Blog / Crypto

Crypto Exchange Safety: A Checklist to Protect Your Funds

How to choose and secure a crypto exchange account: custody, 2FA, withdrawal whitelists and signs of a risky platform.

Pick the venue carefully

Look for a long operating history, clear ownership, regulation where you live, public security practices and a record of honouring withdrawals during stress. Proof-of-reserves reports help but are not a guarantee.

Secure your account

Use a unique, long password from a password manager and an authenticator app or hardware key for two-factor authentication. Turn on withdrawal address whitelisting and anti-phishing codes for email. Avoid SMS codes, which can be hijacked through SIM swaps.

Reduce exposure

Keep trading capital on the exchange and long-term holdings in a wallet you control. Spread funds across venues if you hold large amounts. Withdraw profits regularly.

Red flags

Guaranteed returns, pressure to deposit quickly, support that only contacts you first, unknown withdrawal fees and fake "recovery" services are classic scam signs. No legitimate exchange asks for your password or 2FA code.

A ten-minute security audit

Log in and check: is 2FA on with an authenticator app? Are withdrawal address whitelisting and the anti-phishing code on? Are old devices and API keys removed? Is the email account protected with 2FA too?

Your email is the master key to every exchange account, so secure it first.

If something goes wrong

If you suspect your account was accessed, change your email password first, then reset the exchange password, remove API keys, revoke sessions and contact the exchange. Take screenshots of any suspicious messages and never share a recovery code. Be wary of "support" messages that find you in chats and ask for details.

Self-custody basics

A hardware wallet keeps your keys offline. Write the recovery phrase on paper, store copies in separate safe places and never type it into a website or send it in a message. Send a small test amount first when moving funds to a new address, and double-check the first and last characters.

Key takeaways

  • Use app or hardware 2FA.
  • Whitelist withdrawal addresses.
  • Keep long-term coins off exchanges.
  • Guaranteed returns are a scam sign.

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Educational content, not financial advice.