As said before the Crypto topic is growing hotter every day. The more people use Crypto to invest and earn money from the investments, the more tempting it is for thieves to try and put their dirty hands on someone else fortune. Therefor it is vital to keep your CryptoCurrencies safe. This rises the question, what are the 5 ways to keep your CryptoCurrency safe.
So what are some of the threats that can lead to an unfortunate event? I will bring out some of them, just to get your paranoia flowing.
Hackers follow your every CryptoCurrency transfer just to get to know you better and to find your weaknesses:
- They collect information to find out where you live, what is the name of your pet, which is your favourite football team
- They create malware packed mails for you and prepare your phone number transfer to some other number.
So if you now feel that your BitCoins, LiteCoins, Ethereum tokens or any other CryptoCurrency is in danger, read the below 5 steps.
5 ways to keep your CryptoCurrency Safe
First, before you do anything irrational, calm down, breath deeply in and out and think things through.
If you hold your BitCoins in a virtual wallet and the private keys are with you and no one else, you are protected from Network etc hacker attacks, however this still leaves armed robbers, fire, floods and the biggest reason Crypto Coins are lost – you!
There are many stories where people throw away computer hardware with stored BitCoin wallets, lost seeds etc. One of the major weaknesses is also a weak KeyPhrase. So to individuals who hold large amounts of CryptoCurrencies and are afraid of loosing them, follow these 5 steps.
1 Create Time-Lock
to keep your long time investment secure, put your BitCoins or other CryptoCurrency to wallets with time lock. This solution keeps your Crypto treasure safe so, that no one can access it before the set time has reached. Downside to that is that you are not able to access it either. you can check this topic more closely at Coinb.in.
2 Use Multisig
In case you do not know exactly how long would you like to store your Crypto Coins, another good solutions is Multisig system. This is an especially good solution for companies that hold wast amounts of CryptoCurrencies. Access to The Valuable tokens requires the private key of several individuals. This avoids the situation where one person can steal all the CryptoCoins. Some words of advice though:
- do not make it a requirement that all keys need to be at once if someone forgets the key, you are royally in trouble.
- give 1 key to your lawyer for example, so that you together can only access it.
In coinb.in you can create a wallet with up to 15 private keys and you can also define how many need to be used at once. Some other services that offer Multisig systems are:
3 Use CryptoCurrency Storage Deposit Boxes
CoinBase offers a solution to people who have at least $100 000 worth of Crypto Coins. There are Crypto Safes that are built into the mountains of Switzerland. Xapo offers a safe solution that is located in a Swiss military bunker that can survive a nuclear blast. In the hearth of this room is a “Cold Room” that is protected by steel plates that act as a Faraday cage, defending from Electro Magnetic Impulses.
4 Create your own Crypto Storage Deposit Box
As one solution among 5 ways to keep your CryptoCurrency Safe, it to create your own Storage Deposit Box. Divide your PrivateKey into several parts and store them in deposit boxes of different banks. You could also keep it somewhere at home, but in case of armed robbers, you might be forced to open your wallet, so the Bank Deposit Box solution is better.
5 ways to keep your CryptoCurrency Safe
Write your Wallet (address) onto a paper and cut it into multiple pieces. Store these pieces in different storage locations (banks, locations etc). Just to be sure create several copies of every Wallet part and keep them all separately just to avoid the catastrophe of loosing any of the pieces. If you are afraid your paper Wallet might become corrupted, you can engrave it into metal. (pay attention that no one sees the whole of your wallet however).
If the above 5 solutions are not enough for your, you can also combine them all together. Just let your fantasy fly. For a paranoid rich person, no security is too much.
08.02.2018 – EqEST