If you haven’t invested in Bitcoin yet, there’s no better time than now to do it. Worldwide, governments and central banks acknowledged Bitcoin as a legitimate asset, and this can help ease uncertainty about how cryptocurrency regulation will be set in motion in the future.
The launch of Lightning technology has made Bitcoin usable for day-to-day situations (in other words, the stuff of life). For example, you can ask for a fresh burger at Burger King or pay for your flight. The best way to buy Bitcoin online is via a reliable exchange like Binance, which doesn’t charge deposit fees.
When trading Bitcoin, it’s a good idea to use a VPN that provides a secure, encrypted tunnel for you to browse in and, above all, doesn’t keep a record or log of your activities. Even if cryptocurrency exchanges are encrypted, you can better protect your digital assets with a VPN than without one.
It’s better to be safe than sorry. If you’re still not convinced a VPN is a necessary tool when buying Bitcoin, you’ll change your mind after reading this article.
The Most Common Bitcoin Risks to Know About In 2023
Investing in Bitcoin is risky if you don’t do your homework and follow the recommended cybersecurity practices. Put another way, it’s essential to protect yourself and stay anonymous while trading Bitcoin to make it more difficult for others to trace your identity. To avoid any difficulties, make an effort to understand some of the most common security risks in 2023.
There’s increased potential for:
➤ Fake Cryptocurrency Exchanges. Unregulated trading platforms trick victims by posing as legitimate exchanges. If you try to withdraw your funds, you’ll discover the money is gone. A fake cryptocurrency exchange usually begins with http:// instead of https://, has a questionable interface, and conducts excessive communications. Stick to a trustworthy exchange like Binance that makes it easy to buy Bitcoin.
➤ Cryptojacking. The threat emerges within a computer or mobile device. Simply put, someone takes control of your gadget (i.e., a cybercriminal) to hijack your resources and mine Bitcoin. Harmless as it might seem, cryptojacking is a severe offense. The new tokens and fees are deposited into the attacker’s account, so the impact isn’t only performance-related.
➤ Using Third-Party Software. You must report the transactions for tax purposes if you buy Bitcoin and later sell it for a profit. You might leverage third-party software to handle cryptocurrency tax reporting, which leaves huge vulnerabilities that hackers or malicious programs can exploit. Do your own taxes or hire a pro to determine your gain or loss.
Protect Your Bitcoins from Theft and Hacks with a VPN
If you’re new to the world of VPNs, you might be wondering to what degree a VPN can help secure your trading. Well, Bitcoin isn’t fully anonymous, and while it can hide your identity, it’s not foolproof. It’s possible to find information about transactions on the blockchain, like how many tokens have been received/sent or what address was involved in the transaction.
The point is that it’s easy to track your financial activities once you undergo a KYC verification; banks will refuse to open an account and even stop doing business with you if you fail to meet the minimum requirements.
A VPN encrypts your Internet traffic and identity online, so it’s difficult, if not impossible, for third parties to steal your data. Equally, a VPN allows you to connect to blocked websites, which is useful in the case of geographic restrictions. Once the location is verified, the interested party blocks the IP address, therefore, limiting access to online content.
As a rule, cryptocurrency exchanges prevent entire countries from connecting to their websites or mobile apps. To get around geo-blocking, you must connect to a VPN, as it replaces your current IP address with a temporary, country-specific IP address.
Malicious actors try to take advantage of naïve investors by promising generous returns in short periods of time. In other words, bitcoin trading is a high-risk activity that can have severe financial penalties if done incorrectly. A VPN conceals your IP address, location, and basically all your digital activities, protecting you from fraud and other criminal activities.
Using a VPN may slow down your Internet connection, but there are a few ways to get around this issue – for instance, you can connect to a server that’s closer to your physical location. At any rate, you can confidently trade Bitcoin, knowing that your transactions are secure and private.
How To Use A VPN For Bitcoin Transactions
Using a VPN for buying Bitcoin is as simple as 1-2-3. If you don’t believe us, check it out for yourself.
- Download & Install the VPN On Your Device.
- Register A New ID Or Log in Using an Existing One.
- Connect To One of The VPN Servers & Achieve Online Freedom.
As you can see, using a VPN doesn’t require IT knowledge; it just takes a few simple steps. VPNs are easier to use than ever. Of course, you shouldn’t forget about basic security practices because you can put yourself at great risk. Threat actors have spent decades perfecting their tricks to con even the most cautious trader, so be careful. Don’t click on links that promise to bring you to a cryptocurrency exchange or wallet – it’s the fake version of the website created by the hacker.
If you store your Bitcoin on an exchange, you trust the online platform won’t get hacked. Unfortunately, high-profile thefts have occurred on cryptocurrency exchanges, so it’s not recommended to store all your funds online. Take your Bitcoin offline and store it in a cold wallet because it holds fewer risks of being compromised. It’s not advisable to store large amounts of Bitcoin in a single wallet, safe as it may be. Use multiple wallets for your digital assets to increase security, even if it takes a lot of time and energy.
Hacks and fraud cases related to cryptocurrency have increased significantly, and even if attempts are made to reinforce security, the number of crimes continues to grow. Consequently, it’s recommended to use a VPN to buy Bitcoin and operate safely.