The South Korean National Police Agency has made an official report of cryptocurrency hacks taking place in 2016-2018. During this period, only 158 wallet hacks were committed, while seven cryptocurrency exchanges suffered hacks too. The rate of digital coin crimes has increased during the period in question. Even so, only 91 wallets were hacked in 2018. In 2018, six arrests were made for this class of crime.
No specific wallets were identified in this report. It’s likely that these hacks did not occur because of failings from any specific wallet but from a combination of hacker sophistication and user error. Of course, those who buy Bitcoin want their investment to be safe no matter what, but it’s still necessary for cryptocurrency investors to be savvy enough to protect their digital currencies.
South Korea has been very strict in their regulation of cryptocurrency. The nascent ICO industry is still almost fully restricted, and South Korean exchanges undergo greater scrutiny than most of those in other countries. Still, having only six arrests in 2018 proves that, though few in number, crypto hack crimes still generally go unsolved. So what is the best cryptocurrency wallet if you want to avoid getting hacked?
Best Cryptocurrency Wallet For Security
There is no “best cryptocurrency wallet”. Most Bitcoin wallets such as Trezor and BTC Wallet have more than enough security measures in place to prevent hacking, if properly used. Here are some important considerations when evaluating different crypto wallet options, as well as tips to make sure yours doesn’t get hacked.
1. Decide whether you need a software or hardware wallet. Software wallets will live on your computer or mobile device. They’ll be convenient to use for daily trading and spending. Still, because they’re always connected to the internet, there’s a greater change of hack than with hardware wallets. For more information about hardware wallets, check out this Ledger Nano S review.
2. If you choose a software wallet, on what device will it reside? If on your mobile device, you’ll be able to easily spend your digital currency. But if you lose your mobile, there’s a chance your funds could be accessed by others. 3. Whether you use your digital wallet in or out of your home, password security is necessary to keep it safe. The best cryptocurrency wallets use 2FA involving multiple passwords, PINs, private keys, security phrases, fingerprints, and more to make sure no one can access your currency but you. Make sure to set up your security layers so that you can access your coins with relative ease, but no one else can do the same.
User error is a big problem in cryptocurrency investment related cybersecurity. Some new investors don’t take the time to learn the steps necessary to keep their investments safe. If you make sure you read up on independent reviews such as the ones on our site, choose a wallet with a good reputation, and download it from a legitimate source, the above security recommendations will prevent you from being part of some future crypto police report.