Bettors can protect themselves from making poor betting decisions using readily available data like NBA odds on a BetUS platform.
In the same way, as an investor, you can protect your crypto despite the new and evolving risks that the modern world has to present thanks to advanced and sophisticated technology.
Being victim to a crypto scam is something that even professional and experienced traders sometimes fail at when hackers can compromise private wallets and their key information to steal massive amounts of money that can’t be traced back or reversed.
Stores and testimonies in line with such events highlight the evident possibility of fraud and loss when dealing with these new, volatile asset classes.
Many financial experts continue to advise passive investors to hold their portfolio cryptos to under 5%. Also, they advise them to avoid investing in crypto if the funds being used to invest is meant for savings or paying off debts that have high interest fees. However, when an investor feels that they are ready to invest and aware of all the risks involved, here are the various ways to protect their money.
Your Tips
There are certain common red flags with crypto scams that are quite similar to classic money-wiring scams or fraudulent activity associated with credit cards.
Common examples of red flags include:
- Obvious misspellings that you’d find in an email, on a social media post, or during any form of communication
- Unnecessary promises that say that the party will multiply your money
- Contracts that will bind you into holding crypto without being allowed to sell it
- Fake claims of being a celebrity or influencer
- All kinds of psychological manipulation that will feel like extortion or blackmail
- Crypto schemes that are trending on social media
- Promises in line with giving away free money
- Very little detail discussing where exactly your funds are going
Always Know When To Use Your Crypto Wallet
As you would do with your physical wallet, you also have the same responsibility when it comes to your digital one. Always practice responsible digital security habits, especially when handling large amounts of money.
According to experts, small-scale investors that are only investing a few hundred dollars in cryptos are better off keeping their investments on mainstream exchanges like Coinbase. But with large crypto investment values, it’s best to have a digital wallet for added safekeeping, because you can also use it at betting sites such as BetUS. You have the option to open a hot or cold wallet.
With hot wallets, these are stored online. While they are safe to use, they’re not as secure as cold wallets that you can use to store crypto offline on hardware. It’s worth noting that crypto held in hot wallets is not insured with the FDIC like the cash you find at the bank. Therefore, you’ll want to ensure that the money you store in your digital wallet uses robust security measures.
Here are several of the security feature a digital wallet should include:
- The ability to store a portion of your crypto in cold storage
- Two-factor authentication
- Private insurance policies
Keep Your Wallet Keys Safe
When you open a digital wallet, you’ll only get one unique key to use so you can access it. Should you lose this key or have it get stolen, you will face the possibility of losing the entire crypto altogether.
All digital wallet owners must have complete control over access to their wallet keys. This is because a very delicate process goes into manufacturing each code and assigning characters to it making it exceptionally personalized so your funds remain protected even when they’re in the virtual space.
Report Fraud
Always report fraud or any suspicious activity that involves cryptocurrency.
You can contact the following bureaus for further assistance and report the matter:
- The Federal Trade Commission (FTC)
- The U.S. Securities and Exchange Commission (SEC)
- The Commodity Futures Trading Commission (CFTC)
In addition, be sure to report the fraud to the crypto exchange that you’ve used to facilitate the crypto transaction if you ever suspect any foul play or trial of a bad actor.
