Security on the Web3

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The universe of blockchain, cryptocurrencies and Web3 can be a risky place for people who are unsuspecting or who do not have the necessary knowledge and structure.

You can lose everything you own very quickly with just one click, but if you're careful and take some precautions, there's no safer place for your assets.

So I prepared another content with tips to help you keep your tokens safe.

Many people have already tried to start investing in cryptocurrencies and NFTs and ended up giving up because they lost money in scams. This is one of the major obstacles that we face to the mass adoption of blockchain technology. But is the crypto universe really too dangerous?

The knowledge you gain here at Crypto School helps you make informed decisions and find earning opportunities.

But none of that will help if, out of distraction, you let someone else take your money. So, be very careful and make sure you take all the precautions that we recommend below.

Freedom VS Responsibility

The first step in staying safe on Web3 is to understand the relationship between freedom and responsibility. The only person responsible for controlling and protecting your assets is you. There are no intermediaries or regulators. There is no one to turn to in case of loss.

This is the only way to provide an environment in which you enjoy complete freedom.

If someone becomes responsible for protecting you, watching over you and ensuring that nothing bad happens, you will lose your sovereignty.

The price of constant surveillance is too small to pay compared to the alternative. Stay tuned!

Attention and precaution

Security in using blockchain technology also includes mistakes made by users. It is very common, especially when we are starting to operate wallets and digital addresses, that we make mistakes.So, pay extra attention and:

  • always double-check the network and address you are transferring cryptocurrencies to;
  • if you are moving a large amount, send a small part first, to make sure everything is ok;
  • Pay close attention to the rates you are agreeing to. The network can be congested, and you end up paying a totally disproportionate amount if you click too fast.

Even if you are already an experienced user, it may happen that you get distracted or have not taken the necessary precautions in advance. We are all prone to failure. Therefore, it is very important to take some essential precautions and create a structure and process that protect your funds.

Cold Wallet

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You can never have your funds allocated to the same wallet that you use daily to buy and mint tokens, enter sweepstakes and connect across different platforms. To operate safely, you must have at least 2 wallets — one hot and one cold.

The hot wallet is the one you will use for everyday use. In it you should only keep the assets that you intend to use daily, or in the short term.

The cold wallet should be seen as your safe, which should be disconnected from the internet most of the time.

Ideally, it should be a physical wallet, like Ledger, Trezor, or another one of your choice, but if you are just starting out, it can also be just a digital wallet, like Metamask.

The important thing is that it remains isolated and is accessed only on secure devices.
You also need to be careful when purchasing your hardware wallet. If you buy from unauthorized resellers, you run the risk that the wallet will come with malware inserted, which could steal your funds in the future.

Antivirus and software

Speaking of which, maintaining the integrity of your devices is critical to operating safely. For this, you cannot be tempted to install pirated software, or from unknown sources, on your computer or phone. Only use genuine software from reputable companies to keep your devices safe.

Also, you need to keep them up to date. This is extremely important! Updates are released whenever developers discover structural weaknesses. Always install software and operating system updates as soon as you become aware of their availability.

Counting on the protection of a good antivirus, such as Kaspersky or Nod32, is also an excellent option. Antiviruses got a bad reputation in the past for slowing down devices and complicating use, but that's no longer a reality. Today, they act more discreetly and offer excellent protection.

Fake accounts and 2-step verification

On Web3 you can be doxxed (show your face and identity) or undoxxed (anonymous). This is a very personal choice. Many people opt for anonymity for security reasons, or just to maintain their privacy.

Since all financial information is available on the blockchain, you can be too exposed if you show too much.

But regardless of what you choose, creating Twitter, Discord and Telegram accounts just to join sweepstakes (raffles) and participate in campaigns is very useful. So you don't have to worry about flooding your audience or compromising your personal account.

But even if you use fake accounts, losing control over them can cause problems and inconvenience. Always add 2-Step Verification to all your accounts. If possible, also use a dynamic authenticator such as Google Authenticator.

Frauds and scams

The precautions we've mentioned so far will protect you, but that doesn't mean you won't be subject to scams and fraud, much less that you can venture out there. Internet thieves have infinite creativity, both in deceiving in conversation and in creating ingenious and extremely advanced means of stealing.

Trust no one! Blockchain is a trustless technology, and so should relationships on Web3, so you can be safe. When talking to someone about trading a token, a job, or anything else, always keep the following in mind:

  • If it sounds too good: Just like in real life, if something sounds too good to be true, it probably isn't. Crooks take advantage of people's greed to trick them, sending NFT airdrops that drain a wallet when you interact with them, for example. Very low prices, very high wages and other unreasonable offers should always be treated with caution;

  • Direct messages: Not sending direct messages is a rule in most projects. Communicate in private chats and avoid interacting with people who send unsolicited direct messages. In the vast majority of cases, they are sent by imposters and scammers;

  • Link Clicks: The vast majority of people fall victim to scams because they click on malicious links. Therefore, you should never double your attention when clicking on links sent directly in the chat of a project, even if it was sent by a team member. Ask for directions and find yourself what the link is supposed to refer to;

  • Passwords and seed phrases: you already know, but it doesn't hurt to remember! Never, under any circumstances, under any circumstances, share your passwords or seed phrases. By doing this, you will be compromising your wallet permanently.

    There are a huge number of different scams being run every day, and some of them are much more sophisticated and elaborate. It happens, for example, that thousands of scammers trick thousands of people a week into stealing from them during the lie. So, be very careful when choosing projects.

Evaluating Projects

You'll never know if they planned to steal every investor's money from the start, or if they just changed their minds midway through. But it often happens that founders disappear without answering for the money they took. Therefore, when evaluating a project, pay close attention to:

  • Documented Founders: You can jump into a project without knowing much about it, depending on your strategy. But if you're committing and thinking about the long term, don't trust projects that have anonymous founders. Invest if you want, but be very attentive and follow their movements closely. While the anonymous team is not a determining factor in a coup, it is a big red flag;

  • Fake engagement: One of the main signs that a project is fraudulent is a number of followers or members that seems artificial. If a project, for example, has 50 thousand followers on Twitter, but only a dozen likes on its posts, the chance of being a scam is high;

  • Contracts and wallets: This step requires a little more knowledge, but it's super important. Get to know the project portfolio, the contract and follow the movements. If you can't do it yourself, try getting a group of members together to help.
    Mistakes can happen and founders can simply fail by making bad decisions. But in many cases the problems of a project are caused by the team itself on purpose, to escape the responsibility of running the project.

if you already chose

After preparing yourself with all the care we recommend, you will be ready to join projects and look for the best opportunities. But the care continues! If you got a whitelist or want to lie NFTs of a project, take it easy and wait for the right time so you won't be disappointed.

Take your time

Rushing and FOMO (Fear of Missing Out) can land you in dire straits. Don't get carried away! There will always be a good opportunity to get in and out.

You will hardly buy at the low and sell at the historic high. If you focus too much on this, you can make bad decisions. What matters is that you make a good average price and make a profit.

Be careful when minting

If you're here early and have a chance to enjoy a whitelist, don't get carried away by the excitement. Expect a significant number of tokens to be minted and other users to give a positive feedback.

There are extensions such as Pocket Universe that check contracts to ensure there are no malicious commands. But you'll need to connect your wallet to them, and that creates one more possible fragility. So, always use them in conjunction with the other tips we've given so far.

Never invest what you can't lose

This topic could not be left out of our safety tips. After all, we want you to be comprehensively protected and to be able to continue investing until you find the opportunity that will change your life.

So don't take too much risk. Invest in each project a value that you can lose without compromising your long-term strategy.

If you take the precautions and care that we suggest, you will hardly be a victim of scams or fraud with your digital assets. We hope that you never go through this and that our conversations and content are enough to prevent you from learning from the bad experience. Don't let your guard down!

Posted Using LeoFinance Beta



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3 comments
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It is a good advice to take precautions because it will surely reduce the risk as far as the web2 on #leo ecosystem us concern

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