The Top Three Bitcoin Challenges Revealed, And How Cold Storage Coins™ Puts Two Of Them On Ice.
Many people agree Bitcoin is risky business.
Sure, we’ve all heard those inspiring stories about folks winning big with Bitcoin, and becoming instant millionaires. But equally, we’re well aware of the stories of those who lose their digital fortune to theft, acts of God, or general carelessness. And between highly volatile markets, opportunistic hackers, and general human error, it’s not surprising to hear people say, “It’s just not worth the effort”.
While it is true Bitcoin investment comes with risk, it is also true that much of the risk you hear about is easily avoided by following some basics. So today I’m revealing the top three risks you need to know and how to eliminate two of them completely so Bitcoin is easy to own.
Bitcoin Challenge #1: Security
When people think of Bitcoin security, top of mind are online hackers. But security threats don’t just stop there, like a swarm of angry bees, they can follow you offline too.
Storing Bitcoin in an online hot wallet does make you a target for hackers. And even if the company hosting your wallet has the best security ever, hackers can get to you in other ways. Researchers from Positive Technologies demonstrated this by showing a weakness in our common SMS 2-Step Verification system. It was unbearable to watch how easily the wallet was hacked.
Hot wallets, if stored in an exchange are also subject to security risk if the exchange suddenly crashes, or goes out of business. Because when they go, any Bitcoin and Fiat currency you had stored with them disappears too.
To solve the online wallet risk investors choose offline cold storage, like a hard drive, paper wallet, plastic card or USB. But these also come with security risks. It’s common to see fortunes disappear when these devices are damaged, or malfunction. And some are even carelessly thrown out with the trash.
Bitcoin Challenge #2: Accessibility
A Bitcoin wallet without its private key is like watching a million dollars cash fall down a storm drain and float out to sea. The currency still exists, but you will never access it. It is estimated that 25% of all allocated Bitcoin to date, has been ‘lost’ due to inaccessibility.
It can be unnerving thinking about the accessibility risk. With every great solution you come up with, there’s still another thing that could go wrong.
Photographing your codes and storing them as an image is the same type of bad idea as making a word document. Once anything is digitized, hackers can find it.
Storing codes offline is far more secure, but the network risk is converted to hardware risk. Hard drives can malfunction, USB’s can be thrown away, paper can burn and memories about where you stored the codes can fade. And while keeping multiple copies is a good idea, it also increases your risk of forgetting where one copy is, and someone else conveniently finding it.
And of course, there’s little chance of remembering it off the top of your head.
Bitcoin Challenge #3: Volatility
At the time of writing, Bitcoin is valued at $7100. Two days earlier it reached an all time high of $7600, while less than 30 days ago it was sitting at a record high of $5300. In the 12 month period from July 2010, Bitcoin’s value increased by $30.92. In the last 12 months, the value increased by $7000. And by the time you read this, the value will have surged again, for better or worse.
So if you haven’t noticed, it’s a volatile market out there.
Aside from the obvious risk of losing everything in an earth-shattering crash, market volatility also opens up additional risks. A run on your exchange could send it bust, or at the least, a long wait for payouts.
But like any investment market – these risks are expected. And when you store your investment on a Cold Storage Coin™, volatility will be the only risk you have to face.
Put The Risk On Ice With Cold Storage Coins™
Professional crypto-experts agree, the most secure way to hold Bitcoin is with a Cold Storage Coin™, otherwise known as Physical Bitcoin. And while it won’t stop a volatile market, it does prevent all network security and accessibility risks.
How Cold Storage Coins™ Eliminate Security And Accessibility Risk.
Crafted from .999 fine copper, silver and gold, Cold Storage Coins™ have three values - the value of the wallet embedded on the coin, the value of the metal itself, and the value of the collectible coin. Your wallet address and private key are both permanently etched on the surface of the coin. The benefits are obvious.
As an offline cold wallet it is safe from hackers and exchange issues
Crafted from noble metals, it is damage resistant & corrosion proof
With its etched QR code, there is no hard drive circuitry to malfunction
As a collectible it won’t be tossed away in the trash
Laser etched keys and IDs mean you’ll never forget how to access your wallet
Cold Storage Coins™ are so robust, they can even withstand up to 30% defacing. But of course they’re not idiot proof, and attacking them with a jackhammer isn’t a wise investment strategy.
Making Access Easier, For Everyone.
Being easy to use, secure and collectible, a Cold Storage Coin™ doesn’t only avoid accessibility risk, but also increases access to those who are new to Crypto, and anyone who wants to be paid in Bitcoin, but doesn’t want the risk or trouble of a hot wallet.
Imagine gifting a family member or friend a copper coin pre-loaded with Bitcoin. Just like a store gift card they can spend it as currency; like a small piece of land, they can hold it for profit; and like a digital money box, they can top it up over time. And if you pay attention to top speculators, it’s not ridiculous to imagine $700 Bitcoin (0.01BTC) gifted to a newborn today, might be worth $5,000 on their first day of school.
There’s nothing quite like the feeling of physically holding real Bitcoin in your hand. And by removing risk, and increasing access through Cold Storage Coins™ that mysterious computer-coded currency is now the easiest way to own Bitcoin.
https://coldstoragecoins.com/blogs/news/put-bitcoin-risks-on-ice
