2FA: What It Is and Why It's Vital for Cryptocurrency Asset Security


2FA stands for two-factor authentication. Cryptocurrency platforms utilize it as an additional means of safeguarding data. Many users disregard it until they face a threat, not realizing the importance of securing their assets.

Today, hackers are capable of various exploits. Since 2016, they have shown increased interest in cryptocurrencies as its popularity has grown. Cryptocurrencies' inherent focus on privacy further complicates tracking cybercriminals.

Two-factor authentication addresses this issue.

What Is 2FA?

Two-factor authentication is an added layer of security. The primary layer consists of a username and password, which users use to access cryptocurrency platforms. 2FA provides a secondary confirmation that it is indeed you accessing the service.

How 2FA Works

Two-factor authentication allows access to a resource only when a user completes a specific set of actions—entering a code or following a link sent to their phone or email by the system. For an extra layer of protection, authenticators like Google, Authy, LastPass, etc., are also available.

Why Using 2FA Is Crucial for Security

If 2FA is enabled, you will receive a warning in case of any suspicious attempts to access your account.

It's important to note that 2FA via SMS is more secure than 2FA via email but less secure compared to using hardware-based 2FA.

A strong password combined with activated two-factor authentication ensures the security of your assets.