Crypto Wallets Fight Back Against Thieves with Advanced Security Features

Recent crypto thefts and phishing attacks that have been targeting famous cryptoofficials and influencers have prompted the introduction of new security measures tosafeguard users.

Coinbase, an American cryptocurrency trading platform, is introducing transactionpreviews and blocklists in response to an increase in cases of cryptocurrency theft.The crypto exchange announced on Jan. 30 that they had added a set of securityfeatures to their wallet app, which will make it easier for users to detect and takeaction against any fraud or scams.Integrating this tool into the platform gives users the ability to view an estimation oftheir token and NFT balance change prior to finalizing their transaction with theconfirm button.

Users will now receive notifications when a decentralized application (dApp) isattempting to withdraw tokens, as well as non-fungible tokens (NFTs), via a tokenapproval alert system implemented by the company.In addition, the company has incorporated new levels of permission control thatpermit customers to revoke connections to DApps from the app in order to reducethreat of possible weaknesses.The number of crypto wallet providers that have proposed ways to counter cryptoscams and phishing attacks is growing, with the crypto exchange joining the listwhich already includes Solana-based Phantom, Web3 wallet provider Ember andBitski.

On Jan. 27, two days after Kevin Rose revealed that he had been scammed out of$1.1 million of NFTs, Phantom highlighted the numerous security features its walletsoffer, such as transaction previews, an open-source blocklist, the ability to report NFTspam and burning.

The company gave an explanation of their transaction preview capability: 'Whenutilizing Phantom for a task such as minting an NFT, we scan the transaction andalert you if there is anything unusual about the website, coding or concerningtokens'.

Phantom blocks users from inadvertently connecting with a list of malicious domainswhich is kept updated by the community as an open-source blocklist.Ember, a web3 wallet provider, also provided a list of their security tools.This list features previewing of transactions, implementing token and NFT locking toprevent funds from being taken away through malicious transactions, as well as theability to revoke approvals.

Bitski announced on January 24th that it was in the process of integrating the 2.0wallet with several features, such as self-custody, a dapp browser, transactionpreview simulations, notifications about user activity, an in-app burner vault, andmore. Product designer Jasmine Xu stated that they were expecting to have all ofthese functionalities integrated into their 2.0 wallet within the coming weeks.Coinbase announced in a recent blog post that it will roll out a new feature within thenext few weeks that will enable users to check and revoke their current tokenholdings.

It is essential for crypto and NFT users to be aware of these features in order toguard against scammers and hackers who use various tactics to gain control oftransactions and redirect funds to themselves instead of the intended recipients.Deceptive tactics that can fool even savvy consumers involve phishing attempts,fraudulent airdrops encouraging people to click on.