Decentralized, online currency may sound great in some ways, but it opens people up to a lot of ways to lose your money. Anything online can be stolen and hacked. While it is a lot harder on blockchain platforms, that doesn’t mean it is impossible.
Cryptocurrency wallets can, and have, been hacked. Due to the high value of items in crypto wallets, there are a lot of hackers that focus on trying to get that information. However, there are some steps you can take to protect yourself and your wallet.
What is Mining City?
Mining City is a platform that provides mining plans, giving users access to hash power and mining rewards. Hashpower is the computing power needed to generate cryptocurrencies.
Mining City users can buy crypto mining plans that give them access to hash power and mining rewards. Hashpower provided by Mining City is used to mine Bitcoin (BTC) and other cryptocurrencies.
Is Mining City Legit?
Yes! Mining City is legit because it provides real hash power for users. Mining City also leaves banned markets and takes a compliant approach to new laws and regulations, adjusting to global markets. A good example of Mining City’s commitment to compliance is its recent implementation of KYC, AML, and other compliance check processes.
Cryptocurrency and crypto mining industry are new and gradually more and more regulated markets. As new regulations go into effect, market players must adjust. They need also to react on any attempts in the Internet to impersonate them. That’s why Mining City has had to delete more than 500 scam profiles on social media. These profiles impersonate the founder of Mining City, Greg Rogowski, or Mining City itself across Facebook, Instagram, and even Skype.
Another source of many misunderstandings was a large Facebook fan page impersonating Mining City. It was banned in October 2020.
Keep reading to learn about the most common hacks, as well as steps you can do to protect your investments.
How Are Crypto Wallets Hacked?
Cryptocurrency can be hacked just like any part of the Internet. Every day, businesses, banks, government facilities, and crypto-wallets are hacked into. These are not the most common ways people get your information. However, it can be one of the hardest to realize has occurred until it is too late.
If you use public WiFi to sign into your crypto wallet, you risk someone being able to gather information. Public WiFi is available for anyone to use, and the security measures are often out of date and weak.
Untrustworthy Websites and Documents
Keyloggers are often caused by Trojan viruses. They are designed to take information, such as tracking the keys you press when you are typing in a private key or password and send it back to the hacker.
Trojans can be sent to your computer via unprotected or purposely malicious websites, emails, and documents. Attached in the file or website’s code are viruses that when opened, immediately start to infect your computer.
On top of keyloggers, ransomware and malware can also be spread throughout your computer. This makes all of your information vulnerable, and not simply your cryptocurrency. Any website you visit or data you save on your computer is at risk of being taken.
Other Ways People Can Get Into My Wallet?
Surprisingly, distant hacks like above are not the most common danger to your wallet. While it certainly can happen, most information is stolen by social engineering, where another person is involved.
There are a wide range of phishing scams. They work similarly to phishing scams to get access to your money in a bank. Often, someone will contact you pretending to be a friend, family member, or perhaps a company you bought something from that says you now owe money. They will rush you, asking you to send them money quickly, providing fake emails, documents, and websites to verify their address.
If you do fall prey to these and log in with the website they provide or send the money to the account they tell you to, your cryptocurrency will be gone long before you realize you were scammed. It is always important to check the authenticity of people or companies claiming you owe them money.
Get a Hold of Your Private Key
People can also get hold of your private key. This information can be hacked, but it is also just as likely that people can misplace your information. Cold wallets are one of the safest options but involve putting your cryptocurrency information on a tiny object that often looks like a thumb drive.
People lose thumb drives often, as they misplace them or accidentally leave them behind due to their size. If someone else finds it and manages to access the information inside, you are likely to lose your money.
If you decide to keep your key information on paper, the same thing can happen if you drop the paper or someone else sees what you have written.
What Steps Can I Take To Protect Myself?
Keep Security Up-To-Date
Always make sure the software on your computer or phone is up-to-date. This provides you the best chance of fighting off newer hacking methods, as your computer is more prepared and effective against them. It won’t catch every virus or malware, but it can certainly help catch a majority of them.
Don’t Open Random Emails or Document
Most of the time, malware gets onto your computer due to the documents you download or shady websites visited. Many people will warn you not to open your emails. This is because many will send you links or documents that can be full of malware. However, there can also be some codes included in the email that make the simple act of opening it dangerous. If you are unsure if the email is safe, it is best to just ignore it.
Keep Frequent Backups
Keeping backups of your data and wallets is also important. This allows you to continue to have access if you lose your wallet, your computer becomes infected, or your hard drive crashes. Make sure you backup your data frequently to ensure you have up-to-date information in case anything happens.
Take the Time to Double-Check All Your Transactions
Phishing scams can cause you to send cryptocurrency from your wallet to the wrong address. They may tell you they are your friend, but have you send it to a completely different address than you may know. Always double-check that the address you are sending it to is trustworthy because once you send it out, that money is gone forever. Always check the amount to make sure that you are not sending more than you meant to.
Another important reason to check the address you are sending money to is due to human error. If you type in the wrong address because you forgot or mixed up a letter, you could send it to the wrong person without even knowing. Most wallets protect you from sending it to an address that doesn’t exist, but with some, it is still possible.