While cryptocurrencies are believed to be hacked, proofed, and backed by the blockchain with numerous features such as being decentralized, secured. There have been stories of hacks in the past and victims who account for different causes of hacks which range from clicking phishing links, receiving flash tokens in their wallets, and cases of people gaining illegal access to their wallets and transferring out their funds.
There are different ways to lose your funds. One of these ways could be sending your assets to the wrong wallet address and this could be impossible or difficult to recover.
Below are ways you can lose your funds to hackers who are always on the lookout to gain access to your wallet and tips to prevent losing your assets.
While there are simple and easy security hacks to be conscious of such as ensuring the website is secured and with the HTTPS:// tag and no words misspelled as this could easily lead to a different website or a phishing link, using authenticators and other extra ways of approving transactions. Here are other common ways you can lose your funds to hackers:
- Your Private keys
Private keys are used to approve transactions, the private keys are a series of random numbers and alphabets for approving transactions and are wallet specific. You should never give out your private keys as anyone with your private keys can easily approve transactions without your knowledge and move out your funds. Ensure it is stored in a place only you can access.
Most times, airdrops will require you to send in your wallet address to claim tokens. Through most of these wallet addresses, a hacker can easily scan your wallet on explorer to see the value and start hunting for vulnerabilities in your wallet securities such as sending you phishing links or asking you to send your private keys and personal information to claim tokens. Ensure to do due diligence before pasting your wallet address.
- Buying Tokens With Fake Smart Contract Addresses.
One way to lose your funds easily is using a fake smart contract address to buy tokens on Dexes. Since there is no barrier to market entry in DEFI. Oftentimes, five tokens can have the same name but different contract addresses and are all listed on open marketplaces. Using the wrong contract address could mean you bought fake tokens which oftentimes to sell back is hard. Ensure to get the smart contract address of tokens from trusted channels.
Exchanges’ poor security architecture could contribute to most of the funds.
Past events of hacks of tokens, and funds on centralized exchanges have shown. In the case of hacks, users’ funds can be accessed by hackers and transferred out completely leaving the users with no choice.
The AFRIDEX Exchange is built to resist security glitches and problems that affect other exchanges leveraging a high level of security and authentication for withdrawals and notifications when malicious login is detected by our systems.
AFRIDEX Exchange is a blockchain-backed cryptocurrency asset exchange that is poised at redefining the financial sector by creating novel and unique trading features that will create interconnectivity among individuals and corporate organizations. The AFRIDEX Exchange set to be live in about four weeks amidst other use cases will help businesses and startups tokenize their businesses and innovations.
Learn more about AFRIDEX’s ecosystem, whitepaper, roadmap on our website.