How to store cryptocurrency safely📲🌐🔐🤓

wildwildboar (25)in #steem • 6 years ago

Disclaimer: I am not a financial advisor, I am just a cryptocurrency enthusiast. Please don't consider this post as tax, financial or investment advise!

Cryptocurrency coins like bitcoin, ethereum, dash and other are stored on the blockchain network, to access them you need the public and private key. A cryptocurrency wallet stores private and public keys, there are several kinds of cryptocurrency wallets.

Hardware wallets are small devices similar to the USB stick. They store public and private keys offline and supports many cryptocurrencies. To access them you have to connect hardware wallet to the computer and type in the PIN number. You can store several cryptocurrencies on one hardware wallet, however, I got a problem with lack of memory on my Ledger Nano S and I could install only 3 wallets on it.
The most popular hardware wallets are LEDGER and TREZOR

Paper wallets are another very secure way to store cryptocurrency. Paper wallets are printed on a piece of paper, make sure you are using clean and secured computer and printer when you are going to print a paper wallet and do it offline. Paper wallets are very secured but not easy to use.

Online wallets are websites where you can log in and access your funds. They are free, very easy to use and very popular, however they are not very secure.

Software wallets are applications for computer or mobile. They are most popular, free, easy to use and more secure than online wallets. This is the best way to keep funds which you are willing to spend.

No matter which wallet you choose, there are some rules to keep in mind:

DO NOT keep big amounts in a less secure wallet
DO NOT store cryptocurrency on the exchange wallet longer than necessary
DO NOT share your private key or seed phrase
DO NOT keep all your coins in one wallet
DO NOT use online or software wallet on a public computer
DO NOT print paper wallet on the network printer
DO NOT save your password in the browser
DO backup your wallet with seed phrase
DO keep your backup phrase in secret place
DO use two-step authentication where it's possible
DO scan your computer regularly