#CryptoSecurity101 Best Practices for Staying SAFU (Safety Asset Fund for Users)

1. Use Cold Wallets for Long-Term Storage Keep your significant holdings in a cold wallet. Never expose the private key or recovery phrase online.

2. Hot Wallet Hygiene Only store small amounts in hot wallets for daily use.

Use trusted wallet apps with open-source and active development.

3. Enable 2FA (Two-Factor Authentication)

Always enable 2FA on exchange accounts and wallets.

Prefer app-based 2FA (TOTP) like Google Authenticator over SMS.

4. Back Up Your Seed Phrase

Write down your wallet's recovery phrase and store it in multiple secure physical locations.

Never store it digitally (especially not in cloud storage or note apps).

5. Beware of Phishing and Scams

Double-check URLs before entering sensitive data.

Never click on unknown links or download attachments from suspicious sources.

6. Keep Software Updated

Regularly update your wallets, firmware, and antivirus software to fix vulnerabilities.

7. Use Reputable Exchanges

Stick to exchanges with a solid security track record and insurance coverage (like Binance's SAFU fund).

Do not leave large funds on exchanges longer than necessary.

8. Multi-Sig Wallets

For greater security (especially for organizations), use multi-signature wallets that require multiple approvals for transactions.

Conclusion: hot wallets offer convenience for frequent transactions but come with higher security risks, while cold wallets provide strong protection for long-term storage by keeping assets offline. Use hot wallets for small daily uses and cold wallets to safeguard large holdings.