With the skyrocketing price of cryptocurrency, many holders have suddenly found themselves in possession of a substantial amount of wealth. As cryptocurrency goes more mainstream, the likelihood of thieves understanding this and coming after your funds increases greatly, especially with the irreversible nature of transactions. You should, therefore, take some basic precautions to preserve the safety of your funds.
Control Your Funds
The very basic first principle is to have control over your own private keys. This means avoiding storing funds on an exchange or third party service which holds your funds for you. If you don’t control your own private keys, you can’t assume that you have absolute ownership over your funds. Transfer funds to a wallet where you control the keys, such as a full-node client or a hardware wallet.
Control Your Devices
Avoid using connections you don’t trust. This means that when using a laptop or similar device, avoid connecting to a coffee shop or hotel wifi. If you’re on a mobile device, turn off the wifi entirely and use data when using your Dash wallet.
Invest in a VPN. Using a virtual private network improves your privacy and reduces the likelihood that your activity can be traced. It’s a good investment that costs very little, and many providers let you pay in cryptocurrency.
Above all, establish a secure cold storage option. This can be any number of airgapped devices with no network connection, however non-technical users should absolutely use a hardware wallet such as Trezor or Ledger. Store it in a safe an inconspicuous place. Handwrite backup seeds and similarly store them in an inconspicuous and safe place, preferably with multiple copies. If you want to be especially hardcore you can write down seeds in a different order or an otherwise encrypted fashion, however you should only do this if you are absolutely sure you won’t forget how to access your funds yourself. The biggest Dash thief is carelessness.
Keep a Low Profile
If possible, stay pseudonymous. If you’re an active member of the cryptocurrency community and feel the need to be vocal, please do so under a well-known pseudonym. By your very involvement it can be concluded that you own a certain amount of Dash, and when the price surges, at can similarly be concluded that you have a significant net worth. Some figures naturally have to stay public, but the rest should take great care to stay under the radar.
Don’t talk about your gains! A certain bit of excitement is understandable when a project you believe in does well, but refrain from publicly indicating how your personal holdings are doing. And please, never ever give exact figures of any part of your holdings. All that does is tell a thief exactly how much they have to gain from compromising your funds.
Take care of your personal safety. Recognize that you have become a greater target by investing in Dash. Keep a low profile, secure your house, let others know when you travel, and, if possible, carry a firearm or otherwise invest in personal security.
