How to Secure Your Bitcoin Wallet
In the world of cryptocurrency, even the most skilled traders have found themselves wondering how to secure your bitcoin wallet. Bitcoins have been the cryptocurrency of choice since users can remain anonymous in the marketplace, trading discreetly with their peers across the globe. However, Bitcoin’s prosperous landscape isn’t free of theft. A few intelligent hackers and scammers have made off with millions in cryptocurrency. Now, more than ever, traders must learn how to secure your bitcoin wallet.
Can Bitcoin Be Hacked?
Before discovering how to secure your Bitcoin wallet, you must understand some key points about Bitcoin trading. Bitcoin gained popularity because of its nature. As a decentralized cryptocurrency, one of the most fascinating aspects of Bitcoin is its use of cryptography to process secure, anonymous transactions. So can bitcoin be hacked? To answer this question, here are a few basic facts about Bitcoin:
Bitcoin is Unregulated
Today, there are many debates about whether or not regulation would hurt or help traders in the digital marketplace. While regulation would provide a standard for prosecuting hackers, reduce scamming, and improve the overall perception of Bitcoin trading, it cripples the ease with which Bitcoin traders can trade. Traders have become accustomed to low transaction costs and accessibility of Bitcoin ATMs, apps and exchanges. Often, new and old Bitcoin traders alike ask, “Should cryptocurrency be regulated?”
Bitcoin Blockchains Make Hacking Unlikely
The blockchain technology that facilitates Bitcoin transactions is secure and makes hacking impossible. Through the network, Bitcoin transactions are “mined” and are recorded on a blockchain ledger, viewable by anyone, which alleviates the need for a centralized system to keep records. To “mine” on the Bitcoin blockchain, a miner uses a computer to solve a complex mathematical problem to verify transactions in “blocks”. Since this “chain” of blocks is immutable and verified by tens of thousands of completely independent “nodes”, the network is challenging to hack. If the concept is still a little tricky, here is a comprehensible guide to understanding the key points of Bitcoin.
How to Secure Your Bitcoin Wallet
While hacking Bitcoin itself is not possible, scamming may occur. If you’re wondering how to secure your Bitcoin wallet, you must know the importance of engaging in transactions in the most secure way possible. That means you’ve found or are still looking for the perfect Bitcoin wallet to suit your trading needs. Pelicoin has prepared a few recommendations to get you started, but obtaining the wallet is only the first step to secure your Bitcoin wallet.
Use A Cold Wallet For Optimal Security
If you’re particularly interested in securing your Bitcoin wallet, a cold wallet is the best option for you. A cold wallet will keep your Bitcoins offline and drastically reduce your chances of being hacked. For instance, Pelicoin creates a paper wallet for users who do not have a digital one. The only way to access your Bitcoins is by the key on the paper when using a paper wallet. If you lose that paper wallet, it will be impossible to access your Bitcoins. The paper wallet itself may fade with time, so keeping an image of the paper wallet, or a recording of the case-sensitive alphanumeric private key may be prudent. For those who don’t want the responsibility of keeping up with a piece of paper, other options are available.
Another cold storage wallet traders love is a hardware wallet. Similar to a USB, a hardware wallet will significantly improve the security of your Bitcoins. Before you load your Bitcoins in, you must check that the hardware wallet wasn’t tampered with or opened. It’s possible that a hacker could add on malicious software before you load your Bitcoins and steal them without your knowledge. Further, some people sell second-hand hardware wallets on the internet. The obvious issue being that someone else could already have the private key to the wallet.
Secure Your Private Key
A Bitcoin private key is the gateway to your Bitcoins. A private key helps import your Bitcoins into a digital wallet to be sent, sold, etc. If someone somehow gets your private key, they can steal your bitcoin. Your personal and unique private keys should never be shared with anyone. Often, traders just write this key down on paper, but like a paper wallet, this should never be lost or destroyed. If you want to know how to secure your Bitcoin wallet, keep your private keys offline.
Brush Up On Cybersecurity
If you want to know how to secure your Bitcoin wallet, it starts with the protection you already have installed on your devices. A hot wallet is one that remains online. It’s easy to use for traders who want to conduct transactions on the go, typically less expensive but comes with a lot more risk. Hot wallets are great for experienced traders who expect to move their Bitcoin around more frequently and need seamless access to their Bitcoins. Since Bitcoin is digital currency and Bitcoin transactions are done digitally, you must keep your antivirus software up to date. Here are a few tips to secure your Bitcoin wallet:
Antivirus software - All antivirus software is not created equal. Antivirus software is the first line of defense to protect your devices from breaches. Make sure to routinely update your software to ensure that you have the latest and most efficient version running to protect your wallet.
Cybersecurity Education - When it comes to securing your Bitcoin wallet, you’ve got to do your homework. By utilizing the best practices in cybersecurity, you will avoid phishing attacks and keep your Bitcoins secure. Don’t open strange emails or click on suspicious links. Often, cybersecurity means using your best judgment and proceeding with caution. You don’t want to grant an unknown hacker access to your personal devices.
Secure Internet Connection - Regardless of the type of wallet you use, a secure internet connection is key to securing your Bitcoin wallet. If you can help it, avoid public networks and get a VPN that will change your IP address to conduct Bitcoin transactions.
Pelicoin, The Most Secure Bitcoin ATM
No matter what Bitcoin wallet you select, your best bet for protected Bitcoin transactions is with Pelicoin, the most secure Bitcoin ATM. Pelicoin has safe and straightforward cryptocurrency ATMs all over the Gulf South. Pelicoin provides convenient and accessible Bitcoin ATMs to keep you trading Bitcoin. Find a Pelicoin Bitcoin ATM today!