Even though blockchain technology represents one of the safest systems today, it is essential to pay attention to your safety when you are trading on the market of cryptocurrencies.
The main issue is that hackers are also keeping track of the most recent trends and looking for a way to intercept transactions or steal funds from digital wallets. That is very difficult. However, there were already some cases where they managed to hack into online accounts of exchanges.
In some of the most serious cases, they have managed to steal millions of dollars, with the highest amount being over $500 million. In that matter, the first thing to do before starting to invest and trade in cryptocurrency is to select a reliable trading platform. It is crucial to choose a well-known, licensed, and official site where you can trade with Bitcoin and other popular digital assets.
There are also many other factors to consider before you start trading. You should focus on keeping your data safe and private. Therefore, besides the selection of reliable trading platform, you should also use only the safe method for storing your crypto. We are going to analyze more on this topic in the following article.
Use Proper Digital Wallet
This is one of the most important things to do before you start investing and trading in this market. It is essential to use an option that requires advanced security measures like double authentication and safety codes. The great thing is that many developers are now introducing advanced e-wallets, and you should always check more about some of these options before you store funds on them.
First of all, check who is a developer, and does he have enough experience and knowledge to secure the platform. Still, it can be complicated to select the right model since the competition is very high. The key is to choose only well-known developers, and you can find more about that by checking the reviews and experiences of other people.
Furthermore, even if you find the right e-wallet, we suggest you avoid placing all of your funds only in one place. As we already mentioned, hackers are constantly working on finding efficient methods to access protected sites, and you can be much safer with several e-wallets where you can divide your crypto. The safest solution is to use an offline wallet.
There is no way for anyone to access it since it is not connected to any platform. However, be sure to keep the safety keys in a place where you can always find them. There are millions of dollars lost by many people who forgot the passwords or lost their offline wallets. You can use USB or external memory for that. There is a case where someone lost over $200 million by losing the offline wallet.
Follow the Safety Measures and Avoid Scams
The main problem is that a lot of traders still use online platforms to store their funds. There are many benefits of choosing that method since it is much easier to trade. However, your funds are less protected.
As you can see, even some of the most popular trading platforms had some issues in the past, and you don’t want to take that risk. Besides that, avoid accessing your wallet or trading platforms while using public networks. Moreover, if you are using your mobile device as a wallet, avoid saving passwords on the device.
On the other side, pay attention to suspicious offers where you can gain profit by becoming a part of an organization that requires you to register other people to get more crypto. You should learn more about the blockchain and this market to understand that this model can only be a scam. It is called a pyramid scheme.
This model will help only a few people at the top to use the resources of other members to gain profit, while most people who register can only lose money and time. Besides that, there is phishing, where you will be provided with a link that can contain malware data, which can be used to steal your data.
Chose a Reliable Exchange
When you learn more about the process of storing your funds safely, and how to avoid suspicious sources, you can focus on choosing the right trading platform. Besides that safety, you should also look for other features like trading fees, available units, speed of transactions, and more. Here are some of the best online exchanges.
This is one of the most popular trading platforms. The main advantages are low fees, a great selection of digital units for trading, a basic interface that is perfect for beginners, and a lot of people active on the platform. The only disadvantage is that they will provide you with passwords that you cannot change.
The main feature is related to conversions. You can instantly convert your crypto into fiat currencies and pay for various services online with the same app. However, many people are not satisfied with an option where you can use only BTC for a transaction, while other currencies are not available.
If you are looking for a platform with the lowest fees, this is the best option. Also, there is a great selection of available tokens. Still, you will need some experience to cope with an advanced interface of this option.
The Bottom Line
There are also many other popular choices for trading, and the most important is to focus on security. Besides that, if you are interested in experimenting with a variety of options we suggest you choose one with many tokens and coins available.
There are many benefits of this option since the market is highly volatile, and it is not a rare case that some tokens could surge in price, while others could become more valuable. Be sure to always use the proper method for storing, and never share security keys with anyone. Also, avoid suspicious links and websites where your data could be in danger.