1. Choose a secure wallet: It is important to choose a secure cryptocurrency wallet that uses multi-factor authentication, increased privacy and encryption. Ideally, the wallet should also adhere to industry standards, such as Bitcoin Core, which requires full validation for all Bitcoin transactions.
2. Use strong passwords and back up your wallet: Your wallet should be protected with a strong password, especially since many wallets allow you to store multiple currencies. Additionally, it is important to back up your wallet in order to ensure your funds can be easily recovered if ever lost or stolen.
3. Don’t store large amounts of cryptocurrency in one place: Keeping large amounts of cryptocurrency in one place can put you at risk of being hacked or scammed. To avoid this, spread your cryptocurrencies across multiple wallets and exchanges if necessary.
4. Enable two-factor authentication: Two-factor authentication is an extra layer of security that is used on many online accounts, including wallets. It ensures that only authorized users can access the account by using a combination of passwords, usernames and one-time codes sent to your device or email account.
5. Use cold storage: Cold storage is a type of storage where cryptocurrencies are stored “offline”, meaning they are never connected to the internet. This can help protect your cryptocurrency from hackers and other malicious activities.