10 Key Steps to Protect Asset Security

In today's complex cryptocurrency environment, ensuring asset security is crucial. This article will introduce 10 simple yet effective steps to help you strengthen your defenses against phishing and other fraudulent activities, safeguarding your digital asset security.

1. Set up a multi-signature vault

Creating a multi-signature wallet for long-term held encryption is a wise choice. A multi-signature wallet requires multiple private keys to authorize transactions, greatly increasing security. Even if one private key is leaked, your assets remain safe. It is recommended to start with a 2-of-3 multi-signature strategy and consider using a hardware wallet as one of the signers to further enhance security.

2. Use a dedicated risk wallet

Daily trading activities should use a separate risk wallet instead of the vault that holds your main assets. Only transfer a small amount of cryptocurrency to the risk wallet when necessary. This way, even if the risk wallet is attacked, your main assets will remain unaffected. Some services allow you to delegate the permissions of the vault wallet to the risk wallet to perform specific operations without moving the assets.

3. Using the Trading Preview Tool

The transaction preview tool is a free browser extension that provides a visual explanation of a transaction before you approve it. These tools effectively prevent phishing attacks and help you identify suspicious or malicious transaction requests. Always use such tools for verification before approving any transaction.

4. Regular Review of Token Spending Permissions

Many Ethereum-based applications require users to approve "unlimited" token spending permissions. While this reduces the hassle of frequent approvals, attackers may exploit these permissions if the wallet is compromised. It is important to regularly review and revoke or minimize unnecessary unlimited approvals. There are dedicated platforms that can help you easily manage token spending permissions.

5. In-depth Research on the Project

Before participating in any cryptocurrency project, it is essential to conduct thorough research. Carefully read the project's documentation, FAQs, and whitepapers to gain a deep understanding of its details and potential risks. If a project lacks comprehensive documentation or educational resources, that in itself is a red flag.

6. Continuous Monitoring of Asset Status

Use portfolio tracking tools to monitor your cryptocurrency holdings in real-time. These tools can provide you with a comprehensive overview of the assets you hold across various wallets and platforms. Regular monitoring not only helps in understanding the earnings situation but also in timely detecting potential security risks or unusual activities.

7. Stay updated on industry trends

Stay updated on the latest developments in the cryptocurrency industry, especially events related to asset security, such as hacking attacks or exploitations. Being informed about this information in a timely manner can help you take preventive measures before potential risks impact you. It is wise to pay attention to reliable industry news sources and analysis reports.

8. Strengthen Web2 Personal Information Security

Even in a Web3 environment, it is equally important to protect your Web2 personal information. Take the following measures to enhance operational security:

• Use a secure email service
• Set strong passwords for different accounts to avoid reuse.
• Try not to associate your phone number with the encryption platform.
• Enable two-factor authentication, but avoid using SMS verification.
• Request the mobile operator to lock the SIM card
• Use and update antivirus software in a timely manner

9. Develop Emergency Strategies

Even with all precautions taken, one should be prepared for the worst-case scenario. Consider using professional Web3 security services that can help you quickly transfer assets to a predetermined backup wallet. Some advanced services can even detect and mitigate on-chain attacks at the millisecond level.

10. Actively report suspicious activities

If you encounter or discover any suspicious phishing or fraud activities, please report them immediately. You can post warnings on social media or submit reports to dedicated cryptocurrency fraud databases. Doing so not only helps others avoid falling into the same traps but also contributes to the safety of the entire community.

By following these steps, you can significantly enhance the asset security of your own encrypted assets and explore and invest in the digital asset world with more peace of mind. Remember, security is always the top priority in the cryptocurrency field.