If Blockchains Are So Secure, Why Is Everyone Getting Hacked?
If you keep up with cryptocurrency news, you have certainly heard about the cyber theft running rampant in the industry. According to CNBC, the total amount of stolen cryptocurrencies in just the first half of 2018 was $1.1 billion. With blockchains being touted as these amazing, impenetrable networks, you may be wondering how it is possible for so much crypto to get swiped.
The simple answer is that the majority of thefts have nothing to do with vulnerabilities in the blockchains themselves, but can instead be attributed to human error. With the traditional banking system, we rely heavily on the tools employed by our banks and governments to keep our money secure and often times, we can’t even see that these security systems are there.
With cryptocurrencies, you act as your own bank. You are solely responsible for the safety and security of your funds and without proper education on the subject, it can be quite easy to lose your digital coins. To make matters worse, cryptocurrency holders do not have legislative support to cover their losses in the case of a hack, so there is often no hope of recovering stolen funds.
Here is a full explanation of the most popular types of cyber theft and how you can avoid falling victim to one.
