Crypto Security Best Practices — How to Keep Your Funds Safe

Why Security Is Critical

Crypto transactions are irreversible. If someone gains access to your account or wallet, your funds are gone — there's no bank to call, no charge to dispute.

The good news is that most crypto theft is preventable. A few simple habits can protect the vast majority of your assets.

Exchange Account Security

Your exchange account is the first line of defense. Here's how to lock it down:

• Use a unique, strong password (16+ characters with symbols and numbers)
• Enable 2FA using an authenticator app (Google Authenticator or Authy) — never SMS
• Set up anti-phishing codes so you can verify legitimate emails from your exchange
• Enable withdrawal address whitelisting so funds can only be sent to approved addresses
• Use a dedicated email for crypto that you don't use anywhere else

Avoiding Phishing Attacks

Phishing is the most common way traders lose funds. Attackers create fake websites or emails that look identical to your exchange.

Always type the exchange URL directly into your browser — never click links from emails, social media, or search ads. Bookmark the real URL and use only that.

• Check the URL carefully — scammers use lookalike domains
• Never share your password, 2FA codes, or seed phrases with anyone
• Be suspicious of unsolicited DMs offering 'help' or 'opportunities'
• Verify communications using the anti-phishing code you set up

Hardware Wallets

For long-term storage, consider a hardware wallet like Ledger or Trezor. These devices keep your private keys offline, making them immune to online attacks.

Use hardware wallets for assets you plan to hold long-term. Keep trading capital on the exchange for convenience.

Hot vs Cold Storage

Hot storage means your crypto is connected to the internet (exchange accounts, mobile wallets). It's convenient but more vulnerable.

Cold storage means offline (hardware wallets, paper wallets). It's more secure but less convenient.

A good rule: keep only what you need for trading on the exchange. Move the rest to cold storage.

Bybit's Security Features

Bybit takes security seriously with multiple layers of protection:

• Industry-leading cold wallet infrastructure — most user funds are stored offline
• Mandatory 2FA for withdrawals and sensitive account changes
• Real-time risk monitoring systems that flag suspicious activity
• Regular proof-of-reserves audits for full transparency
• Anti-phishing code for email verification
• Withdrawal address whitelisting with 24-hour cooldown

What to Do If You're Compromised

If you suspect unauthorized access, act immediately: change your password, disable API keys, freeze withdrawals through your exchange's security settings, and contact support.

Time is critical. Most exchanges have security teams available 24/7 for exactly these situations.