Bitcoin is one of the hardest currencies that have been placed on thieves since the money was created but like any system, their security can be burst.
Cryptocurrencies are decentralized currencies. That is, their value and their possession do not reside in a third party, the bank or financial entity. Nor is it endorsed by any government, state or public entity. This characteristic that gives a great power to the citizen also confers a great responsibility on him, his custody.
But well, there are certain things which you need to take into the account. Here we will guide you how to keep Bitcoin safely.
Where are the Bitcoins Stored?
Since there is no central bank to keep them, it is your responsibility to keep them safe and secure.
6 Tips to Secure Bitcoins
1. Use Wallets or Purses of Bitcoins Online
Whether you start in this world or if you are already seasoned you will know that Bitcoin is acquired in exchange houses or “exchanges”.
Every time you buy Bitcoin or any other currency in an exchange, it automatically creates a wallet or purse for it. These wallets are yours. It belongs to your username and password.
2. Bitcoin Wallet on PC
A higher level of bitcoin security lies in the wallets installed in a computer, typically a Windows PC or a Mac. There are specialized wallets and even multi cryptocurrencies which you can download and you can store up to ten or more crypts, including BTC, ETH, LTC etc… The private keys are yours and they are saved in the PC, you must then copy them in another format, printed on paper for example and safely in case something happens to the PC.
3. Bitcoin in Cold
These are USB devices like Nitro Key or Ledger Nano S. Such devices only work when connected to the computer and it cannot be hacked. Hiding your Bitcoins in cold storage is one of the best ways to keep it safe and secure.
4. Private Keys and Passwords
Remember, the private keys are those that give you the power, the possession on the purse or wallet. If someone steals them or knows them, you can recreate your purse and therefore become the owner of the coins stored in it. Therefore, it is very important to keep these keys to secure the purse and avoid being stolen.
Do not obsess but do not let it be, print them and then keep them somewhere safe where nobody can relate them to a purse since it is usually a set of 12 or more words.
5. Use Double Authentication
Keep safe your Bitcoin with double authentication is very essential. This is the factor which verifies your identity when accessing a web service.
6. Protect your Computer from Bitcoin Hackers
The only downside of a PC wallet to protect bitcoin is that your computer could be hacked and steals those private keys. To avoid this you should keep this in mind.
Is your PC sufficiently protected? You should protect it and keep it clean with genuine anti-virus software and make sure to run these applications daily.
Is our PC used for more things? Is it shared with more people? Do these people surf only through secure sites or are they used to view or download “weird things” such as game cracks, mail from unreliable sources, phishing, sex etc..?
Do not obsess about safety but do not neglect it. Each one of us knows the potential risks.
In this way, the level of paranoia must always be consistent with the amount of money to be handled and it will depend on each one. Remember that in Bitcoin, your bank is you, you have to take care of your security and you can define your own protocols.