The seed phrase has a great weight in the world of cryptocurrencies because it is the means that allows you to access your funds, losing it or making a bad management, would lead to the total loss of your assets.
In this article, we will talk about the most common mistakes so that you can avoid them.
Read on!
Not storing it safely
One of the practices that many users carry out is to transcribe their phrase on a material such as paper and then store it anywhere without taking the proper precautions.
You cannot treat this “code” as a simple password, with the simple fact that someone with a minimum of knowledge on the subject understands that they have in their hands the entrance to your cryptoassets, you are in trouble.
In most cases, users keep their passphrase at home, which is fine.
However, don’t trust family, friends or acquaintances.
Use a safe or some encryption device.
Write it in an accessible place
Apart from paper, writing your sentence on unprotected electronic files is not a good idea.
Although, we all have at our disposal a mobile device or a computer that allows us to create a reading type document.
There is a risk of hacking or theft of personal data.
To store it digitally, use tools that work by encryption.
Do not make backup copies
A backup copy is a lifesaver when it comes to recovering your funds in the event of an accident or theft.
Some devices specialized in storage by encryption, work as a seed phrase protector that, in turn, have the ability to generate copies with the use of add-ons such as NFC cards.
These cards require the device in order to do their job and take up almost no space in locked vaults.
Not using additional protection
Believing that storing the phrase in a digital wallet or on an unencrypted device is enough is another recurring mistake.
If we should define this action is a scale of “security”, we would still be at the minimum.
Don’t forget that we are talking about your assets.
Opt for strong encryption that requires two-factor authentication (2FA) as an extra layer of protection.
In cryptocurrencies, we don’t rely on banks or middlemen who will vouch for us.
Ignoring security updates
What is secure today will not be secure tomorrow.
As a species, we are in a constant evolution of things, every day we advance and bring up new methodologies.
Keep up to date with what’s new in terms of protection systems to take the next step and upgrade software or hardware if and when you see fit.
The same goes for applications and other services designed for the safety or security of seed phrases.
