Encrypting Bitcoin Wallets - Reading Assignment

Bitcoin Attacks
#41
  1. It is important because one can be protected from losing the coins when someone else has access to the file system of the wallet.
  2. The attacker can gain access to the funds in the wallet if there is no passphrase.
1 Like
#42
  1. Why is it important to encrypt your wallet?

Because the wallet file, if not encrypted, contains the private key in clear text.

  1. What is the risk of not having a password if an attacker gets access to your file system?

If the attacker is able to download the wallet file, he can easily import the private key in his wallet and instantly spend the funds.

#43
  • If the wallet.dat is taken it will at least take time to access it. Don’t use weak passwords.
  • They could steal all your funds.
#44
  1. Why is it important to encrypt your wallet?

Without encryption anyone with the access to our wallet.dat file can see our private keys.

  1. What is the risk of not having a password if an attacker gets access to your file system?

They can find the private keys inside the wallet file and take all your funds with them.

1 Like
#45

  1. To deny access to our private keys except to yourself.

  2. They will be able to access your private keys and spend your funds.

1 Like
#46
  1. To lock my account from attackers sending funds even if they gain access.
  2. Not having “Spectator Mode” will allow attackers to send funds wherever they want if they gain access.
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#47
  1. Because anyone able to access your computer can access your private keys and spend your funds. Without encrypting this file, it is the same as storing your private keys in plain text on your desktop, naming the file: secret passwords.
  2. Attacker can easily find the keys to your wallets and steal your funds.
1 Like
#48

An encrypted wallet makes it A LOT more difficult for a thief to steal a private key. It is like walking through a dark ally and encountering a burglar, encryption = BOOM PEPPER SPRAY.

Not having a password is the same as giving away your cryptocurrency automatically in the event of a virus/malware function.

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#49
  1. hacker can steal your funds.
  2. hacker can get access to your wallet and spend your funds.
1 Like
#50

  1. To protect private keys. It’s a good practice, in general, to encrypt sensitive data.

  2. A private key can be compromised and funds might be(will be) withdrawn.

1 Like
#51

1- Because otherwise your private keys are vulnerable.

2- They can easily access my private keys and still my hard working crypto.

#52

1-2) To secure your bitcoin. If someone gains access to your computer or wallet they can steal the bitcoin if it’s not encrypted

#53
  1. If you dont encrypt your wallet , anyone who gets access to your wallet.dat , rather your computer , can spy and get robb ofyou.
  2. In case you dont have a password protect - your private key can get stolen and after that your funds.
#54

  1. To ensure my wallet.date file is protected by password.

  2. The attacker can get the wallet.dat file from the file system and open the file using another wallet directly and steal the funds.

#55

1. Why is it important to encrypt your wallet?
It’s important to encrypto your wallet because of an individual gains access to your computer, they can steal your funds.

2. What is the risk of not having a password if an attacker gets access to your file system?
The risk lies in the fact that they can make a copy of your private keys and send themselves your BTC.

#56
  1. if I get hacked, it provides another form of defence to prevent 3rd parties from spending my bitcoin
  2. The attacker might be able to spend my crypto without my consent.
#57

1.it is extremely important to encrypt your wallet for security reason otherwise if anyone gets access to it your money are lost forever.

  1. Then if somebody gets access to your file system and you are not protected by a password, the hacker gets your private keys that gives him/her access to your funds
#58

1. Why is it important to encrypt your wallet?
To enable a second layer of security to encrypt your funds from malicious attacks, making it harder to reach your funds that are stored on the “wallet.dat” file.

2. What is the risk of not having a password if an attacker gets access to your file system?
Any attacker that get into your system will have an easy access to your funds since there is none security measure like a password. Meaning, it will allow anyone that access your system to easily spend your funds.

#59

  1. It is important to encrypt your wallet because this is the key to your bitcoin funds. Who ever gets access to this effectively has your money, or at least the opportunity to take them.

  2. The risk of not having a password if an attacker gets access to your file system is that they can take what ever you have stored on your computer, or leave themselves a backdoor to get access to your device in the future.

#60
  1. To protect access to your wallet
  2. The wallet file can be compromised and allow access to your funds.