Ten Steps to Strengthen Encryption Asset Security Protection

In today's world where cybersecurity is becoming increasingly important, protecting our encryption assets has become particularly crucial. This article will introduce you to 10 simple and effective methods to help you enhance asset security and ensure a smooth journey in the cryptocurrency space.

1. Create a Multi-Signature Wallet

Creating a multi-signature wallet for long-term held encryption is a wise choice. A multi-signature wallet requires multiple private key authorizations to execute transactions, greatly enhancing asset security. Even if one private key is compromised, your assets remain protected. It is recommended to start with a 2-of-3 multi-signature strategy and consider using a hardware wallet as one of the signers to further enhance security.

2. Set up a dedicated daily trading wallet

For daily activities such as airdrop claims or NFT minting, a separate dedicated wallet should be set up. This "risk wallet" only needs to be topped up with a small amount of encryption as needed. It may be worth considering using authorization services to delegate certain permissions of the vault wallet to the risk wallet without moving or jeopardizing any assets. This way, even if the risk wallet is compromised, your main assets remain safe.

3. Using the Trading Preview Tool

Downloading the trading preview tool can help you intuitively understand the content of a trade before approving any transaction. These free browser extensions will pop up windows explaining all proposed trades. They are an effective barrier against phishing attacks, so make sure to use such tools to preview all transactions.

4. Review Token Spending Permissions

Many Ethereum-based applications require users to authorize "unlimited" token spending permissions. Although this practice is convenient, if the wallet is stolen, attackers may take away all assets. Therefore, it is recommended to regularly monitor and manage outstanding spending limits and, where possible, revoke or minimize unlimited approvals. There are dedicated platforms that can help you easily manage token quotas.

5. In-depth Research on the Project

Before using any new project, be sure to do your homework. Carefully read the project's documentation, FAQs, white papers, and other materials to gain a deep understanding of its details and risk conditions. Do not blindly follow trends or act recklessly, as this can help avoid putting yourself in danger. If a project lacks comprehensive documentation and educational resources, this itself is a warning sign.

6. Real-time Monitoring of Asset Portfolio

Use portfolio tracking tools to closely monitor your encryption currency positions. These tools can provide you with a real-time overview of the assets you hold across various wallets and platforms. Regular monitoring can help you understand your returns and is an important component of asset security. By promptly detecting abnormal activities, you can quickly take action to protect your remaining assets.

7. Stay updated on industry trends

Always pay attention to the latest developments in the cryptocurrency industry, especially news related to security incidents. Sometimes an attack on a specific project may directly or indirectly affect your assets. You can follow some quality news aggregation platforms that will timely publish and analyze important events, helping you quickly understand the situation and respond accordingly.

8. Strengthen Personal Information Security

Even outside of Web3, it is important to pay attention to protecting personal information security. Adopt good operational security practices, including: using secure email services, setting strong passwords for different accounts, avoiding linking your phone number with encryption platforms, using two-factor authentication, requesting carriers to lock SIM cards, and timely updating antivirus software, etc. These measures can effectively prevent hackers from obtaining your sensitive information through other channels.

9. Develop Emergency Plans

Even with all the protective measures mentioned above, it's important to be prepared for the worst-case scenario. Some Web3 security tools can be used to create custom backup wallets and emergency button systems. Once a security threat is sensed, you can quickly transfer your assets to a pre-set secure wallet. For advanced users, there are also more complex monitoring and protection services that can detect and evade on-chain attacks within milliseconds.

10. Actively report suspicious activities

If you encounter phishing or other suspicious activities, please quickly raise the alarm. You can post on social media, alert others in relevant groups, or submit a report to specialized database platforms. These simple actions may help others avoid falling into the same traps and collectively maintain the asset security of the cryptocurrency ecosystem.

By taking these measures, you can greatly enhance the security of your encryption assets. Remember, in this rapidly evolving field, staying vigilant and continuously learning is key to protecting your assets.