Blockchain Security Protocols Need to be Updated

Security has always been a central issue when a new technology steps forward. In the case of Blockchain, we can no longer consider it a new technology. It has been around for quite some time, and its offspring, digital currencies, have also been around for a while.

But still, there are concerns over the security infrastructures and protocols of this technology. Especially, now when DeFi is growing more and more.

Decentralized Finance

DeFi or decentralized finance is a way of managing finances and approaching financial matters, as the name suggests, in a decentralized manner.

The amount of money that is being locked in this venue is growing day by day. In fact, so far more than $100 billion has been poured into this field.

As the amount of money and assets increase, so does the number of criminal activities. In fact, even though in 2020, the rate of crypto related crimes dropped by 57 percent, but DeFi related hacks did in fact increase.

Some of these attacks amounted to a great sum of money. For instance, Paid Network lost about $180 million in only a five days period. Another example is the PancakeBunny which lost more than $200 million due to an exploit.

The amount of money that is being lost, stolen, and otherwise exploited in the decentralized finance arena is clearly substantial. Because the area itself is quite a wealthy and affluent area.

So the security protocols for this portion of the Blockchain world is clearly very heavily needed. Since the lack of them or even defects in them could lead to seriously detrimental losses.

Variety in Attacks

When it comes to cyber-crimes related to the crypto world, there is not shortage in variety. There are so many different types of attacks that can potentially damage a project or a company to a great degree.

For instance, a 51 percent attack is when a group of miners get a hold of the Blockchain network. Because they are in control of more than 50 percent of the network. As such, they can impose their own protocols and make changes. Of course, they can also steal from the network.

Another example has to do with the exploits that are available for malicious intents and in order to be taken advantage of. For instance, early in 2021, more than 200 days of the transaction records were wiped clean from the network of XVG. It became the most severe security malfunction in its category.

So there are so many different ways in which Blockchain and its related services can be exploited. Some have to do with what hackers can come up with. Others have to do with the security holes in the systems. And some even have to do with lack of knowledge and awareness with regard to how to protect yourself in the realm of Blockading.

Whatever the reason may be, we must look for solutions to increase the security of Blockchain.

How to Increase Blockchain Security?

The fact of the matter is that no matter what we do hackers will always find a way. As they always have.

So, the point here is to learn how to protect ourselves in the face of all the threats and dangers. The easiest way is to use safe practices.

Perhaps one of the safest ways is to use a reliable and dependable crypto wallet. There are various security features that some wallets offer that could increase the safety of your assets to a great degree.

For instance, Counos Mobile Wallet offers wide variety of security measures that ensure no one can steal or hack your wallet.

Other than some powerful security features, such as Face ID, Touch ID, Email Confirmations, and Second Factor Authentication (2FA), Counos Mobile Wallet offers a unique security feature known as PIN code.

Users must choose their own PIN code and they are fully responsible for their code. The PIN code is used in all the important functions of the wallet, including making transactions.

The PIN codes are not saved anywhere online, or on any servers. So, they are not even recoverable. Users must write them down and keep them somewhere safe and secure.

In this way, no one can ever access your assets because they will never be able to steal your PIN code online.

Conclusion

There are so many security threats behind every corner in the realm of Blockchain and crypto. No matter how hard we fight them, there will always be new threat popping up.

The best way to ward off these threats is learn how to protect yourself. As such, your best chances are to use safe practice. Choose a safe wallet. Choose different security measures. Pick a safe exchange. Always research before you make a decision. And always pick complex passwords and save them offline in the form of cold storage. This way, you can give yourself a serious fighting chance against all the threats that lurk in the Blockchain world.

Source: Counos