Securing your cryptocurrencies funds is more important than people are aware of. Sure, it is incredibly useful and beneficial to store a huge amount of crypto in your funds. However, very few people do not really understand the risk of losing crypto funds. Crypto wallets are very vulnerable to cybercriminals, therefore if you want to be peaceful, you need to secure them. Also, one of the scenarios that can happen is that you can lose crypto via device or server malfunction. There are many ways of backing up your crypto wallet’s private keys.
For those who are not familiar with this term, it refers to proof that your crypto account belongs to you and is vital for wallet recovery. Unfortunately, many people who even try backing up their crypto do not do it properly. There are so many common mistakes that you can find on coinmarketcal.com and make sure that you do not make one of them. In this article, we prepared some of the ways of backing your cryptocurrency wallet keys.
1. You can consider using a seed phrase
Source: gadgetstash.co
In general, a seed phrase functions the same way as the traditional password. The only thing that is different is that a seed phase is much longer. In fact, this password needs to be consist of a set of 12 to 24 words. As you can assume, it is also unique to every user. A seed phrase is not a sentence, instead, it is a combination of various words which no one can even predict or guess. If you have a seed phrase, you can be sure that you will get access to anything that is associated with the password, including your private keys. However, that is where you should be careful.
You need to know that you can not change a seed phrase like you can change your password for Facebook or email. It is created in a way that will keep your data highly safe as an unchanging default backup password for your crypto funds account. Therefore, when you are thinking about the seed phase, consider that it is incredibly safe and once it is given to you it can not be replaced. One of the wisest options is to split your seed phrase into more parts so no one can find out the password entirely.
2. Exporting Your Keys
Source: medium.com
One of the good ideas that you can consider is exporting your private keys to some external location. You need to understand that when you proceed with this, your keys will be displayed as clear and readable text. This means that they can be easily used for cybercriminals in case your account is attacked. This also counts for individuals in your area. They will be able to view your keys as well. For that reason, you need to start with your exporting process only if you are alone in some private area. Exporting your private keys to some alternative location does not refer to the fact that you are backed up and are available to you in an emergency situation.
You need to make sure that you are exporting them to the essential device or some virtual location and they are completely protected after the process of exporting is over. The exporting process will depend on what type of crypto wallet are you using. Therefore, it would be the best option to check the wallet provider’s platform and in the FAQ section find the answer you are looking for. Despite that, you can use search how to export your keys for some particular wallet on a search engine and find the answer in that way. In general, the process is pretty simple, and it comes with the huge advantage of knowing that you have a secure location prepared for your keys.
3. Backing Up the Wallet File
Source: medium.com
In case you want to back up your crypto wallet file, you should know that the private keys will be backed as well with the file. This means that they can be a viable virtual backup option. This is why we note in the previous text that it is important to finish the process while you are alone in some private area. If you do it in public, someone can take advantage of it. There is a not so difficult option of backing up the crypto wallet file by copying the master key to a text file. After that, you need to back it up to some separate device.
Additionally, you can create as an alternative a unique QR code and use it to store that master key and then print it. By doing this, you will create a physical form of backup that only you can access to. There is another option of storing the same QR code on a device. However, you need to be prepared that this performance will make the whole thing very suspicious to cyber thefts or malware. For storing a wallet file or QR code on a device, it would be best decision to use some software program that is developed for that purpose.
4. Physical Backup
Source: theguardian.com
In the previous paragraph, we mentioned a physical form of backup. This form is way more simple than any other backup method. This is because you will not need any technical knowledge, education, or device for it. Physical backup refers to using an object that is not virtual including a flash drive or even a paper for backing up your private keys. This method is very beneficial because you can avoid the risk of getting your private keys stolen by some cybercriminals completely. Also, they can not be lost via server crash or some technical malfunction.
Logically, even if you decide on this option you need to be careful where you will back up your keys physically so no one can see it. If you are going to write them down on a piece of paper, you should know how valuable that paper is. Therefore, make sure that no one can find it and access it. Keep your backup private keys somewhere safe in a secure location. Only in that way, you will be peaceful that they can not disappear.
