-to-day crypto and one for long-term investing.
Dedicate a device solely for crypto and nothing else. And try to isolate yourself. Avoid making transactions in public as often as possible.