Encrypting Bitcoin Wallets - Reading Assignment

Bitcoin Attacks
#242
  1. If you don’t encrypt your wallet, your info to your ownership of your coins are a stored in wallet.dat file in plain English for anyone to take advantage of
  2. Once an attacker has access to that information, they have access to your coins.
#243

  1. Why is it important to encrypt your wallet?
    To protect its content from malicious attacks.

  2. What is the risk of not having a password if an attacker gets access to your file system?
    They can steal your private keys and obtain all the wallets content.

#244

  1. A layer of protection, other way it is just there sitting, waiting for someone to take your keys if they get access to your data.

  2. He/she/it can take your PK and bye bye crypto. (no protection)

1 Like
#245
  1. To protect the contents and access to your wallet
  2. They will be able to access your private keys if they get the .dat file and there is no password to encrypt it and prevent access to it.
#246

  1. You should encrypt your wallet if you want to keep your funds.

  2. The risk is losing all of your funds.

#247
  1. so nobody can steal, use and spend your crypto and data
    2.loosing all your crypto
#248

1-To prevent an attacker from accessing your funds on your computer.
2-An attacker could access your files and steal your crypto.

#249
  1. so that if somebody else gets access to the wallet they cannot use it
  2. they can take all your coins
#250
  1. To secure your funds from being stolen.
  2. The attacker could spend the funds instantly.
#251

  1. So that if an attacker gains access to your device they would not be able to steal any funds.

  2. If someone were to gain physical access to your computer they could find your private key in your file system and then do whatever they want with the wallet’s funds.

#252
  1. It increases the difficulty required to spend your coins and adds a level of security from potential attackers.
  2. The attacker can gain access to my wallet.dat file and then spend my bitcoin.
#253

  1. It is important to encrypt your wallet because if someone gains access to your computer, they can use your coins.

  2. The risk of not having a password is that the attacker can start using your bitcoin money.

#254
  1. Why is it important to encrypt your wallet?
    To secure your investment and protect your investment.
  2. What is the risk of not having a password if an attacker gets access to your file system?
    They can get into your pc or phone, access your wallet and spend your crypto.
#255
  1. Important to encrypt the wallet i case someone has access to your computer they can use your bitcoins or if a malicious code is able to copy the file containing the wallet, they can see and spend the BTC.
  2. The Risk is Great as there is nothing to stop the attacker if there is no password to spend from the wallet
#256
  1. To avoid your coins from being spent. Even if an attacker were to gain access to the device on which your bitcoin wallet is running, they would not be able to do anything with the funds unless they also had your passphrase.
  2. They could access my wallet.dat file which contains the seed phrase, derived private keys and related meta data and steal the funds.
#257
  1. It is important to encrypt your wallet so someone can’t take your money or investments.
  2. By not having a password you are allowing anyone who gets on your computer or gets ahold of your computer files access to your money.
#258

1] Encrypting the wallet prevents some malware from grabbing the wallet file and uploading to a hackers computer. Any one who as physical access or has installed malware install that is looking for bank, credit cards and bitcoin data will be able to spend your crypto

2] any one who as access to the file system on your computer can find the encrypted wallet.dat file and then spend your crypto. With this file they can even clone your wallet on their machine then wait for some big deposit and move the balance off faster than you could. They dont need your computer if they get that wallet file before you encrypt it.

#259

Using 256 bit Hash Algorithms Encryption just doesn’t seem secure enough for me. It reminds me of back in the days when the banking industry were digitally transforming to the online platform where they were building Encryption Tunnels with 56 bit encryption. Back in those day especially the Investment Banks, they really believed you had to be a Quantum Mathematician or Quantum Physicist before you would be able to crack the encryption tunnel. How wrong were these people to even had thought that way back then, the same way I believe 256 Hash is just not secure enough for Bitcoin or Altcoins.

#260

1. Why is it important to encrypt your wallet?
To make sure my funds are save from attacks of hackers

2. What is the risk of not having a password if an attacker gets access to your file system?
Then your funds are not protected and hackers can send them to their own wallet -> “not your key not your coin”

#261
  1. Encrypted wallets make it much harder for someone to gain access to your funds than non encrypted wallets.
  2. So even if someone got access to the computer the wallet was stored on they wouldn’t be able to access funds