Good day sir, and how are you today. Thank you for such a wonderful lecture @gbenga.
Security is a term used in every area of life,that shows how important it is to everyone. In cryptocurrency, it cannot be ruled out as its acceptance depends so much on how secure it is. Nobody wakes up to loose money, we all need a secure platform to store our funds, taking our conventional banks for instance, we need one where our monies are secure, no matter what the banks go through in ensuring this.
Cryptocurrency on the other hand is made possible by the blockchain (in form of a ledger), Decentralized and does not require any third party get involved with its transactions. Transactions on cryptocurrencies are being verified by series of devices during cryptocurrency mining.
Wallet Security
For anyone who needs to invest in cryptocurrency, a crypto wallet is required. You may be able to do without a personal pocket wallet but In crypto you must get a wallet. Wallet are needed to store cryptocurrency asset. The wallet does not store the cryptocurrency but helps store private keys, mnemonic keys, wallets adreess, etc. Wallets could be hot or cold.
Hot are those that have connection with the internet, they have be declared safe but could be prone to Hacking. Most of the wallets that has been hacked in previous times are hot wallets. The later being cold wallet are hardware wallet. Hardware device could be a hard drive, disc, etc. But since they don't have a connection with the internet they are considered safer than all other wallets.
Security Issues with Wallets
The blockchain is very secure, likewise everything built on it as stated in the lectures (thanks to cryptography). But then, what makes our wallet less secured? Our private keys are important part of the wallets and its security. The private key is generated by the wallet and gives you ownership of your funds. In the same vain, the seed phrases are also part of this security agent, as they need in account recovery should incase the account gets missing. Both the private keys and the seed phrase should be written in a place where its not accessible to everyone.
Your account could become vulnerable, if your private keys is discovered by someone else.
How then can wallet security be handled?
1)Cryptocurrency Education
Well, most people may see this as irrelevant, but I tell you, this is one of the problems causing insecurity. Alot of folks jump into things they know about, yes we all want to make money but then every business has its techniques. Education such as this presents crypto Academy is very important as it I will throw lights on why people need to safeguard their wallets and how they can achieve it. It can also help them select the best wallet to choose and store crypto. Such informations are needed in this Era where cryptocurrency is being adopted in most areas of the world. What I believe is, if people are being taught, then security would be quite an easy task to handle.
2)Your Private key
As earlier stated, private keys are very important and must be stored somewhere safe. They can help you recover lost funds, wallets.
3)Ensure you use a strong password
Most wallet apart from the normal private keys and seed phrase have other security settings such as passwords, pattern lock for mobile phones. They can help strengthen the security of your wallet.
4)Ensure you do not forget your passwords
Most users forgot their password which could let to the loss of a account. Sometime in 2017,i did open a BTC account, though very small quantity left but the issue was that I lost both the password and the phone number I used to back up the account. For reference purpose, password can be written in dairies, etc.
Conclusion
In conclusion, It is our duty to keep our asset safe as Various products wallets have made provisions like 2fa, private keys, nmemoric keys, etc in order to keep wallets safe. It is also advised to use more than one wallet for storing your cryptocurrency asset.
Thank you sir for the time.
Hello, thanks for being a part of my class. It is good to have you here. Our wallet security is our priority and it should be treated as such.
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