The Steemit Crypto Academy Week 5: Security Problem With Cryptocurrency Homework Task of @gbenga
Hello Friends,
How are you doing. Today I'm here to present my Homework Task 5 on the topic : "Security Problem with Cryptocurrency" , that was given by professor @gbenga . In this post, I will discuss about a security problem with Cryptocurrency and and also share a personal experience with you.
Cryptocurrency is something that is face with serious security problem just as the way our e-money like Opay, Kuda Bank, PayPal, perfect money etc are faced with security problem. In this case, since this post is all about cryptocurrency problem let's look some the problems in cryptocurrency.
1. Problem of Loss of a wallet file
Cryptocurrency users are serious face with thief or loss of a wallet because their store it on their phone/computer. Storing of security keys on such places can be stolen or loss if the phone/computer hard disk crashes. It can also be stolen using malware. Should Incase you don't know Virus on our phones and computers are intensionally program that is written and program by a program to get and access into your file.
The security of cryptocurrency should be kept secretly under know circumstances should you disclose it to anyone because I have been a victim once. Now just imagine if your friend should have access to your phone or he asked you to send him WhatsApp and you gave him/her your phone to send it what do you think that person will do once he/she open your documents and see your private keys them. He/she can easily send it to his phone and import it into their wallet and start spending your cryptocurrency. So think the reason why users store their cryptocurrency security keys is because the keys are too complicated.
2. Problem of Spoofing payment information and phishing
This problem occur when a user want to transfer crypto to another another wallet address. He copy the wallet address correctly, but malware replaces the address in the clipboard with another one. The person might not be vigilant to check the address after copying it. Especially if the address is too long with many different characters in it. In this case I have have experience such problem. There was a day when I want to transfer USDT from my ,Roqqu wallet to Binance wallet I went to the Binance deposit address and copy TRC20 address in Binance and paste it in my Roqqu wallet because Roqqu is making use of TRC20 without me looking at the address twice. After making the transaction, i waited and waited without receiving the crypto in Binance. I message the both exchange until bi get tire of it. Now the reasons why this occurred was that; 1. The address is too long, 2. Malware add another figure to the address.
3. Problem of Incorrect User address
There is high risk when sending cryptocurrency to another wallet because the receiver name will my show just the address of the Crypto wallet that will show. This usually cost loss of cryptocurrency due to error in the address to which the Crypto transfer is made. For example in Ethereum, if tge last digit of the address isn't copied, the cryptocurrency would disappear into thin air or it will go to another wallet address.
4. Problem of Unregulated
Since cryptocurrency is not regulated people find it so difficult to invest their money in it, there is no risk assessment mechanisms, and also no guarantee of return on investment (ROI), except the word of honor of people who can up with the project.
5. It's difficult to track down illegal Account
In cryptocurrency it's difficult to track down and Account that being use for fraud. Not like bank that can easily track down any account that is used for fraudulent transaction.
# Thank You...
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@gbenga
A lot of people have lost funds due to issues not related to hacking. Issues such as transferring to the wrong address, loss of files, and so on. It is advisable to always check the address of the receiver well and also save files offline as backup.
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