Digital assets are impervious to censorship, and private key holders have complete control over their crypto. The only condition is that investors are exclusively responsible for safeguarding and storing their own money.
The cryptocurrency community is expanding at an exponential rate, with over 100 million users to date. As of 2021, at least 14 million users are reported to be new market players, pulled in by the latest bull cycle’s excitement and eager to invest in their futures. If they don’t follow fundamental internet security protocols and crypto best practices, these first-time crypto users could become easy targets for fraudsters and scammers.
So how do you defend yourself from such cyberattacks?
When you first start out in the crypto world, you will almost certainly come across three different types of scams. Before becoming a victim and perhaps losing your assets, it’s critical to learn how to recognize these gimmicks.
Crypto giveaway scams are online posts, mainly on social media, that ask consumers to deposit cryptocurrency to an address with the promise of receiving double or more in return. This type of scam has been present since the 2017 initial coin offering (ICO) craze, and it follows a fairly strict formula. Fake cryptocurrency giveaway scams are easy to recognize if you know what to look for.
Looking for tiny changes to the profile’s username is the best approach to recognize a hoax. The scammer, for example, created a Twitter account with the handle @Elonmmusk. The extra “m” is inconspicuous and readily overlooked at first glance. Users may identify verified Twitter accounts by looking for blue check marks next to their account names.
Phishing schemes are getting more difficult to spot as bad actors take greater care in crafting emails that appear to come from respectable businesses. Many will persuade users to click on links that infect the device with malware, giving the culprit complete access to the data saved on it. Other phishing emails will link consumers to fake websites where they would be asked to reset their passwords, submit money, or confirm their seed words.
You face the danger of a hacker acquiring access to your sensitive information as soon as you generate a digital copy of it through malware, brute force attacks, and other attack vectors.
Writing down your crypto information on paper away from people and any gadget camera is the best approach to safely duplicate and save it.
If two-factor authentication (2FA) is offered on the platform, it’s important to enable it while creating a new crypto account. To give access to an account, 2FA is essentially a verification method that requires two or more pieces of information, usually from two distinct devices.
The main 2FA apps that are widely compatible with crypto websites are:
It’s critical to have distinct passwords for all of your crypto accounts to minimize the impact of data breaches and leaks on your online security. If you have numerous accounts and can’t remember multiple passwords at once, there are a number of free password-management browser extensions and apps that can store and generate secure passwords for your platforms.
To access the app and all of the password data saved inside, all you have to do is create a master password. When you arrive on a platform, most password managers will automatically fill in any pre-saved login details and prompt you to store any new login details to your vault when you create them.
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