Trust No One: Custodianship And The Importance Of Securing Digital Assets - Joseph Wang @ TOKEN2049

[Music] thank you that's a wonderful welcome great introduction of myself it's really really exciting to be here with all of you guys today in Hong Kong I'm super excited when I talk about Bitcoin because I know a lot of you here are on the same on the same bench thinking about the same thing wire into crypto currency or Bitcoin to me the fundamental value of the core value of a currency it's that it enables all of us to be in full control of our money or digital asset because nobody on this planet can stop you from transacting sending or receiving Bitcoin due to the networked advantage so today my topic is trust no one including me you got to trust yourself or trust the network it enables every single one of you who owns this powerful device give you the ability to transact on the network so so I'm going to talk about Bitcoin or cryptocurrency hartwell wallet today custodianship in today's topic I would consider that as if you hold your Bitcoin out in exchange you are giving away your custodianship to the exchange they are the counterparty risk you don't hold the private keys in the crypto world that we all know if you own the keys you own the coins if you don't own the keys you don't have the coins and a lot of people don't understand that that's understandable I didn't understand from day one that's why I got hacked it's around seven bitcoins it's worth around sixty seventy thousand dollars still chunk of money so after that I decided to find a better solution which I found out treasure a very very powerful tool that enables me to hold my private keys nobody can apprehend that or steal it I have the freedom to choose who I want to send bitcoins to now the importance of the the importance of using this device is not only that give you the freedom to transact but also give you the peace of mind you can sleep better at night let me go to brief introduction of myself I've been a business entrepreneur since 2004 2004 I've been running my own business online since then and I've been involved with cryptocurrency since 2014 have gone through a lot a lot of the roller coaster rides I tell you you gotta have a lot of guts to be in this space you see the price at twenty thousand dollars one day next day you see it at 5,800 that is a lot of mood swing and it's painful for people who actually got in at such a high price looking at no ends from the continued dropping in price in value its I call that bleeding it's of course it's very painful you're losing your hard-earned money and I'm a passionate believer and advocate of cryptocurrency ever since I found out about Bitcoin in 2014 at a CES show in Las Vegas and of course the blockchain technology is definitely sound for our future crypto h-w wallet is a brand for its accessories you should look on the bottom and we are a crypto Hardware wall a superstore which we sell all the horror wallets currently on the market that are certified by Bitcoin org we provide these tools for every one of you to use I want to ask how many of you actually here own cryptocurrency use hardware wallets if you can raise your hand that's good you know every time that I speak at a conference I see a better and better percentage of people raising their hands that they're using Hardware wallets which is exactly what I'm happy for because constantly I'm going around the globe attending all these conferences tell people about how important it is to have a hardware wallet to hold your so the characteristics of cryptocurrency as most you probably know it's decentralized in nature it's or less is transnational and it's a software based digitized token with always a key pair whenever you see a public key you have a private key behind that and it requires a software application called either or call wallet either on a on a mobile phone or on a desktop we use that as a access mechanism in this case is the hardware wallet that I believe in Moore which offers better security it always of course resides on the blockchain owner of the private key is the owner of the currency you know in this ecosystem we have wallets we have exchanges we have merchants developers and miners as participants these are the five core parts of the ecosystem which gives the decentralization where nobody one party controls the whole ecosystem and all these parties are free to join have their free will to participate and it allows people to freely freely transact without any central control but it's prone to attack to hackers hackers love to hack these Cupra currencies because once they steal your private keys they own them if you look at the history of how many bitcoins have been hacked or in terms of value is well over a billion and I see many many more billions to be hacked that is because the hackers are always out hunting for the vulnerability those people that actually store our Bitcoin on a on a phone as a matter of fact we have a booth out there we had someone stopping by our booth bought a leather case he showed me he was trying to pay me with Bitcoin he seven hundred seven hundred thirty three bitcoins that's close to six and a half million dollars on a phone I still couldn't set up my mind until this point because I can't imagine how is he able to go around with the just a Samsung phone it's probably a simple mobile wallet but the private key is always connected to the cloud that's why that's it's vulnerable here are some of the stats we know coin check recently got hacked the new economy token 534 million and thence these are some of the bigger ones BitFenix that was a year and a half ago a bit floor did stamp all these have been hacked if you look at the detail numbers I stay on this slide for a little bit some of these were hacked a while ago but if you you could equivalent if you have the equivalent value of today's USD value that's a lot of money and then I sees the trend of this continue to happen because people ignore the fact that the the security that they overlook without using the proper tool we know that the BitFenix hack was using a hot wallet that was through a multi-party holding the private key but we know them none of the hacks has ever happened through the usage of Jara wallet at least I know so far nothing like that hasn't happened why do we want to avoid exchanges and custodians as much as you can it's because they are the ones that holding the private key you as the owner you don't every time when you need to transact through an exchange you have to log in with your username and password and if your computer is has virus someone can actually key log all your strokes copy all your information and they can validate some way somehow through that exchange that's exactly how I lost my but my bitcoins I know you have to using changes some of you get as a traitor but if you have to you should use the maximum security options by setting up all the you know two form factor or SMF verification and try to use it with a clean computer always scan your computer make sure there are no children or any or any these vulnerabilities with your operating system if you have any patches through your operating system you should update that immediately and always have a good backup practices you want to take full control by using Wallis and good practices meaning following all the instructions that the wallets provide you in this case I'm referring to the hardware wallets don't be lazy read all the fine prints or watch some videos on YouTube you know some of the experts will teach you on these pitfalls to avoid be very very careful with those C's that you're setting up I want to briefly go over because I don't have much time so all the choices we have most commonly in the early days are the desktop and with web wallets but today more conveniently is the mobile wallet because we all have just have it on our mobile phones we can carry a small amount of cryptocurrencies which we suggest so you can easily transact without pulling up pulling out a hardware wall that you have to plug in a cable I know we have some wallets in the coming near future that we'll start using a Bluetooth technology without using the cable but in general Hardware wall is if you look at the choices below none of these has ever been hacked successfully ever since they were in existence definitely in this space the all these founders and leaders are grassroot found a with the great amount of interest in cryptocurrency with great passion developing these mechanisms for all of us to use so I want to give an analogy to how normally the private keys are stored on desktop wallet if you look at the first three most of these are all staying with a cloud or connected somehow or one or one way or another but look at the last one as the hardware wallet we have the private key on the wallet itself this wallet is called a micro dedicated computer or we call MCU micro controller unit the private key whop is embedded in that chip we'll never leave that to touch the cloud so we are transacting you're safe because it will never touch the Internet so let me tell you why a hardware well is a better choice because some of these advantages that the other wallet don't have is because they're the keys are never exposed it's immune to computer viruses so even though the computer you're using has virus it wouldn't matter because it cannot communicate with the the wallet inside as far as stealing the keys from the IC and it always requires a physical confirmation at the time of transaction so when you're about to send bitcoins or other cryptocurrencies it will verify the amount you're sending the address you're sending to at the end you have to physically press that button say I want to confirm confirmation I want to confirm I want to send this with these tokens the software are always open source you always want to use a wallet that has the open source software so you know that there's there's no hidden secrets that could be wrong it could be dangerous of course and most of this Hardware wall and nowadays support multiple crypto currencies not just only Bitcoin a lot of the major crypto currencies are supported they all have a independence screen all the newer ones so some of the stuff they can see our computer can be altered by hackers called phishing but when you have these independent screen you are able to verify exactly what you're trying to do compared with what's on the screen before that final confirmation before you press that button so even the hardware wallet in the early days without the screen they have some kind of A to F a verification but those are facing out so all the newer generations will have the screens we suggest that's what you should have so at the end I want to say not only thank all of you for coming here spending a lot of money trying to get the top secrets I hope you can bring some information valuable information back home do not fall in the same trap that I did or losing Bitcoin is really really painful and hopefully at least that's something you can bring home and let's all promote cryptocurrency because this is really a form of freedom and choice not only for all the people in the developing nations I mean then in the developed nations but also in the developing nations I feel they are the more the ones more needed of this technology so they can have access to financial services for the rest of the world find us on Facebook and Twitter if you have any questions please feel free to come and ask I'm gonna be at the booth b15 thank you very much for all of your time [Applause] [Music]