Crypto Exchange Platform | Strengthening Security Measures

According to the ICO Rating study, just 46% of crypto exchange platforms satisfy the required security standards. On the other hand, the remaining 54 percent, which had inadequate security measures, exposed hundreds of investors and dealers. There are 100 exchanges in the same category, and they all have a 24-hour volume of above $1 million.

Security Concerns | Crypto Exchange PlatformPhishing vulnerability

Even with the finest technical precautions, protecting crypto exchanges from phishing attempts is tough. As a result, make sure your crypto exchange is phishing-proof.

Employee login credentials are not well protected

Employees at cryptocurrency exchanges frequently use weak passwords or keep their credentials in insecure ways. As a result, thieves have easy access to login information. This is why hackers frequently try to get access to employees’ personal computers first.

Protections for hot wallets aren’t present

To safeguard hot wallets, several crypto exchanges utilize single private keys. If an unauthorized individual has access to the key, they will be able to access the hot wallet that the key refers to.

Adaptability in transactions

According to proponents of Blockchain technology, these transactions are extremely safe since they are stored on an unchangeable record. However, it should be emphasized that each transaction includes a signature that can be altered before the transaction is closed.

How to Ensure the Security of your Crypto Exchange PlatformCreate a safe environment

It’s critical to give your database, server-side, and client-side technologies the attention they deserve. SQL injections are already common, and they continue to rumble across the internet and blockchain worlds. Malicious Java snippets provide a similar threat. Third-party programs are the only way to keep all of this in check.

How to Ensure the Security of your Crypto Exchange PlatformCreate a safe environment

It’s critical to give your database, server-side, and client-side technologies the attention they deserve. SQL injections are already common, and they continue to rumble across the internet and blockchain worlds. Malicious Java snippets provide a similar threat. Third-party programs are the only way to keep all of this in check.

Customers should be educated

It is critical for crypto exchange platforms to go above and beyond in informing investors and clients. This may be accomplished by publishing blogs on your website, utilizing social media platforms, delivering instructional newsletters or whitepapers on security issues, and more!

Make sure everything is covered

The purpose of the faults is for developers to discover and fix them, not for hackers to get access through the front door. Poor error handling can cause a slew of problems by exposing a lot more data about the exchange’s fundamental functionality.

Don’t forget about 2FA

Payment Service Directive 2 (PDA2 2) requires banks to use two-factor authentication (2FA) since it adds an extra layer of protection.

Install an SSL certificate

SSL certificates, or Secure Sockets Layer certificates, may go a long way toward winning your consumers’ confidence. An SSL certificate connotes that the user data remains encrypted and safe, and the site is entirely secure.

Consider the concept of cold storage

Cryptocurrencies kept in online hot storage are frequently targets of cyber-attacks. Another alternative is to keep them in cold storage, which consists of hardware wallets like Trezor.

Make a plan for your default security method

Even before Blockchain, there were always cyber-attacks taking place and failing – occurring due to hackers’ ingenuity, failing because of the lack of sufficient default security systems in place.

Don’t forget about KYC… It is necessary

Because it is the last item on our checklist, don’t dismiss it. This is just as crucial as the remaining points, if not more so, yet many exchange owners overlook it. KYC, or Know Your Customer, is a set of rules that crypto exchanges all around the world must follow.

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