Bitcoin security

The new form of currency is bitcoin although there are many forms of Cryptocurrency Bitcoin seems to be the front runner in this industry. There are many who accept this form of payment for purchase of product so this is just advice on how to secure your bitcoin or any Cryptocurrency should you choose to invest in this form of currency. In my opinion it is growing at a very fast rate other forms are not too far behind Bitcoin whether you believe in it or not Cryptocurrency is here and so far it’s not going away anytime soon I can only provide an opinion on how to protect your investment.

The allure of Bitcoin is the security of the peer to peer transactions so by the nature of the transaction the bitcoin is secured. I will not discuss the Cryptographic protocols which are used to establish the agreement between the peers but just know that this form cuts out many in-between groups we see in a normal transaction such as credit card companies and banks. The Block chain technology verification process is amazing so there are fewer entities involved in the transaction process.

So when is there a chance for loss? It is how and where you decide to keep your bitcoin. There are a few options available to you in order to secure your bitcoin however you need to ask yourself a few questions. This would determine how you would prefer to secure your bitcoin. Do you live in an area where bitcoin is one of the forms of payment? If so then you need to use a mobile device to secure your Cryptocurrency and make purchases. So you would need a mobile wallet.

In my opinion the mobile device is the most secure method of storage. You can do some research on what mobile wallets are available they all work the same method there are paid version and free versions of the wallet. You download the wallet to your phone at which time you are provided a PIN and twelve key words. Should you lose your phone or need to remotely access your wallet you would need to know your PIN and twelve keywords this makes the mobile wallets extremely secure. I would highly recommend keywords be written down on a piece of paper laminated and secured in a safe. 

There are other web based wallets you can use but with all the possible virus laptops and desk to computer face on a daily basis this is not a method I would recommend. You do have the option to use a hardware wallet. This is a great method to secure your bitcoin off line. I would use this to secure my bitcoin if I had a large amount to secure. This would be like my bank in my pocket the hardware wallet look like a USB drive and functions just like an encrypted USB drive. 

So my rule would be use your mobile wallet like you would use as your regular wallet. You don’t keep your life savings in your pocket correct? So I would do the same I would have my much larger amount on my hardware wallet.

I hope this helps as always please leave a comment

Mark Carbajal