Trading in Bitcoins is the new avenue to trade and make money. It is buying Bitcoin at low prices and selling it at a higher price. The current trend in the rise of the price of Bitcoin makes it a very lucrative investment option.
Bitcoin trading is speculative. It is not supported by any legal authority like the financial regulatory authorities or the government. There are many trading platforms and software that provide tips on Bitcoin trading. This software uses algorithms to analyze the market status with high precision accuracy.
Consequently, they provide a high revenue trading experience for new and experienced traders alike.
Trading apps and software have now become crucial in Bitcoin trading because they are designed for people who do not have any experience. If you are a newbie in Bitcoin trading and are looking to earn money visit this site to know all about how to trade using high-level technology app.
As we are aware, the volume of money involved in Bitcoin trading is fairly large. It becomes imperative to consider the aspect of security very seriously. Some pointers like using a secure wallet, being wary of fake exchanges, phishing emails, malware, and hackers are a few of the preventive tips to avoid being scammed while trading in Bitcoin.
A prudent method to enhance safety is using a VPN. VPN stands for Virtual Private Network. VPN is an encrypted pathway that keeps your internet traffic completely private. We will discuss why one needs to use a VPN for Bitcoin trading.
1. Anonymity in trading
Bitcoin and other cryptocurrencies are pseudonymous. They collect trader data through KYC and AML. Though one trades under pseudo names, the real information of the trader is already out. To maintain the anonymous identity VPN offers features mentioned below, namely, ‘No log’ and ‘Kill Switch’.
VPN is more like a proxy server. The real IP address is hidden and the VPN server location is visible. VPN with ‘No Logs’ and ‘Kill Switch feature’ is crucial if one is trading in cryptocurrency.
‘No Logs’ feature, like the name suggests, does not log any previous websites, downloads, streams, and Google search. This feature is chargeable and preferable over the free VPN where data can be sold and privacy compromised.
The Kill Switch feature protects from tracing one’s real location by hackers. It disconnects the trading device like laptop or mobile from the internet and resumes service only after the VPN connection is back.
Though most crypto exchanges use end-to-end encryption for data protection, VPN provides enhanced security. In addition to preventing hackers from intercepting one’s data, VPN makes the entire activity anonymous and untraceable.
2.Protection of Financial Privacy
Trading in cryptocurrency is a decentralized process. There are no legal and regulatory authorities backing the transactions. There is no financial and data protection provided in case one faces loss due to malpractices like hacking or phishing.
It is the trader’s own responsibility to protect the wallet and the assets. Since the risk involved is high and a single person’s liability, it makes sense to increase privacy while trading. VPN provides additional security to the transactions since most exchanges are HTTPS encrypted.
It hides the IP address of the user and prevents IP tracking.
Legitimate VPN that provide 100% protection should be used and fake VPN avoided. Paid VPN is the safest and most reliable. Free VPN should not be used as the providers sell the trader’s private data to fund themselves.
3. Aids to deviate from geo-restrictions
Bitcoin trading is available all over the world and with each market, the currencies differ. There are some restrictions in trading accounts depending on the country of residence. Some markets are more feasible due to the options and tokens available.
Just like any streaming service, the crypto market will also verify the eligibility of the user’s IP address to determine if they can trade in their market.
VPN provides safety while one accesses crypto exchanges which are restricted by changing the IP address to make them appear local.
One can switch to the IP address of the country and trade like located in that country, provided the VPN has servers there. VPN ensures to not leave any trail of online activity.
In fact, not using a VPN is risky in a restricted market because the chances of freezing funds are high and it can also attract a lifetime ban from the market.
4. Helps Access blocked websites
There are many countries where certain websites are blocked. Some of those websites can be useful for Bitcoin trading to get additional data or communicate with peers. A VPN gives access to those websites keeping privacy and anonymity safe.
5. Protection while using Public Wi-Fi
Trading requires continuous connectivity to a trading app like Coinbase due to which traders sometimes opt to use public wi-fi. In such unavoidable circumstances, a good and genuine VPN should be used to avoid data leakage and phishing by malicious sources.
6. Prevalence of Cryptojacking
In cryptojacking, the hacker installs mining software and mines the bitcoins using the device’s CPU. Malware like cryptojacking tools is very prevalent. VPN protects the trader’s system from such malware.
It is implied that no VPN can provide complete foolproof protection from Malware, hackers, and viruses during trading. However, there is no alternative to a genuine VPN that is a fantastic privacy and anonymity tool.
Cryptocurrencies are encrypted and are already very secure. VPN provides an additional layer of security and assists to broaden the trading platforms from local to international countries where country-specific restrictions exist.
Bitcoins being a widely traded cryptocurrency are prone to market speculations. The financial and other legal risks involved are enormous. So buying a paid VPN with the ‘No Log’ feature becomes a priceless security toolset when used correctly.