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A cautious approach can help you avoid some of the dangers commonly associated with cryptocurrencies. #1Research the exchange before purchasing cryptocurrencies.
In the past, some cryptocurrency exchange platforms have suffered from hacker attacks. Go for one with solid security features, low fees, and ease of use. Before making any transaction, do some research on the exchange platform and try to find out the opinions of other users. #2Research cryptocurrencies before investing in them.
Read the cryptocurrency whitepaper. A standard for every new coin, this document is designed to help you understand the creator's use cases, scalability, and future plans. You can also join an online cryptocurrency forum to get ideas and advice to complement your own research. Internet searches can also provide useful information about a cryptocurrency's history and reputation. #3Store most of your cryptocurrencies in a secure crypto wallet.
Storing most of your cryptocurrencies in a secure wallet should give you some protection against theft. By using a hardware “cold” wallet you can mitigate the risk of losing your cryptocurrencies to hackers
Generally speaking, the safest way to store cryptocurrency is to keep it offline and away from those who could use an internet connection to get hold of it. To do this you can use a hardware wallet, also known as a “cold wallet” or “cold storage”. Digital wallets (i.e. “hot wallets”), which can be online or on your desktop, are more vulnerable to theft by hackers.
You can choose from several types of crypto wallets, also called cryptocurrency wallets, including hardware wallets offered by well-known names such as Ledger and Trezor.
The downside to hardware wallets is that they can be quite expensive and you will need a recovery seed to regain access to your cryptocurrencies if you lose or misplace your wallet. Still, right now they're probably the safest option.