Cybersecurity Threats in the Cryptocurrency Industry: What Every Investor Needs to Know

Investing in cryptocurrencies is a great way to boost your portfolio and earn some money. Yes, investing in real estate, stocks, and bonds is always good, but the profits (dividends) can be small, which is one of the biggest reasons why people choose to invest in cryptos in the first place. Now, this doesn’t mean that one should invest in just any crypto, and because this is a highly lucrative market, there are so many things where one can make a mistake. Cyberthreats are everywhere, but things get even more serious when money is involved, and following these tips should come in pretty handy.

Beware of phishing


One of the most common cyber threats is phishing, as it is one of the easiest tricks used by hackers. In most cases, it’s connected to some link that you receive on social networks or, in this case, via email. The easiest way to avoid such threats is by ignoring suspicious emails, but even when you get a message from a trusted entity, it’s always better to go through proper channels than clicking on the link in the mail. By doing so, you will avoid any uncertain things that might occur. Of course, this doesn’t mean the link you received is not legit, but it’s much safer for you to use a browser for such actions.

Antivirus is also a great precautionary measure, but many people believe that all they need to do is install it, and voila, they are safe to do whatever they want, as the antivirus will deal with all possible threats. Now, even though the first and most important purpose of antivirus is to detect any potentially harmful link, data, file, etc., in order for it to work flawlessly, it needs to be updated. This is where most people make a mistake, as they don’t do this regularly. Yes, updating it might seem like a waste of time, but keep in mind that you are doing so for your own benefit, meaning there should always be enough time to update the antivirus software.

Don’t buy just any crypto

Investing in cryptocurrency can be one of the smartest investments, but only under one condition – you need to be careful enough when trading online. Namely, since this is something that interests so many people, it’s pretty understandable that hackers also find the crypto industry highly tempting for various cyber activities. With this said, being selective when it comes to what crypto to buy and invest in can save you both time and money. The best way to determine which crypto to buy is by being honest with yourself and your knowledge about cryptocurrencies and blockchain. Namely, the only way to know precisely what you are investing in and to avoid any possible inconveniences is by learning about how this entire industry works.

For those entirely new to the crypto world, it’s best to pick one crypto that interests you, then set some time aside to learn as much as you can about the technology behind it, how the entire system works, and what are the benefits of buying it. Only when one has enough knowledge about some crypto can they say they are ready to dip their toe in the crypto trading market. Of course, there are other essentials to cover as well, like gaining more knowledge about digital wallets and, more importantly, crypto trading platforms.

Pick renowned trading platforms


Even with all the knowledge about cryptocurrencies and the crypto market, if we go with trading platforms that are not legit, it would all be for nothing. That is why it’s of vast importance to pick the right platform before making any transaction. As for how to do so and which one is the best, it all depends on several factors. For starters, it depends on the country you live in. This is because every country has different policies and rules regarding crypto trading. The second factor is about the platform itself and the fees because every platform has different fees and different conversation rates for cryptos, and picking the best one can save you a lot of money in the long run.

Payment systems are the third thing you should check before registering on some crypto trading platform. It’s because not every platform has every payment system as an option, which can be a problem. Namely, if some platform doesn’t work with your bank, it means that you will not be able to connect the wallet with your bank, meaning that even though you have registered, you will not be able to buy cryptos. Of course, there are ways to avoid this with digital wallets, but that’s just wasting your time. So, the best way to avoid all these problems is by going with a renowned MSB (money service business) like P2P Cryptomus, as by doing so, all you will have to worry about is the changes in the crypto market.

Beware of Ponzi schemes


Everyone is familiar with how Ponzi schemes work, but for those who have been living in the bunker for the last century, it’s when old investors are paid returns from the new investors’ money. In essence, the problem with this scheme is that those who found it get all the money, while this system may only work in the long run if there were an infinite amount of new investors. Technology has changed everything, and even Ponzi schemes have evolved, making them much harder to notice, but with some research, it’s still possible to notice them on time.

The biggest thing one can do to avoid getting scammed this way is to learn more about the Ponzi scheme, how it works, and how to recognize it. Once again, setting some time aside for research is a must, and even though we understand this can be dull, it’s of utmost importance. The second thing one can do is simply be skeptical about any offer that might sound way too good to be true. In this digital age, if something sounds that way, the chances are high that it’s some kind of scheme. Keep in mind that you are dealing with your own money, so spending some time and learning more about all these schemes and potential threats can only benefit you.