When bitcoin, the first cryptocurrency, was launched, its developers and earliest adopters were filled with optimism about blockchain technology as a way to counter the powerful distrust that they held for banks and middlemen. Designed with sophisticated encryption, irreversible transactions and a decentralized structure, cryptocurrency technology was supposed to be unhackable.
Unfortunately, the system upon which it is built has proven to be vulnerable to resourceful criminals and human error.
The security gaps that have become apparent over time have made cryptocurrency owners ask:
- How many types of crypto-related security vulnerabilities are there?
- Do I need to become a technical wizard to keep my coins safe?
- What is the most common type of security problem?
- How can I reduce the risk to my cryptocurrency holdings?
- What resources do I need to reduce crypto-related security risks?
This guide is designed to provide current and prospective cryptocurrency owners with answers to these questions and other information that reduces security risk.