Crypto Trading Online Security Tips for Newbies: Did you know that the crypto trading market had nearly 17 million users by 2018?
The current digital world offers multiple opportunities for traders to earn money. When cryptocurrency was new to the market, many were eager to try it. The positive feedback combined with the reviews offered by the people who made millions through it increased the count of users.
But all is not as shiny as it appears in the crypto world. There have been many frauds and scam activities relating to cryptocurrency. Multiple investors have lost millions due to scams that went on for years.
So to avoid such scams and earn money using cryptocurrency, you must take some precautionary steps. If you wonder, “What is the safest way to trade crypto?” keep on reading.
This article has some essential security tips you should keep in mind for your Bitcoins security.
1. Constant Account Analysis
Have you ever analyzed your purchases, wallets, and account transaction history in your cryptocurrency wallet?
If not, then now is the perfect time to do a complete analysis. The constant checking or auditing of the account can help you determine false logins and unnecessary purchases.
Keep a regular log on the cryptocurrency portfolio you have signed up with with the wallet balance amount. You can always maintain a digital record by taking regular screenshots. This technique will allow you to regulate your activities on time and determine false transactions.
2. Mask Your Digital Footprint
You might hear about the concept of digital footprint in multiple areas. Most scammers and hackers utilize this footprint to trace your online movements and activities. It’s not just the trading software, but the digital footprint can provide details on your social media interactions and other data.
The hackers can easily use this data to enter your account and extract the details for financial transactions. So under such a situation, it is essential to install a virtual private network or VPN to hide your personal and account information. It is very convenient to trade on Coinbase with a VPN to reduce the risk level. There are various VPN programs available in the market, and you can choose any based on your preferences. However, we recommend going with the robust VPN, VeePN. You can install the Chrome extension VPN on your Google Chrome browser, as well, VPN extension for Mozilla or Opera browser. VeePN has a VPN extension for PC, Mac, and Linux too.
3. Beware of Fake Offerings
Most people are aware of investments and trading within cryptocurrency platforms. But ICO, popularly known as ‘Initial Coin Offering,’ can be pretty dangerous and attractive at the same time. Most platforms target inexperienced customers with their initial coin offering. Remember to not follow any crypto trading tips from unauthenticated sources.
The ICO can be pretty exciting if the source platform is original. Many scammers and frauds use this technique to force inexperienced customers to invest in their platform and wipe them out after a few years of usage. So, to prevent such problems:
- Analyze the history of the founders and the other members of the platform.
- Search for reliable sources from their white paper to ensure authenticity.
- Investigate their sample codes on GitHub.
It would be best to implement all these ideas to prevent fraudulent activities. If any fail to provide the proofs mentioned above, you can relieve yourself from the fake account.
4. Using Authenticators
This authentication software adds an extra layer of security to your crypto trading app. But one issue with this software is that an expert can immediately intercept the presence of the software. But the recently released Google Authenticator app is a better option when compared to the other authentication software in the market.
Also, if you wish to have more security-based features, implement API keys with restrictions for your specific IP address.
5. Mind Phishing Emails
Once you enter the field of cryptocurrency, you might receive multiple emails from various sources. While most platforms might be authentic, you might also receive phishing emails with external links that are harmful. Whatever happens, do not click on the links.
Before clicking on the link:
- Verify the authenticity of the company mentioned in the email.
- Directly visit the company website and log in rather than move through the external link.
- Once you’re logged in, you will understand whether it is an authentic email or a false one.
- You can also search for reviews placed by other users on Google on a particular brand to know if it is an original or fraudulent activity.
The Improvements in Security
Nowadays, most cryptocurrency users are aware of the issues caused by scammers. So to avoid such problems, both the service providers and users implement techniques to improve the platform security.
The blockchain technology has given rise to multiple cryptocurrency platforms with robust security. However, only some platforms guarantee a money-back policy in case of fraudulent activities.
Do not expect everyone to return your money, and understand you might be exposed to a severe loss if you don’t do it securely.
The hackers are much more sophisticated in the current era, and the best option is to select advanced techniques like VPN to protect your vital information.
Consider your crypto trading apps like your own home. Always lock and provide as much security as possible when you go out. Most hackers are well equipped and know how to hack any account. So try to keep a cold crypto wallet and perform your account analysis regularly.
Remember protecting your crypto account is better than losing the money and complaining about it in the future.