Rising standards for security in cryptocurrency

There are different contexts through which progress in cryptocurrency can be analyzed. To many, it’s still a technology in its early development phase. The successful revolutionary merge on Ethereum a few months ago is considered a big win in the blockchain space. Does this mean everything is set for mainstream adoption and a new bull run is just around the corner? Maybe not. Many other challenges are clearly slowing down the mainstream adoption of the ‘future of finance’. Built from the core with the decentralization mantra, one of the most appreciated attributes of cryptocurrency is its ability to put users at the center of control over their identities, assets, and rights. However, this seems not to be the case with most people opting for centralized platforms for the convenience and ease of use they offer.

Furthermore, regulation is no longer a buzzword. There is a big chance that there will be significant attempts to regulate the crypto space following the big crash of FTX. This crash is just one of the series of catastrophic events that happened this year where users lost all their money. Bridge hacks, rug pulls of different forms, etc. are becoming regular things. It’s quite evident that security is a significant problem and must be addressed as soon as possible if there is any hope for DeFi to go mainstream.

At this point, I believe that one of the most important questions crypto users should be asking themselves is how secure their assets are, as well as the security of whatever platform they have it on. The best option is self-custody i.e. being in control of one’s keys and seed phrases. Although, it may be quite demanding to do that, especially for average users interacting with a lot of decentralized applications. IMO, it’s better to take advantage of identity management protocols such as ORE ID and ENS since they provide the option to manage one’s assets from a single and universal account without having to deal with countless seed phrases which may get lost or fall in the hands of scammers in a moment of mistake.

Whatever the case may be, there is a significant spotlight on cryptocurrency at the moment, and the standard for security will keep rising. However, it’s everyone’s responsibility to ensure that their assets are secure in a time like this where a careless move can result in a total loss. Perhaps we will see some regulations in 2023. Until then, it’s best to keep assessing the security of one’s portfolio while checking the charts daily.

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