NFTs are one of the foundations of web3. This series will introduce NFTs through 30 short articles, allowing everyone to understand and master the relevant knowledge about NFTs from scratch.
In the previous article, we learned how to choose NFTs. After purchasing NFTs and other digital assets, it is important to ensure their security. Therefore, we need to understand the types of wallets. This article will discuss this topic in detail.
Access to encrypted wallets requires authentication. We can log in to our accounts by authenticating through mnemonic phrases, private keys, and other forms. Online encrypted wallets are at risk of being hacked, so there is a demand for offline wallets to securely store large assets. This is where hardware wallets come into play.
We commonly refer to online wallets and hardware wallets as "hot wallets" and "cold wallets," respectively. A hot wallet is a digital wallet used for frequent online transactions, while a cold wallet is a physical wallet used to store large assets with lower usage rates.
When using a hot wallet, it is important to pay attention to security precautions. For example, setting a login password for the MetaMask wallet to prevent unauthorized access and closing the computer screen or locking it when leaving the computer to prevent unauthorized wallet operations.
On the other hand, a cold wallet is like a portable hard drive. We connect it to the computer via a USB interface and it only functions as a wallet after entering the password. Therefore, a cold wallet is much more secure than a hot wallet. To access our digital assets, others would need to possess both the hardware and the password, which is obviously more difficult to achieve.
After acquiring NFTs, we must prioritize the security of our assets. Whether we store them in a hot wallet or a cold wallet, we should keep the passwords, mnemonic phrases, and hardware (in the case of a cold wallet) in a secure place.
The remaining precautions are some of the details mentioned in our previous articles, such as:
- When using links related to NFT projects, only use addresses published by official Twitter and Discord accounts.
- Before linking a wallet to a new website, double-check the website address. Some scammers may use addresses similar to those of the project to deceive us, such as replacing "KIss" with "KLss," etc. In any case, we must repeatedly confirm when it comes to transactions.
- Keep the mnemonic phrases offline and store them in multiple locations after making backups. Do not send them to anyone.
- Before making a transaction, double-check what the signature means. Some signatures mean "login," while others mean "transaction." This is important because encountering malicious deception could result in the loss of all assets in our wallet.
All of these precautions may seem tedious at first, but with patience and practice, you will naturally become proficient in these details. If you have any questions, you can always join my Discord channel for a chat. The address is provided at the end of the article.
I hope you can freely navigate the digital world, but always remember: prioritize security and protect your assets!!
For more information:
If you have 10 minutes and want to stay safe when signing transactions, take a look at Pocket Universe. It is a free tool that protects you from transaction fraud and phishing: https://pocketuniverse.app/
If you want to learn more, you can also find me in these places:
Digital Territory: HoodrhXLog: Hoodrh
Twitter: Hoodrh
Discord Chat Group: Hoodrh
Mirror: Hoodrh
SubStack: Hoodrh
Nostr: npub1e9euzeaeyten7926t2ecmuxkv3l55vefz48jdlsqgcjzwnvykfusmj820c