There's Something Important You Should Know About Bitcoin

Authored by Simon Black via SovereignMan.com,

After spending the last few days in the Philippines scouting new factory locations for one of my businesses, I flew back to Singapore this morning to conclude negotiations with a large, publicly-listed conglomerate that’s made an offer to buy one of our assets.

It’s been a hectic trip so far. But while in town, I had a chance to see my friend Gregor again– the entrepreneur I interviewed in last week’s podcast discussion about precious metals vs. cryptocurrency.

In the podcast, Gregor and I talked about Bitcoin security– specifically the fact that very few people properly (i.e. securely) store their cryptocurrency.

And the more valuable these cryptocurrencies become, the higher the likelihood of theft.

For example, hackers are now frequently engaging in sophisticated phishing attacks, in which a user will receive an email with a subject line like, “You’ve just received 0.02841 BTC”.

Naturally, most people open the email.

The email goes on to state that the user has received a Bitcoin payment, and to please log in to his/her online Wallet to verify the transaction.

Once again, most people click on the link and attempt to log in to their wallet accounts.

The page they click on looks almost exactly their online Wallet provider’s website. But in reality it’s a fake.

So whenever an unsuspecting victim enters his/her username and password on the dummy website, they’re basically just giving that information to the hackers.

Tricks like these end up scamming people every single day.

Then there’s the risk of the online wallet websites themselves being hacked.

Or, if you hold most of your crypto on your computer or mobile phone, your own device could easily be hacked.

If you’re old enough to remember all the online scams from the early days of the modern Internet 15-20 years ago, that’s basically what’s happening in cryptocurrency today.

Gregor and his team have designed a new security standard to fight against these threats; specifically it’s a way to store Bitcoin and other cryptocurrencies offline, and he alluded to this in our podcast last week.

We received so many inquires about this from our readers, I thought it would be useful to send you a link to what he’s doing so that you can see for yourself.

You can download the explanatory paper here.

At a minimum, the paper is an excellent overview of the weaknesses and security risks inherent in common Bitcoin storage methods, so it’s a nice, quality, free education.

Comments

Laowei Gweilo Son of Captain Nemo Mon, 11/27/2017 - 21:57 Permalink

>>> "After spending the last few days in the Philippines scouting new factory locations for one of my businesses, I flew back to Singapore this morning to conclude negotiations with a large, publicly-listed conglomerate that’s made an offer to buy one of our assets." <<<After spending the last couple days banging thots in my Buggati, I landed back in my castle to begin checking Zero Hedge. Then I saw this article.TOTALLY RELEVANT TO THE ARTICLE. What a retard. 

In reply to by Son of Captain Nemo

adr ILoveGooold Mon, 11/27/2017 - 15:51 Permalink

99% of the new crypto speculators do not have any idea of offline storage. They are opening exchange accounts and thinking they are secure. Coinbase has no fiduciary duty to protect your identity or privacy. In fact to open an account you are pretty much handing them your entire identity and hoping they won't do anything with it.

In reply to by ILoveGooold

floosy Mon, 11/27/2017 - 15:48 Permalink

Surely the headline should read"There's something important you should know about using the internet" And that is this: DONT CLICK ON UNSOLICITED FUCKING EMAIL LINKS

adr floosy Mon, 11/27/2017 - 16:04 Permalink

There was an issue with the East Coast node and portions of the internet were completely offline. You don't need to take down the power grid, just the DNS and just about everything is inaccessible even if the connection still works.I remember the server cluster under one of the main walkways on campus. If a fire was detected and you were inside, you were essentially dead because those servers were worth far more to the system than anyone's life. The doors would shut automatically and the fire suppression system would activate. If that server farm went down, so would the internet on the east coast.

In reply to by floosy

AGuy adr Mon, 11/27/2017 - 17:41 Permalink

"If a fire was detected and you were inside, you were essentially dead because those servers were worth far more to the system than anyone's life. The doors would shut automatically and the fire suppression system would activate"

Doors are always shut in DataCenters because of cooling & dust, but the doors are never locked. Most Datacenters got rid of Halon Systems. Odds are if there is a fire it won't be the fire suppression system that kills you.

"You don't need to take down the power grid, just the DNS and just about everything is inaccessible even if the connection still works."

DNS is not neccessary to access a server, Just the servers IP address. Its just that 99.9999% of people connect to servers using names, not IP addresses.

There are about 30 root DNS servers, so even if one is destroyed the other 29 will continue to work fine. Root DNS servers are distributed globallly, so it would be difficult to take them all out. its also possible to get a copy of the Master DNS db that the Root DNS servers use.

In reply to by adr

Number 9 Mon, 11/27/2017 - 15:51 Permalink

and the prince of Rhodesia has some money for me too..if people are this stupid, they need to be fleeced..never give a sucker an even break.. 

Pendolino Mon, 11/27/2017 - 15:56 Permalink

"Naturally, most people open the email." Most people are therefore idiots, naturally. "Once again, most people click on the link and attempt to log in to their wallet accounts."Most people deserve what they get (taken).Most people - what the fuck are they for again?