How Common Are Cyberattacks in Cryptocurrency Trading in 2021

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The blockchain represents one of the safest systems today when it comes to transactions. However, the hackers are keeping track of the most recent innovations and try to find a way to break their security breaches. Therefore, you should learn more about all of the factors that might affect your security when you are keeping or transferring funds over any online platform. Also, there are various threats on the internet, which means that you should avoid any unknown websites and apps. The developers are constantly updating systems for increased security, but there is always room for some flaws.

When it comes to cryptocurrencies, the popularity of them is rapidly increasing over years, especially when it comes to some of the most popular options like ETH, BTC, XRP, and more. The main reason for such popularity is the high volatility and a chance to make a huge profit in case that the chosen coin or a token start growing. The best example is Bitcoin. If you have invested in Bitcoin only one year from now, you could have nine times more of your starting investment. 

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Besides BTC, there are many other options. You can choose between more than 2,000 different tokens and coins on the market. However, they have different structures and potential. Still, a lot of investors are interested in finding the next crypto that might have the same performance as Bitcoin. The best way to find the unit that has a great potential to become more valuable is to follow the movements on the market and read reliable articles written by experts.

When it comes to security, the safest way to keep your coins is on an offline e-wallet. On the other hand, the main issue is that a lot of people choose to store their coins over online exchanges, which is the least secure option. If you want to learn more about the methods of prevention of cyberattacks on your crypto trades, visit icoholder.com. Furthermore, we are going to introduce you to the frequency of cyberattacks and some of the most serious cases.

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Lazarus

Some of the biggest thefts related to online crypto exchanges are related to a criminal organization called Lazarus. This group, which is allegedly funded by North Korea, is responsible for hacker attacks on some of the biggest online exchanges like Bithumb, Coinis, Coincheck, and more. Each of these attacks resulted in millions of dollars’ worth of cryptocurrencies where the biggest case is worth over $500 million. The total amount that is stolen by this group is near $900 million.

Phishing Attacks

Phishing is a well-known method that scammers are using to steal private data. This technique represents the biggest issue when it comes to the crypto community since more than 50% of all cases of theft came out as a result of this technique. The most common targets are newly founded ICO trades. Also, they are not only focused on intercepting and stealing funds since there are some cases where hackers managed to steal the White Paper of cryptocurrency or steal the whole database of investors.

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Beware of Malware

Malware files and viruses represent the most common risks that you could face on the internet. Therefore, it is crucial to avoid unknown websites and suspicious files since they might infect your PC and steal your data. That is especially important if you are keeping your cryptocurrencies on your hard drive. This is important for people who are mining tokens since malware could result in the steal of their resources. Also, some of those infected files might cause your PC to anonymously mine cryptocurrencies without you knowing it.

Fake Registration Forms

The criminal organizations involved in these thefts are using various methods for stealing data and funds. In that matter, you should pay attention to the domain name of the website since they might use almost the same one as some popular online exchange when you are planning to buy or sell cryptocurrencies. Also, they might be using other methods of promotion, like e-mail marketing where you might think that it is a legit service and get into a scam.

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The Biggest Cases of Theft

The most secure way of avoiding issues with scammers is to learn more about the security and all possible methods that they might use to steal your funds. One of the most important things to know is that you should avoid storing your crypto on online platforms. The most common cases of theft are related to online exchange platforms.

We have already mentioned the Lazarus group, but there are some other similar cases, like near $500 million stolen from Mt Gox in 2014, $170 million from Bit Grail in 2018, $62 million stolen from Zaif Hack in 2018, and more. Some of them went bankrupt after these cyberattacks which caused a lot of people to lose their funds. In that matter, you should pay attention to choose only reliable and well-known exchanges as well since they could be able to recover from hacker attacks.

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Last Words

The main advantage of blockchain is that you can have fast transactions and remain anonymous online. However, the problem is that a lot of people believe that this system doesn’t have any flaws, while in reality, there are many cases of scams. Therefore, you should pay attention to the software you are using on your PC and avoid any suspicious sources, especially those that require download. Since this market is getting more popular in recent years, it is essential to stay safe. The developers are improving online platforms, but there is always some space for issues. However, if you choose to use only the safest methods for keeping your funds, the risks are very small.

The huge growth of prices of cryptocurrencies in recent months, especially Bitcoin has caused that many investors select this option over some other assets like stocks. However, the only way to trade with cryptocurrencies is through online platforms. In that matter, you can protect yourself only by relying on security measures and avoidance of unknown apps and websites.

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