German Federal Office Urges Users to Use Hardware Wallets to Store Digital Assets
According to CryptoSlate, the German Federal Office for Information Security (BSI) has recommended that cryptocurrency users use hardware wallets to protect their digital assets, stating that hardware wallets are the safest way to store digital assets, and explaining that these devices can help keep users' private encryption keys in offline or "cold" storage. BSI warned that while exchange-based custody is more convenient, it is highly vulnerable to hacking attacks. In contrast, self-custody wallets on mobile phones or personal computers also have significant security vulnerabilities. Given these risks, BSI recommends using hardware wallets as the best choice for protecting cryptocurrencies.
