Virtual currencies have expanded in size and strength in recent years, with Bitcoin leading the way.
However, with their greater use has come an increase in hacking and fraud.
And, because the regulatory structure is sluggish, Bitcoin owners have little options if their digital wallets are stolen.
Bitcoins are accessible via keys (addresses and passcodes) stored in a Bitcoin wallet.
If this digital wallet is not properly protected, hackers may be able to steal the keys and obtain access to the cash.
Cold storage is the most secure method of storing a digital wallet.
It entails holding Bitcoins offline — away from the Internet.
While the technology is less handy than encryption, it prevents hackers from exploiting it.
Last Updated on 2 years by pinc