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Security and Protection of Digital Asset Investments

Operating an investment portfolio in the digital world carries security risks, with hacking and other cyber threats serious considerations to be carefully managed.

There are a number of actions that can be taken to increase protection of investments. Here is our checklist.

Cold Storage:
Taking private keys offline and into cold storage via a hardware wallet reduces vastly the risk of online attacks. This is widely regarded as one of the safest options for protecting crypto investments.

Two-Factor Authentication:
2FA on crypto exchange accounts is a basic but important step to take, preferably through an authenticator app as opposed to SMS which is susceptible to fraud.

Passwords:
Long, complex passwords that are unique for every account/log-in will help reinforce your security. A password manager will elevate this aspect considerably.

Reputable Services:
Ensuring an exchange is well-established with a proven track record in security measures is a step that any investor cannot afford to ignore.

Software:
Keeping it updated will at least ensure the latest security updates are active, and having a dedicated device that is used solely for crypto transactions will minimize the risk of compromise. Avoiding the use of public WiFi networks when accessing crypto accounts is also an advisable measure to take.

Awareness:
Staying informed of the latest crypto scams and fraud tactics, and being cautious of phishing attempts and methods are both important elements of any security process you can put in place.

The descriptions provided above are all based on publicly available information, and cannot be considered as financial advice or encouragement to invest. Sources of information used in this post include Forbes, Europol and Coinbase. All transactions involving digital assets involve certain risks, which you should familiarize yourself with prior to any investment.

 

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