TL;DR
- With the constant expansion of the crypto industry, cyber threats have proportionally increased, necessitating the implementation of all possible security measures.
- According to a study, in 2024 alone, over $336 million in cryptocurrencies have been stolen through various methods and platforms.
- From two-factor authentication to custody services and hard wallets, these are the best methods to keep your assets secure.
In the digital age, the security of our crypto funds has become an indisputable priority. With the industry’s growth and increasingly widespread adoption worldwide, cyber threats aimed at stealing as many cryptocurrencies as possible have also increased.
To ensure the protection of our cryptocurrencies, it’s essential to implement robust cybersecurity measures. Here’s a list of indispensable tips to stay up-to-date on security matters:
- Two-factor authentication (2FA) in CEXs: By enabling 2FA, a second verification method will be required in addition to the password to access your account. This considerably hinders unauthorized access to your account, even if the password is compromised. Additionally, it may provide additional response time to take further action before the presumed thief can access your account.
- Use hard wallets: Hard wallets offer a higher level of security by storing your cryptocurrencies offline. This drastically reduces exposure to online threats such as malware and phishing. By keeping your funds offline, you’re protecting them from potential cyberattacks.
- Keep your software updated: It’s imperative to keep both your device’s software and your applications updated. Regular updates often include security patches that fix known vulnerabilities. This reduces the risk of falling victim to exploits and malware attacks.
Over $336 Million in Cryptocurrencies Were Stolen So Far This Year
According to a study presented by Inmunefi, a total loss of $336,311,217 was found across the web3 ecosystem in the first quarter of 2024. $321,645,400 was lost due to hacks in 46 specific incidents, and $14,665,817 was lost due to fraud in 15 specific incidents.
Most of that sum was lost by two specific projects: Orbit Bridge, the bridging service of the Orbit Chain protocol, suffered an attack resulting in a loss of $81,680,000, and Munchables, a Web3 project on the Blast blockchain, incurred a loss of $62,800,000. This number represents a 23.1% decrease compared to the first quarter of 2023, during which hackers and fraudsters stole $437,483,543 in cryptocurrencies.
- Encrypt your private keys: Encrypting your private keys provides an extra level of security. Ensure you use strong and unique passwords to encrypt your private keys. Additionally, consider using secure password management services to store and manage your passwords securely.
- Use multi-signature addresses: Multi-signature addresses offer more security by requiring multiple signatures to authorize a transaction. This means that even if a device or private key is compromised, other signatures will be needed to complete the transaction.
- Perform regular backups: Regularly backing up your private keys and recovery seeds is essential to protect your cryptocurrencies in case of device loss or damage. Storing backups in secure and physically separate locations ensures you can recover your funds in case of emergencies.
- Diversify your storage methods: Instead of relying solely on a hard wallet, consider diversifying your storage methods. In addition to a physical wallet, you can use secure online wallets and reputable custody platforms.
While it’s a significant responsibility for platforms to ensure the security of their systems to protect their users, the security of your cryptocurrencies ultimately rests on you. Implementing these seven cybersecurity tips can effectively help protect your digital assets and minimize the risk of falling victim to cyberattacks.
