Why are your crypto assets more at risk than ever before? How can you protect yourself?

As most cryptocurrency investors know, owning digital assets comes with risks such as losing your capital or assets through malicious attacks such as theft, hacking or fraud. Huobi Global has collected the vulnerabilities in the crypto market and what needs to be done to protect them.

The crypto risk landscape has soared in recent months, with Chainalysis reporting that $1.9 billion worth of cryptocurrencies was stolen in the first seven months of 2022. That is 60 percent more than in the same period last year. Major security incidents include the $625 million hack on Axie Infinity’s Ronin network in March, and more recently the $190 million cryptobridge Nomad hack.

It’s not just hacker attacks that users should worry about: they now face the risk of their assets being wiped out from crypto platforms facing liquidity problems or bankruptcy, or crises involving tokens such as TerraUSD and HUSD.

How can crypto users better protect their assets in this uncertain and volatile market?

First, since cybercriminals are constantly pushing the game forward when stealing digital assets, it’s important to find an exchange with security at its core. Huobi Global’s values ​​are strongly aligned with the long-term goal of gaining user trust, as a single security incident can jeopardize years of hard-won trust.

Protecting users’ assets from attacks

Huobi Global has implemented a comprehensive security system with blockchain security, wallet management, user asset protection and application security to defend itself from professional hackers.

In addition to installing anti-DDOS systems and a professional distributed architecture, the exchange keeps 98 of its digital assets in multi-signature cold wallets that act as a vault for less frequently traded assets. Unlike traditional crypto wallets, multi-signature cold wallets require multiple private keys to authorize a transaction. Such wallets add an extra layer of security, as multiple key holders are accountable to each other.

Huobi Global currently has a total of 15 private key controllers, ensuring that platform funds are safe and unaffected by the actions of a single party. Multiple security processes are in place to ensure the availability of private keys at Huobi Global. In addition, proprietary security hardware ensures the robustness of the central exchange storage.

Huobi Global also has an independent and professional security team with extensive experience in blockchain and wallet security. They have implemented a number of detection tools and measures to mitigate attacks on exchange systems. Every operational process at Huobi Global is secured through strict processes, many of which can only be achieved with the authorization of multiple parties.

All these measures have ensured that Huobi Global has not registered a single major security event that resulted in the loss of user assets since its inception in 2013, with an excellent track record that is unmatched in the industry.

Protecting its users from the token crisis

When popular token issuers such as TerraUSD and HUSD face liquidity problems, users are increasingly exposed to a different risk, causing their value to plummet. In such cases, Huobi Global’s strategy has always been to evaluate the situation in a timely and appropriate manner based on the interests of the user, to immediately inform users of the risks and to operate its platform on a user-oriented basis.

During the recent destabilization of HUSD, Huobi Global first warned users of HUSD’s liquidity problems on its official Twitter account, while the team worked with HUSD’s distributors to restore stability. Meanwhile, users could freely convert HUSD to other stablecoins like USDT or USDC. The liquidity problems proved short-lived as the price of HUSD started to recover around 10pm that same day, about 12 hours after the crisis started.

The loss of HUSD’s dollar peg compared to TerraUSD’s collapse three months ago, HUSD’s rapid recovery shows that Huobi Global’s decisive and timely actions are helping to avert a bigger crisis.

Huobi Global’s Commitment to User Security

Huobi Global is constantly raising its multi-level systematic protection to keep pace with the changing security landscape. Huobi co-founder Du Jun emphasizes the importance of exchange security, saying, “Users should always choose an exchange that works with industry-leading security standards to reduce the likelihood of asset loss.”

When there is a market crisis, Huobi Global believes in fulfilling its responsibility as an industry leader to protect the interests of users. This includes providing timely updates and helping users understand the risks.

Du added: “We also aim to maintain market stability by not suspending deposits and withdrawals regardless of market conditions, and this is a guarantee that we are on the side of users. While it is difficult for investors in a bear market to avoid the risk of popular token issuers failing or failing, choosing high-quality projects and platforms can at least help limit unnecessary losses.

“Huobi will continue to address future market crises in a timely and decisive manner, as part of our long-standing commitment to making user asset security our highest priority.”

Source: (BYZHA) – Beyaz News Agency