2022 has been a year of hard knocks for Crypto Aficionados.
As we all know focusing on the negatives is not productive or profitable, so rather than getting hung up on the seemingly never-ending bear market, we should instead be using the lessons we have learnt this year to focus on prioritising the security of our Crypto Assets to ensure we don’t get caught short when the bull run starts.
So far in 2022 over $3 Billion (and counting thanks to the ongoing FTX Saga) has been lost by investors to hackers.
We have all heard stories of mom and pop investors as well as seasoned experts being caught short by hackers so we have put together a list of tips and tricks to keep in mind to ensure that you don’t become another cautionary tale.
No one can ever be totally invulnerable to attack from a hacker, but there are a few things you can do to mitigate your risk and exposure and limit your damages.
- VERIFY EVERYTHING. It’s better to question first rather than regret later, so before sending out funds, double and triple check wallet address as well as the details of who has made the request for payment.
It is not uncommon for hackers to set up spoof websites or obtain access to emails and change details, so it is always better to be diligent and double check.
- START SMALL. If it is your first time sending to a new address, and if you can, start by sending a small test amount to ensure that you have the correct address, remember it’s better to take your time rather than risk getting caught short later.
- TRY TO VERIFY. It is very easy to run the risk of getting spoofed and having a hacker impersonate a genuine organisation.
Before handing out personal and sensitive information make sure you can verify exactly who you are providing this information to and double check is it really necessary to provide this information. - ITS BETTER TO BE ANNOYED THAN TO BE SHORT CHARGED. If you don’t think 2 Factor Authentication is annoying then you are lying, that being said it’s a useful tool to try and limit the risk of getting hacked.
- THINK BEFORE ACTING. Scammers are known for trying to sucker people in and they usually succeed when people react before taking the time to question what they have been asked to do.
From fake emails telling you that you need to reset passwords, to emails promising you winnings if you only click this link, before you do anything take a minute to process the request and check it out before moving forward.
- NOT YOUR KEYS, NOT YOUR CRYPTO. An exchange can be a great way to trade and remain liquid, but as we have seen with the fall of FTX, it’s always a great way to lose everything quickly.
This does not mean that you should avoid exchanges in total, but it does mean that you should remain diligent and aware and limit your losses. Don’t have everything tied up in an exchange.
Make sure that you have a Cold Wallet and that you limit your exposure to help prevent getting caught short when things go wrong.
- KEEP IT PRIVATE. Do not share your seed phrases or passwords or wallet information with ANYONE.
If you don’t trust yourself with losing pieces of paper with seed phrases and wallet addresses and passwords and you have a tendency to lose things then be smart, pick ONE hiding space, make sure that it is protected from the elements and laminate paper to avoid it getting wet or damaged and risk having ink run.
It is a terrible idea to rely on storing important information on electronic devices that can be hacked, and it’s also a bad idea to rely on a friend or family member to be your secret keeper just in case the relationship sours.
- DON’T PICK EASY TO GUESS PASSWORDS. We are all guilty of using easy to remember dates and things like a pet or loved one’s name as a password, or just using the same password over and over again.
However, in this day and age of hacking this sort of behaviour can bring down a nightmare of pain so try and make sure that you don’t leave yourself exposed like this.
- IF ITS TOO GOOD TO BE TRUE IT PROBABLY IS. If someone is DM-ing you as Krypto Playboy and promising you a deal of a lifetime, or emailing you because they are an exiled Nigerian Prince or a long lost relative who wants to give you millions of dollars odds are it’s a scam.
Most things in life that are worth something won’t come easy, so DO NOT BELIEVE anyone who contacts you out of the blue and promises a fortune with little to no effort or investment on your behalf.
Never share personal information or send money based on an unsolicited request. When in doubt reach out and verify with someone else before taking action.
- KEEP IT ON THE DL. To avoid making yourself a target DO NOT DISCLOSE PERSONAL INFORMATION ABOUT YOUR HOLDINGS ON THE INTERNET. You do not need to give screenshots of holdings or brag about what you may have.
This makes you a prime target and gives hackers an indication of what they can stand to gain if they breach your defences, its better to move in the shadows and keep it on the downlow than to make yourself a target for the chance at some fleeting internet glory.
- STAY ALERT.
During the FTX saga a worrying hack occurred and thousands of users were impacted after accessing FTX. Hackers like to take advantage of chaos so it’s always best to act carefully and take your time before rushing in.
If in doubt try talking to a friend and stay alert on social media to get a heads up on anything that may be a bit sketchy.
- REPORT ANYTHING DODGY. Snitches get stitches is usually a good life motto to follow, however when it comes to dodgy happenings on the internet it’s better to take action for the good of all.
At then end of the day we all benefit when the internet is a safer space, so if it looks suss its better to snitch.
We wish you all well on your Crypto Journey and hope that you will remain safe!