Apr 19 (newsonjapan.com) - Bitcoin is the most popular topic nowadays as everyone is attracted to it. It is a decentralized virtual currency that is based on blockchain technology.
It has a massive market value which increases the risk of theft and hacking, and everyone needs to acquire some bitcoins. So, if you are using bitcoins, you need to take all the precautions to keep your funds safe from hackers and malware. Get all the updates of bitcoin from here and start trading now.
Some of the crucial tips that you need to follow while using bitcoins are as follows.
Create separate wallets
If you have used bitcoins, you must know that it is a digital currency which means it has no physical appearance. So, if you want to keep them safe, you need to store them in secure digital lockers called as bitcoin wallets. Storing bitcoins in bitcoin wallets is not enough to keep them safe, as there are several other things that you need to keep in mind. You should never store all your funds in the same wallets as if the hacker gains access to it; you may lose all your bitcoins in one go. So, the best way to secure the bitcoins is to maintain two separate wallets.
There are two types of bitcoin wallets; hot wallets and cold wallets. The hot wallet is an online wallet that allows you to access bitcoins over the Internet and make easy online transactions. On the other side, cold wallets are offline wallets that offer maximum security and protect bitcoin from online threats such as hacking. So, you better maintain a cold wallet and a hot wallet. You can use the cold wallet to store bulk bitcoins, and the hot wallet can be used to make transactions as it is more accessible.
Use two-factor authentication
Bitcoin is a cryptocurrency with minimum rules and regulations which provide hackers with complete freedom to hack wallets and steal funds. So, if you are using bitcoins, you need to ensure that the wallet is fully secure and has all the security features activated. There are several security features that you can use to boost the security of your wallet, but one of the best ones is two-factor authentication. It is a feature that ensures that whenever you or anyone else will try to sign in to your wallet, you will receive an authentication code.
You must keep this feature activated as it will guarantee that whenever any hacker or online attacker tries to gain access to your bitcoin wallet, you will receive a code that will alert you. It will add an additional layer of security to your wallet and will make it difficult for thieves and hackers to steal bitcoins. Most of the wallets nowadays have the two-factor authentication feature, and you can activate it in few simple steps.
Never store your funds with an exchange
Bitcoin exchange is an online platform that allows users to buy and sell bitcoins with great ease and comfort. Bitcoin trading is quite popular among bitcoin users, and most of them deposit funds with the exchange so that trading becomes quicker and more accessible. It may make transactions easier for you but is full of risks, so you should never keep your money on an online bitcoin exchange. Bitcoin is a decentralized cryptocurrency, and the online exchanges are managed by third parties. So, if you are keeping your funds with them, the managing third parties will also be able to access your funds. It increases the risk of theft and can make you lose all your hard-earned money in a flash of seconds.
Keep private keys hidden
Bitcoin wallet is a digital locker, and it can only be accessed through private keys. Every bitcoin wallet has a unique private key, and you need to keep it safe and hidden. You should never share the private keys with others as anyone can sign in to your wallet using the private key and use the bitcoins stored in it. So, you must store the private keys offline so that it is safe from online attackers. The best way to store the private keys is to note them down on a piece of paper and storing them in a physical locker or safe.
