There are various ways to protect your wallets against loss and theft. Here are some simple but powerful measures you can take today that will significantly increase the security of your wallets.
- Use a strong password
The importance of using a strong password cannot be stressed enough. Use a password that is:
- at least 10 characters long (generally, the longer the password is, the harder it is to crack)
- complex (consists of a mixture of numbers as well as uppercase and lowercase letters), and
- as random as possible (doesn't fall back on predictable patterns, such as replacing the letter "E" with the number "3", etc.).
- Enable two-factor authentication
Two-factor/multi-factor authentication is a process that requires users to verify their identity using two or more ways--that is, beyond just requiring you to log in with your username and password, you will also be asked to prove that you are indeed the user by entering a code that is sent to another account or device that you own, such as your email address, or your mobile phone.
To enable two-factor authentication, the first thing you need to do is to download the Google Authenticator app (available for iOS and Android). Then, go to [Account settings], click on [Security], and then select "Google Authenticator" on the Two-Factor Authentication drop-down box.
This will generate a QR code. Open the Google Authenticator app and scan the QR code. The app will immediately generate a verification code for your wallet account.
Here's a preview of what the app/codes look like on an iPhone:
This code changes every 30 seconds (you will know it is about to change when the font turns red and starts blinking).
Whenever you log on to your coins.co.th wallet account, you will be asked, first to enter your username and password, and then to provide the latest verification code generated by Google Authenticator.
Google Authenticator also issues a set of backup codes that you can print out or write down and keep somewhere safe. Use these backup codes if you ever lose your smartphone.
- Do not store all of your Bitcoin in a single address
Don't put all your eggs in one basket!
While you can only have one Bitcoin wallet address on coins.co.th, there's no limit to the number of wallets a person can have, so it's wise to spread out your Bitcoin in small amounts across various wallet providers. This way, in case the security of one of them gets breached, your losses will be kept to a minimum.
It's good practice to create a new wallet address whenever you ask someone to send you Bitcoin, and then to immediately transfer the Bitcoin out of that address into another undisclosed address (meaning you are the only one who knows that address).
You can start with at least three addresses:
- a "public"wallet address for receiving Bitcoin (what you give to someone sending you Bitcoin)
- another public wallet address for sending Bitcoin (from where you transfer out Bitcoin to another person'swallet)
- one "secret" address for keeping your savings--create new savings wallets as the amount of Bitcoin you own increases
For more tips on keeping your Bitcoin wallet secure, we highly suggest reading this CoinDesk article on security tips for beginners.