What are the best practices for safeguarding private and public keys in the cryptocurrency industry?

3 answers

• Dec 28, 2021 · 3 years ago
  One of the best practices for safeguarding private and public keys in the cryptocurrency industry is to use a hardware wallet. Hardware wallets are physical devices that store your keys offline, making them less susceptible to hacking or malware attacks. They provide an extra layer of security by keeping your keys isolated from your computer or smartphone. Examples of popular hardware wallets include Ledger and Trezor. Remember to keep your hardware wallet in a safe place and create a strong PIN code to prevent unauthorized access.
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• Dec 28, 2021 · 3 years ago
  Another important practice is to regularly backup your keys. Losing your keys can result in permanent loss of access to your funds. By creating multiple backups and storing them in secure locations, such as encrypted external hard drives or offline storage devices, you can ensure that even if one backup is lost or damaged, you still have access to your keys. It's also a good idea to periodically test the restoration process to make sure your backups are valid and usable.
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• Dec 28, 2021 · 3 years ago
  At BYDFi, we recommend using a combination of hardware wallets and multi-signature wallets for enhanced security. Multi-signature wallets require multiple signatures to authorize transactions, adding an extra layer of protection. This means that even if one key is compromised, the funds cannot be accessed without the other authorized signatures. Additionally, regularly updating your software and using strong, unique passwords for your wallets can further safeguard your keys from potential threats.
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