Cryptocurrency is skyrocketing, with Bitcoin reaching unprecedented highs and Ethereum threatening to take off. At the same time, interest in blockchain technology, mining, and digital currency as a whole has seen huge growth. Despite this soaring popularity among crypto fans, however, some obstacles threaten their progress. So, if you are planning on trading Bitcoin, then you may visit a reliable trading platform. In this article, we’ll explore why cryptocurrency enthusiasts face challenges despite its increasing success.
Ways through which hackers can get your Crypto Coins
Hacking/Vulnerabilities
It can be hard to get the exact details surrounding a large-scale hack, but it’s beneficial for organizations with ambitious goals to learn more. Take the case of the 2017 $30 million Ethereum heist as an example; what happened was that there was a vulnerability in Parity Wallet’s variant of a standard multi-signature contract, allowing anyone to call initialed and replace their wallet address. This shows why it’s important to take precautionary measures like solidifying security protocols when working towards big objectives.
Scams
In addition to credential phishing, there is a multitude of fraudulent schemes aimed at misleading and defrauding cryptocurrency users. These scams are very much like their offline analogs, such as classic Ponzi pyramids, trust scams, fake promotions with no real rewards, and non-existing cloud mining investments – the list goes on and becomes longer every day.
Malware
Malware is one of the major sources of cryptocurrency theft, with attackers often leveraging Trojans to compromise coin exchanges and other services. Additionally, there are rampant phishing attempts directed at Bitcoin and other virtual currency accounts. In some cases, a Trojan infects an unsuspecting user by creating a backdoor for remote access tools that allow criminals direct wallet access – making transferring coins to another address virtually effortless.
BotNet
Security researchers have uncovered evidence of a massive Mirai botnet network that is being used to mine Bitcoin with the help of IoT devices. While an individual low-powered connected device, such as an IoT kettle for example, would be ineffective at mining Bitcoins, if hundreds and thousands of them are hooked up together then it could potentially yield more substantial results. This serves to highlight yet another danger posed by insecurely implemented Internet-of-Things technology – further warning us about its inherent security risks.
Follow these tips to safeguard yourself from scams
Operational Security
Securing your online accounts is of the utmost importance nowadays. Strong, single-use passwords should be used and two-factor authentication when available should always be enabled for additional security. Additionally, it’s important to back up any crypto-credentials offline in case anything happens to your primary account, as well as use a logless VPN at home or on public networks for added privacy protection. Finally, encrypting technology such as phones, laptops, and other devices can provide an extra layer of protection from external attacks.
Wallet
To protect your cryptocurrency assets, it’s essential to use a wallet where you own both the public and private keys. If someone else has access to your private key, that creates an unwanted security vulnerability.
Triple Check
Before sending your cryptocurrency to an address, you must double-check and confirm that the address is correct. Once a transaction has taken place, there will be no way of retrieving the currency back if you mistakenly provide the wrong one. For this reason, always ensure that the recipient’s details are accurate before finalizing any payments or transfers.
Computer Security
If you want to safeguard your computer system then its security is a must. To ensure the highest level of protection, you must keep both your computer and its associated programs up-to-date; this includes antivirus and anti-malware software that should be regularly updated to catch threats as they become available.