Is Bitcoin secure?
Bitcoin technology is proven to be safe, efficient, and functional. The law of the universe secures the technology, and it is continuously improved by the open-source community. This software is always inspected and evaluated by its growing community.
Though there have been some compromises, it doesn’t reflect upon the security of the Bitcoin network. Bitcoin-related thefts are the result of improper security on the part of the individual or the service that is holding the Bitcoins.
With the passing time, as more and more people become interested in the success of the Bitcoin, the system will become more secure. There are significant resources that are now being devoted to closing the security holes.
As a Bitcoin holder, you should follow some good security practices to keep your funds safe. Always ensure to store the Bitcoins in offline storage. You should not hold your Bitcoins in exchange as it is designed to transfer cryptocurrency and not to store it. Always use cryptocurrency wallets to store your cryptos. There are many types of wallets, ranging from a USB stick, drive, paper wallet, etc. to choose from. However, you should remember that if you lose the information of your wallet, there is no one to help you get it back.
How to keep it safe?
An online wallet is one of the most popular ways to keep your cryptocurrencies safe. These wallets hide many Bitcoin-related technical challenges like keeping the private keys and addresses safe. As signing up with most of the online wallets is easy and hardly takes a few minutes, it is an attractive storage option for less tech-savvy people. However, it is not the safest option to store Bitcoins.
As Bitcoin has exploded in value, it has become a target for scammers and hackers. Here are the ways using which you can protect it from getting hacked:
- Two Factor Authentication – Most of the wallets support two-factor authentication. This will prevent hackers from accessing your account as they will need an extra factor other than username and password to access the account.
- Offline wallets – Bitcoin wallets have one or more than one address where it keeps cryptocurrencies. These addresses are long and have private and public encryption keys. When a person needs to send Bitcoins to another person’s address, he uses a public key, and when he wants to spend his Bitcoins, he uses his private keys. Private keys show that you are the owner of the Bitcoins stored in the address. So, you need to ensure that your private key is in a safe place.