Image by mohamed Hassan from Pixabay
(Photo : mohamed Hassan from Pixabay)

Cryptocurrencies completely transformed our lives to the better  in so many incredible ways. Since the technology is based on an unchangeable record of transactions, it doesn't need third-party authentication by banks or individuals to confirm the validity or credibility of the data. That means that millions of people all around the world who didn't have access to banking finally can have digital wallets, be prevented from fraud and cut out third-party transaction fees. 

The economic potential of cryptocurrencies is huge, but despite all of the positive benefits many scientists note the increased risks of stealing cryptocurrencies right from your crypto wallets now. Why? Because the brutal if unconsecrated truth about such a promising technology is that it's not perfect, and it's also susceptible to hackers. In today's article, you will find out where scientists recommend storing cryptocurrencies. 

The safest way to store cryptocurrencies 

The evolution of security around cryptocurrency resulted in the development of a special type of a wallet called a hardware wallet. And now these wallets are the safest method to store cryptocurrencies. Many people are already using it to hold their crypto. According to data provided by experts at promocodius.com, the demand for hardware wallets has doubled over the past year. This means that more and more people are faced with the theft of crypto assets and want to protect them by buying hardware wallets. Only in the last month, 15% of all Promocodius website visitors were interested in buying such wallets, and almost 80% of them visited the site to get promo code Trezor and after that made a purchase.

What is a hardware wallet? 

It's a crypto wallet that stores your cryptocurrencies in a secure hardware device offline. You can disconnect it, put it offline, keep it in a safe, or keep it in a bank vault someplace. And if your systems, your mobile phone, or your computer were to get hacked into, there would be no way for a criminal to go through them into a hardware wallet that's kept offline. And these hardware wallets alo have screens on them and the ability for you to enter a physical password to unlock them before they can even be utilized. 

What if you lose your hardware wallet? 

Even if you lose your wallet, you don't lose your crypto, and there is no way to steal it. Many of the hardware wallet manufacturers have a list of key phrases that can be utilized to restore another hardware wallet with all your cryptocurrencies you held in the lost one. The typical use of the hardware wallet is that when you first initialize it, the manufacturers will have you create a list of 20-25 words. You take that list of words, you keep it in a very safe place, you store it separate from the hardware wallet. And in case if something has physically happened to that hardware wallet, you will have a way to restore it. But if you have a hardware wallet and you have no backup, and you have no way to restore that, and you physically lose it, your cryptocurrencies are gone forever.

Are hardware wallets secure? 

Just like any other technology, hardware wallets are only going to be as secure as the design that went into them from a hardware physical point, and also from the software that's running on them. There are lots of manufacturers of hardware wallets out there, and many of them have put out firmware updates in the past to close security vulnerabilities, and there even were a few that have been susceptible to physical attacks, to extract the private keys. And just like any other technology that you own, or anything that you want to keep safe, it's important that you maintain knowledge of the physical possession of that hardware wallet. Keep in mind that anybody who has physical access to that hardware wallet could potentially extract the contents of that wallet  and your private keys.