Bitcoin (BTC) and cryptocurrency in general are continuing their downturn. Opportunity for critics to criticize the ecosystem, investors and traders. Cryptocurrency, they say, is too volatile to function as a reliable medium of exchange. Informants also seize the opportunity to point the finger at bitcoin security. Bitcoin expert Marty Bent bounced back on this latest allegation which he says is baseless. Bitcoin wallet is indeed secure, he says. And users alone are in control of their assets. They have complete control over their part purse.
High level of security for bitcoin
How secure is bitcoin? Many are asking the question. There continues to be a lot of talk about the volatility and security of bitcoin. And yet, this virtual currency is actually more secure than some financial systems. The issue of volatility is a matter of debate. But in terms of security, cryptocurrency, including bitcoin, is ultra-secure because it is based on blockchain technology.
It is an enhanced technology that relies on cryptography. Bitcoin is stored in addresses on its blockchain. The register cannot be amended or deleted. Enough to ensure the security of bitcoin data. Each address has two keys: a public key and a private key. The first is shared with the network. To put it simply, it equals the RIB. The private key is, so to speak, the secret code of the wallet.
In addition, all transactions are accessible to the public, due to the transparency of Blockchain technology. But the people involved remain anonymous. So there is no possibility of data breaches like traditional financial systems.
Bitcoin wallet security
Bitcoins are stored in an encrypted wallet. It is a software that allows you to transfer and store bitcoins. The wallet holds a private security key that matches the Bitcoin address of the wallet. This key gives the user ownership and gives them full control over the available assets.
While the security of the technology itself is incomprehensible, the owner is responsible for the Bitcoin wallet. What are the circumstances? First choose the wallet that best suits your needs (cold or hot, mobile, paper or Web).
When choosing a digital wallet, it is equally important to choose a reliable and reputable provider. The private key should also be stored in a secure location, preferably offline. Enabling two-factor authentication, encrypting the wallet and enabling the multi-signature feature are all precautions.
Aside from the security of technology, you should know that bitcoin is a digital asset. Like any online activity, there is a risk of hacking. Attacks of phishing for example, or even social threats and other scams are among the potential threats to cryptocurrency, on bank accounts, for that matter. Also, be vigilant when clicking on unknown or suspicious links. And above all, never share the private key.
Get a summary of news in the world of cryptocurrencies by subscribing to our new daily and weekly newsletter service so you don’t miss any of the essential Cointribune!
Interested in investment and financial markets after a business school in Chambéry, the passion for cryptocurrencies was evident. The blockchain is definitely the universal tool of tomorrow.