Cryptocurrencies are digital assets that act as a medium of exchange. They are introduced to make global transactions easier, faster, and more secure. With the advancements in technology, the security mechanisms also achieved a space in the crypto industry.
This article titled “How cryptocurrency projects overcome transparency and security problems” reveals the security issues and the ways to overcome those problems. Read on till the end.
What Are The Security Issues Of The Cryptocurrencies & How It Overcomes?
Blockchain is the backbone of cryptocurrency. Blockchain is a series of blocks that records data with timestamps so that data cannot be changed or tampered with. So cryptocurrency is highly vulnerable to security risks.
Below given are the security issues faced by cryptocurrencies.
Security of Users
The user’s accounts were created and registered in each exchange. This includes even the bank account details of users. This issue can be conquered in the following ways.
- Check whether there are any errors in the exchange code
- Create strong passwords
- Confirm and verify the actions through your official mail
- Make use of two-factor authentication
Security Of The Domain
The security threats of the domain are
- Malicious users with physical access to the domain controller
- Attack on active directory database
These threats can be solved by the following methods.
- Activate the registry lock in your registry. It prevents malicious attack that makes changes in your domain.
- Role accounts protect individuals in your organization from being targeted.
- Always use at least a 6-month expiration window for the high-profile domains.
Security Of The Web
If the crypto exchanges are secured from the following errors and attacks, then the web is secured.
- The website should only be accessible with HTTPS instead of HTTP
- The malicious technique of tricking a web user to click on malware links
- Attack from the unintended download of any computer software from the internet
- Man in the middle attack
Security and transparency are playing a vital and critical role in the crypto space. The current state of the crypto market and the new advancements in the technologies raised the voices for strong and safest security measures.
Most people choose crypto exchanges to store their crypto coins. Thus the exchange has access to the user’s crypto wallet.
Therefore, now people are in search of a new, advanced, and robust wallet that is using sophisticated technology. The most popular crypto hacking occurs through phishing which takes place through malicious emails.
For more secure storage and to prevent those hackings, you can use cold wallets. Cold wallets provide more secure storage for your crypto coins. Below given are some tips for the users to prevent hacking.
- Always try to remember the password in your brain. Do not disclose it or write it somewhere.
- Do not disclose your Bitcoin private key to anyone
- Always change your Bitcoin address
- Do not post or share your personal email address and contact number on the social media
- Periodically backup your wallet
Proper precautions and technologies help you to secure your crypto wallets. Do follow the easy tips revealed here and always carefully handle your cryptocurrency projects. Do not stay back, keep on going with your crypto projects, and at the right time, your fruit will appear.