Cryptocurrency wallet apps are growing in popularity. After all, it’s no surprise that bitcoin and company trading promises terrible profits – and without much specialized knowledge.
The foray into cryptocurrencies seems almost continuous. Many people are feeling quick profits, and that’s not surprising given the history of cryptocurrencies. By comparison, while bitcoin was worth a good $1 in 2011, ten years later it was worth as much as $60,000. At the latest, when media reports began, the topic also stirred up philistines and speculators.
To take your rightful place in the world of digital currencies , today you sometimes need a crypto-wallet app. This serves as access to the “digital wallet”. With it, you can fully manage cryptocurrencies such as bitcoin or litecoin, that is primarily to buy and sell. The user acts completely independently and can perform transactions as needed. There is usually no fee for using the app; the developers get a percentage of the corresponding transactions.
Security of wallet apps
In principle, cryptocurrency wallet applications are, of course, already designed to provide a high level of security . They are essentially based on different keys and an address that is roughly comparable to an IBAN number. In contrast, you don’t need a bank to create the address; there are no commissions.
If the user discloses his address, he can receive payments. His personal login details remain secret. In addition, cryptocurrency wallet applications usually create two different keys. A so-called public key and a private key . The public key, shown in the figure, is a kind of lock that is sent to a second person. This uses the key to lock the cryptocurrency. Once the user receives it back, he uses his private key to open the lock again.
Of course, it remains so that the cryptocurrency is not physical, but remains in what is called a blockchain, a kind of virtual ledger in database format.
Cybercriminals spoof wallet applications
To capitalize on the ongoing hype surrounding cryptocurrencies, more and more cybercriminals are developing fake cryptocurrency wallet apps . In targeted campaigns, hackers try to primarily target newcomers and non-specialists. Fake wallet apps are distributed through fake websites and online ads (often on reputable platforms) and, not surprisingly, are advertised there as tools for secure transactions.
Cybercriminals primarily target user data. The fake wallet applications contain related malware that can spy on the entire device.
Protection against fake cryptocurrencies
Of course, app store operators are taking action against fraud. Earlier this year, Google removed 13 fake wallet apps from the Google Play store. Because Apple’s requirements are higher, cybercriminals aren’t even trying to place their fake wallet apps right there. Instead, they offer them for direct download on websites. To maintain a semblance of seriousness, they even display relevant notifications and warnings during installation. In reality, however, this only bypasses the established protections for iPhones.
To protect yourself from fake wallet apps, consider the following tips:
Never download an unknown app from a website
Use reputable comparison portals
Read reviews from other users
Install professional anti-virus software on your smartphone
Never use your company cell phone