How to Keep Your Crypto Safe

Most crypto losses are not hacks of blockchains but of people. Here is how to set up wallets, protect your seed phrase and avoid the scams that cause most losses.

Updated October 1, 2026 · 2 min read

Decide where your coins live

On an exchange: convenient for trading, but the exchange holds the keys. Use a large, reputable exchange, turn on two-factor authentication with an app (not SMS), and set a withdrawal address whitelist if offered.
In a hot wallet (phone or browser extension): you hold the keys. Good for everyday amounts and using apps.
In a cold wallet (hardware device): keys never touch the internet. Best for savings. See cold wallet.

A common setup is a hardware wallet for long-term holdings and a hot wallet with a small balance for trying new apps.

Protect your seed phrase

Your seed phrase is your money.

Write it on paper or stamp it in metal. Keep it somewhere safe from fire and water.
Never photograph it, never store it in email, notes apps or cloud drives.
Never type it into a website, a form or a chat. No exchange, wallet maker, support agent or airdrop will ever ask for it.

Be careful what you sign

Connecting a wallet to a site is usually harmless; signing is not. A malicious signature can give a contract permission to move all of a token from your wallet. Read what the wallet says you are approving. If a site asks you to "verify" or "sync" your wallet, close it.

Periodically review and revoke old token approvals using a reputable approval-checker for your chain.

Recognise common scams

Fake support: someone replies to your question offering help and sends you to a site or asks for your seed phrase.
Giveaways: "send 1 ETH, get 2 back" from fake celebrity or exchange accounts.
Fake airdrops: see airdrop scams.
Investment and romance scams: a new friend introduces you to a platform with impossible returns. Withdrawals stop working once you deposit more.
Address poisoning: a scammer sends you a tiny transfer from an address that looks like one you use, hoping you copy it later. Always check the whole address.

Keep your devices clean

Use a separate browser profile for crypto, install wallet extensions only from official sources, keep your system updated, and bookmark the sites you use instead of clicking links in search ads or messages.

Keep reading

Airdrop Scams and How to Stay Safe

Real airdrops reward users with free tokens; fake ones are one of the most common ways wallets get drained. How to tell them apart.

How to Spot a Rug Pull

Rug pulls follow recognisable patterns. These are the checks that catch most of them before you buy.

Educational content only, not financial advice.