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How to Avoid an NFT-Scam
Dec 2, 2021
NFT is a new way of buying and selling pieces of art. The art is kept and dealt online and is stored on digital blockchain solutions. This means that there is a risk that hackers might want to steal our possessions especially with the increased price on crypto-art. Here is what you need to know in order to avoid getting scammed when dealing with NFTs on your phone.
Use an NFT Marketplace
When buying and selling it is important to use a reliable marketplace. In a time where more and more NFT is appearing, more marketplaces also surface. Some of them will appear to be real but aren’t. So be sure to check the name of the site and do some research before buying. Some of the most popular and expensive NFTs are so-called Cryptopunks and the scarcest ones are sold for several millions of dollars. You can use this guide on cryptopunks and find out how to buy them without compromising your security.
Use a Hardware Wallet
It may be easy and nice to store your Cryptocurrencies and NFT in a wallet on your computer or phone. However, this is not the safest option and even large crypto finance platforms have been hacked in the past, with one of the biggest being a 600-million-dollar hack. Due to the possibility of hackers stealing your digital belongings using a hardware wallet will keep you safe. The wallet is an offline physical storage that looks like an USB flash drive. You might also consider using an “air-gapped” computer that has never been online for storage of your favorite NFTs.
Use a Unique password
You might have a password that you have used for the last 20 years of your life. It is easy to remember for you but also for hackers. If you have used your password for so many years, you’ve probably also had your password stolen at some point. Many sites have been hacked over the years and your password might even be available online. So, if you want to keep your digital assets safe, create a new password that makes zero sense and store it physically in a safe place. Today several spy-apps exist for iPhone and Android, so make sure that no one besides you has access to your phone either.
Use Two-Factor Authentication
The price of NFTs and cryptocurrencies are rising so you need to secure yourself as much as possible. You can enable different two-factor authentication depending on the program used. This can be something you know, something you have or something you are. This means that the authentication can vary in form and be everything from an extra password to a voice recognition, that verifies that it is the owner, who is trying to access their belongings.
The most important advice however is to use your own common sense. If something sounds too good to be true it probably is. No matter how you are dealing with NFTs or how you are storing it, make sure that no one else besides you can access it with the above tips.