Threats Arise—Bitcoin Fund Security Still Intact

May 15, 2015
Bitcoin Fund Security

Bitcoin Fund Security

Bitcoin packs numerous advantages that complement the progress of today’s business landscape. Since the unveiling of this cryptocurrency, the world was then introduced to fast, reliable, and especially secure transactions that only existed up to this point in time.

However, together with the continual rise of Bitcoin to mainstream integration, several entities try to manipulate Bitcoin and hinder the realization of the latter’s full potential. This resulted in a number of disputes and doubts concerning Bitcoin’s ‘absolute’ security—one of its selling points and main advantages.

Following a recent report from the cyberspace security firm Errata, a notorious software known as the Virtualized Environment Neglected Operations Manipulation (VENOM) has been wreaking havoc to a number of Bitcoin organizations and businesses by compromising sensitive information within the Bitcoin firms.

It is now believed to ‘perfect’ its system to flawlessly steal more BTC right after it was patched. Experts are now wary that VENOM will be able to inflict more momentous damages to Bitcoin users. These dangers may have grave effects on the stability of the Bitcoin ecosystem.

On another note, Bitcoin users are presented with simple yet efficient ways to protect their data from threats such as VENOM and even other cyber attacks like the New Jersey DDoS attack. These procedures, in addition, are also done with ease, and do not require complex devices to fully safeguard the data of cryptocurrency users.

Separation of Bitcoin wallets and advantages of cold storages

When Bitcoin started, the majority of crypto-devotees put an effort to come up with a solution to further enhance the convenience of storing Bitcoin. Hence Bitcoin wallets were introduced.

However, this convenience comes with hazards such as Bitcoin hacking due to the fact wallets are operated via the Internet, making them extremely vulnerable for tech-savvy criminals.

Hot and Cold Storages

To eliminate this risk, experts suggest having separate wallets for Bitcoin. For instance, Bitcoin entrepreneurs can have a specific wallet for spending BTC and another for receiving payments.

To further optimize Bitcoin fund security, it is also recommended that users store their BTC savings wallet offline, and this can be done by saving the wallet’s data in hardware like USBs or external hard disk drives.

This way, the wallet for receiving bitcoins, which usually carries a handful amount, is intact and far from being compromised.

Moreover, cold storages come in different forms, and an example of this is the paper wallet, which has the QR code and address printed on a sheet of paper. As such, users can further amplify their fund’s security by having sensitive data kept on paper.

Users can access their offline wallet via Bitcoin apps like Blockchain.info and then proceed to scanning the printed QR code for account access or manually type in their passwords.

In this process, it is impossible for external factors lurking the Internet to get hold of that piece of data needed for BTC account hacking.

Further BTC security for Bitcoin bettors

Frequent Bitcoin users like Bitcoin gamblers can certainly apply the provided tips to keep their funds intact. However, playing in Bitcoin casinos require Internet connection, which makes offline storages useless most of the time for these bettors.

In this case, offline storages can still be used, but players must have a web wallet exclusive for online betting in order to keep the larger portion of BTC funds safe and away from the hands of the thieves.

FortuneJack

In contrast, Bitcoin bettors can assure data security by joining credible Bitcoin casinos that put customer security at the helm of their services. An example of a Bitcoin betting venue that prides itself on its in-game anti-virus software is FortuneJack.

Having the anti-virus software integrated on the FortuneJack’s platform eliminates the risks of data-hacking viruses like Trojan and malware. This guarantees secured Bitcoin games, translating to a player-friendly and remarkable betting experience.

Overall, despite further developments in the Bitcoin security sector, simple countermeasures such as those mentioned proved to show positive results. That being said, the Bitcoin ecosystem still continues to confidently evolve toward being the future’s largest industry.