Topic: Why Security in Crypto Matters? - page 6. (Read 1764 times)
My strategy is simple as much as possible. I newer keep my funds on an exchange, use only non-custodial wallets and write down a seed-phrase for storing it in a safe place (in a strongbox). I believe it's enough.
blockchain is all about security and transparency but it looks like this exchanges were not focusing on it, they look like they are focusing on earning their funds.
I don't keep my funds on any exchange if I do so, it's very minimal and not that much of amount that I can't avail to lose. I have read somewhere this strategy of hiding your files and folders, although it's not that of a security but it's another way to simply add and keep your important files that contains your keys (if you are keeping it on a file format).
A backup is a must so don't depend mostly on your single file that keeps your PKs or the written format that you make. Always create a backup or duplicate or even more where you can keep it in a very safe storage that can't be find out by others.
A backup is a must so don't depend mostly on your single file that keeps your PKs or the written format that you make. Always create a backup or duplicate or even more where you can keep it in a very safe storage that can't be find out by others.
It always happens to people who are used to regarding saving money in traditional way, like on banks, people keep trusting banks as if their money are 100% safe there. With that, once these people enters crypto, same thing they will do, they wil trust these centralized exchange even though there are lots of them already hacked.
And sure thing, security matters when it comes to finance.
And sure thing, security matters when it comes to finance.
If people are just responsible and be careful on their private keys then losing funds is lesser and also using up centralized or custodial wallets should really be avoided.
Security does matter but people do still end up on using centralized platforms either they dont have any choice or just too dependent on it.Its just a matter of
risk management and awareness about particular risk.
Security does matter but people do still end up on using centralized platforms either they dont have any choice or just too dependent on it.Its just a matter of
risk management and awareness about particular risk.
As many of you may already know, the list of Crypto Exchange hacks keeps growing and it's very important to maintain your funds safe.
Always remember this popular statement: not your keys, not your crypto.
Actually, without keys there's no crypto at all, so one of the first and most important things we should learn and remember is to keep our keys safe. You may write them on a paper and put it in a safe place only you know, or maybe create a document with all your keys... Although I wouldn't recommend this unless you store that file protected with a password and mainly open it offline.
Some people have backups offline in external devices. That could be another good choice.
Custody: a choice that matters.
Let's say you buy some crypto whether because you want to hold or trade them. So you register in an exchange of your trust, put your payment data and buy a bunch of crypto.
Now, here's the key part: what do you do next?
Do you hold your crypto in the exchange or do you transfer them to your private personal wallet?
In other discussions, a few days ago, the importance of custody was addressed, and the article emphasized: watch out with holding your crypto in an exchange with centralised custody.
Why?
Simply because of the topic mentioned at the beginning of this article: exchanges can be hacked and you can lose all your funds. Thing is the majority of exchanges have a centralised custody system, meaning that you don't own your exchange's wallet private keys. And what happened if you don't own your keys...? Exactly.
To summarize, be sure you keep your funds safe. Whether it's on your private wallet, or trading in the new generation exchanges that have a transparent custody system, meaning that only you can access your funds and they will be safe in case there's a hack to the exchange.
Tell me: What's your strategy to secure your funds?
Resources
https://www.uptrennd.com/post-detail/why-security-in-crypto-matters~MjE5Nzk5
Always remember this popular statement: not your keys, not your crypto.
Actually, without keys there's no crypto at all, so one of the first and most important things we should learn and remember is to keep our keys safe. You may write them on a paper and put it in a safe place only you know, or maybe create a document with all your keys... Although I wouldn't recommend this unless you store that file protected with a password and mainly open it offline.
Some people have backups offline in external devices. That could be another good choice.
Custody: a choice that matters.
Let's say you buy some crypto whether because you want to hold or trade them. So you register in an exchange of your trust, put your payment data and buy a bunch of crypto.
Now, here's the key part: what do you do next?
Do you hold your crypto in the exchange or do you transfer them to your private personal wallet?
In other discussions, a few days ago, the importance of custody was addressed, and the article emphasized: watch out with holding your crypto in an exchange with centralised custody.
Why?
Simply because of the topic mentioned at the beginning of this article: exchanges can be hacked and you can lose all your funds. Thing is the majority of exchanges have a centralised custody system, meaning that you don't own your exchange's wallet private keys. And what happened if you don't own your keys...? Exactly.
To summarize, be sure you keep your funds safe. Whether it's on your private wallet, or trading in the new generation exchanges that have a transparent custody system, meaning that only you can access your funds and they will be safe in case there's a hack to the exchange.
Tell me: What's your strategy to secure your funds?
Resources
https://www.uptrennd.com/post-detail/why-security-in-crypto-matters~MjE5Nzk5
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