However, all applications will be soon using wallets that only need to be backed up once. You need to backup your wallet on a regular basis to make sure that all recent Bitcoin change addresses and all new Bitcoin addresses you created are included in your backup. You might also want to consider using different medias like USB keys, papers and CDs. If your backup is not dependent of a single location, it is less likely that any bad event will prevent you to recover your wallet. Single points of failure are bad for security. As such, encrypting any backup that is exposed to the network is a good security practice. Even a computer that is connected to the Internet is vulnerable to malicious software. Encrypt online backupsĪny backup that is stored online is highly vulnerable to theft. If you only have a backup of the private keys for your visible Bitcoin addresses, you might not be able to recover a great part of your funds with your backup. Some wallets use many hidden private keys internally. It can also allow you to recover your wallet after your mobile or computer was stolen if you keep your wallet encrypted. Stored in a safe place, a backup of your wallet can protect you against computer failures and many human mistakes. In general, it is a good practice to keep only small amounts of bitcoins on your computer, mobile, or server for everyday uses and to keep the remaining part of your funds in a safer environment. If you wouldn't keep a thousand dollars in your pocket, you might want to have the same consideration for your Bitcoin wallet. Small amounts for everyday usesĪ Bitcoin wallet is like a wallet with cash. Always remember that it is your responsibility to choose your wallet carefully and adopt good practices in order to protect your money. Before you start using Bitcoin for any serious transaction, be sure to read what you need to know and take appropriate steps to secure your wallet. Choose your Bitcoin walletįind your wallet and start making payments with merchants and users.īitcoin is different from what you know and use every day. Additionally, using two-factor authentication is recommended. Otherwise, you should choose such services very carefully. Accordingly, you might want to use other types of Bitcoin wallets. Many exchanges and online wallets suffered from security breaches in the past and such services generally still do not provide enough insurance and security to be used to store money like a bank. You should be wary of any service designed to store your money online. Always remember that it is your responsibility to adopt good practices in order to protect your money. At the same time, Bitcoin can provide very high levels of security if used correctly. Such great features also come with great security concerns. Bitcoin makes it possible to transfer value anywhere in a very easy way and it allows you to be in control of your money. Like in real life, your wallet must be secured.
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