Just like real wallets, Bitcoin cash wallets have to be safe, securing them in the digital world can be difficult. There are reports of new leaks or infiltrations of new malware on a daily basis. Blockchain is the ultimate security mechanism for crypto currency transactions. But cryptocurrencies are as secure as stored digital wallets.
A Bitcoin cash wallet can be a desktop app, a mobile app, or a web application and hardware. No one can store, send or receive digital coins without this wallet. You don't need to read a lot of technical documentation to understand the main concept of a Bitcoin cash wallet. Technically, the owner of the Bitcoin cash has a secure private key in his wallet and can access all encrypted Bitcoin addresses.
Going back to the type of Bitcoin cash wallet, i will mention a few of them that is worth mentioning and that are the most popular desktop wallet as it gives the user complete control. The most common desktop wallets are:
Trezor (Hardware Wallet)
Coinomi (Mobile Wallet)
Jaxx (Mobile and Desktop Wallet)
KeepKey ( Hardware Wallet)
Ledger Nano S (Hardware Wallet)
Online wallets, mobile wallets, or hardware wallets also have their pros and cons. For example, hardware wallets is considered the safest and online wallets raise concerns about the online storage of cryptocurrencies. The mobile Bitcoin cash storage application has limited functionality.
Here are some security measures that can help me and you protect our Bitcoin cash investment
Use an encrypted Wallet
Make sure your Bitcoin wallet is encrypted. What i mean by encrypting is the process of converting data to code. Its purpose is to prevent others from getting close to your wallet. Use a strong password that contains letters, numbers, and punctuation and is at least 16 characters long. And try not to share this password with someone. Unlike banks, Bitcoin cash wallets has limited password recovery options.
WARNING: Consider also encrypting the drive that the wallet is stored in to improve security.
Two-factor authentication
Using two-factor authentication can enhance the security of your Bitcoin cash wallet. This can be done in a number of ways. The google authenticator application gives the user a 6 digit code, and this code is unique. Another option is to add a biometric procedure such as a fingerprint. This is especially important if your wallet is used for online transactions.
Cold storage is advisable
Even if you store your digital currency in a wallet that is stored on your personal computer, the Bitcoin cash wallet app is also vulnerable to attack as it typically stores the data in a predictable location. It is best to have at least two digital wallets. One is for trade and commerce and the other is for savings. Wallets should be stored in a safe place known as cold storage, this involves storing your bitcoin cash offline and keeping it away from the Internet.
Warning: With the sharp rise and fall in cryptocurrency prices, it's a good idea to keep Bitcoin this way.
Pay attention to updates
With the latest version of Bitcoin cash software, you get security and stability updates designed to protect your wallet and prevent problems. Many cryptocurrency veterans believe that automatic updates and bug checks should be turned off a few days after they are released.
Warning: Bitcoin wallets are vulnerable to viruses and malware on your device hardware, so you need to update your operating system and other software regularly.
Backup as usual
Regularly back up your private and public keys and keep copies in multiple secure locations with limited access. They can be on a portable hard drive, optical drive, flash drive, or paper. You can also save to a cloud-based security system like Dropbox, making sure that all data uploaded to the cloud is encrypted.
Using these security measures will ensure the safety of your investment in Bitcoin cash.
