The internet has become an indispensable element of our daily life. We use it for work, play, communication, and other purposes. You probably weren’t considering it, but what would happen to your digital assets if the Internet went down? The prospect of such an occurrence is horrifying. It does, however, make you consider your present digital setup and how you may avoid losing your cryptocurrencies in such a circumstance.
First and foremost, let us clarify: Cryptocurrency is more than just money. It is a decentralised computer network that creates/stores/tracks/sends money. Each PC in this network has its own log. This log is known as a “blockchain.” The machines in the network are referred to as “miners.” Miners utilise specialised software to generate new “blocks.” These blocks are introduced to the blockchain and include new cryptos. New cryptos are created after the blockchain is finalised. The blockchain is a “chain” of these blocks that contains a record of all transactions.
You won’t be able to send or receive cryptos if the Internet goes down. They will not be able to be stored in a digital wallet. You will not be able to exchange them for other cryptocurrencies or sell them for cash. You will be unable to access any exchanges or check the price of your investments. You will not be able to purchase them online or utilise a “paper wallet.” You will be unable to access any websites that accept bitcoin as payment. Bitcoin will effectively die if the Internet fails.
You can keep your cryptocurrencies offline in two ways: on a hardware wallet or on paper.
A hardware wallet is a physical device that connects to your computer and is used to store your cryptocurrency. Because the hardware wallet operates in the background, your funds are protected even if your computer becomes infected with malware. Simply connect the hardware wallet to your computer and send the coins to complete a transaction. The one disadvantage of hardware wallets is that if you lose the device, you lose your coins, thus you must keep it safe.
Alternatively, you can use a dispersed network to protect your virtual currency and take advantage of the most recent advances in computer technology. To store your bitcoin on a distributed network, you can utilise a blockchain-based network such as Sia or Storj. This manner, even if the primary internet service providers in your area go down, you can still access your cryptocurrency by using the decentralised network.
This sort of security is best appropriate for virtual currencies that employ a decentralised network to store data, such as Bitcoin.
Keep your coins away from the grid. The most straightforward strategy to safeguard your virtual currency is to keep it off the grid. Make certain that your coins are not stored on a computer or in an internet-connected wallet. This makes it simple for hackers to steal your coins. Rather, keep your coins offline in a paper wallet.
Sign transactions offline. If you do opt to retain your virtual currency on an internet-connected device, use the offline transaction signing tool, which allows you to produce a digital signature without transferring your coins over the internet.
Check the security of your computer. Make your computer safe to protect yourself from malware and hackers. Install antivirus software, configure a firewall, and encrypt all internet traffic with a Virtual Private Network (VPN). These basic precautions will assist to keep your computer secure.
Disclaimer -We have collected this information from our direct sources, various trustworthy sources on the internet and the facts have been checked manually and verified by our in-house team.