Keep your Bitcoins safe!
Now that some of you are earning Bitcoins, here are a few tips to keep your Bitcoins safe.
- Keep multiple wallets – Having too much Bitcoin in a single wallet can lead to disaster if a hacker gains access to it; especially if that wallet is is on a website like coinbase – it would be wise to store the majority of your Bitcoin offline with something like Multibit. You can use Multibit to maintain multiple wallet.dat files that are encrypted with strong passwords. I recommend not using any passwords that you use for any website or online service.
- Keep an offline wallet – Bitcoin is essentially one huge ledger, you can keep a copy of your bitcoin offline so that hackers can’t get to it. You can even create a “paper wallet” which isn’t quite as secure, but it easier to maintain. Details can be found here.
- Keep your wallet addresses somewhere safe. Again, these cryptographic names are confusing and not easy to remember. Make sure you have a copy of the address itself somewhere you can access it, even if it’s a piece of paper in your wallet. There are plenty of horror stories out there of those losing lots of money.