Crypto Self-Custody Safety Tips

Pretend it's the 1990s and early 2000s on the internet, but instead of pop-ups tricking you into getting a virus, its mimic websites trying to trick you into sending them your digital assets.

Keeping your digital assets safe in your blockchain wallet is an important part of being in crypto. There are multiple methods, but the most important thing to remember with all of them is that YOU are the one in charge of securing your digital assets. There are no refunds or takebacks in crypto.

One of the more common practices for staying safe is using two or more wallets in combination, with the active wallet called a 'hot wallet' and storage wallets called 'cold wallets.'

Using hot wallets and cold wallets in combination allows for the diversification of assets, preventing you from losing everything in one fell swoop. By doing this, even if a hot wallet is compromised and emptied - the cold wallets would keep a significant portion of assets out of reach of the scammers.

Going further, having more than two wallets set up with varying degrees of access is another option. I personally prefer using four wallets in the following setup:

Degen Wallet

• A blockchain wallet intended for interacting with questionable websites and contracts. Holds the bare minimum necessary to interact with questionable websites and contracts. Should be considered compromised after use, with new wallets spun up as needed.

Hot Wallet

• A blockchain wallet that is connected to the internet and is regularly used to interact with blockchain networks. They can be browser extensions, desktop programs, an app on your phone, or even external hardware devices.

Secure Wallet

• A blockchain wallet that holds valuable digital assets and cryptocurrency that will be moved with some regularity, but not every day. Should be secured using a hardware wallet, such as ledger, or using a social recovery wallet.

Cold Wallet

• A blockchain wallet that holds valuable digital assets that you plan to hold for a long time. One option is using a hardware wallet that is then locked in a bank lockbox. Digital assets in this wallet are in deep storage and accessed rarely.

It's important to note that "Multiple wallets" also means using multiple wallet providers - not just spinning up 5 wallets in MetaMask on one PC. Ideally each wallet would be from a different service provider and on a different device