Introduction
Crypto theft continues to escalate at an alarming pace. In the first six months of 2025 alone, cybersecurity firms tracked more than $2.4 billion in stolen assets across over 300 incidents, surpassing the entire total of 2024. Although one major incident — the Bybit breach attributed to North Korean groups — significantly inflated the figures, it is far from the only concern.
The reality is that most individuals lose their digital assets through simple, everyday traps such as phishing links, malicious wallet approvals, SIM swaps, and fake “support” representatives.
Fortunately, improving your protection does not require deep technical expertise. By implementing a few essential habits that take only minutes to set up, anyone can drastically reduce their risk of loss. Below are seven practical crypto safety habits that matter most in 2025.
Key Takeaways
- Over $2.4 billion in cryptocurrency was stolen in just the first half of 2025, already exceeding the total losses recorded in 2024.
- Everyday mistakes such as phishing, fake support accounts, and toxic wallet approvals cause more harm than advanced technical exploits.
- Practicing strong two-factor authentication (2FA), separating hot and cold wallets, and keeping devices clean greatly reduces exposure to threats.
- A well-prepared recovery plan, including revocation tools and verified support contacts, can transform a potential disaster into a temporary setback.
1. Replace SMS Codes with Phishing-Resistant 2FA
Relying on SMS-based two-factor authentication is one of the most common mistakes in crypto security. SIM-swap attacks, where criminals hijack your phone number to intercept verification codes, remain a primary method of stealing funds. Law enforcement agencies continue to seize millions of dollars linked to these crimes.
Instead, switch to phishing-resistant 2FA, such as hardware security keys or passkeys. Start by protecting your most valuable accounts — email, exchange logins, and your password manager. The Cybersecurity and Infrastructure Security Agency (CISA) in the United States emphasizes this approach because it blocks both phishing attempts and “push-fatigue” scams that exploit weaker forms of multi-factor authentication.
Combine this with long, unique passphrases, which offer more strength than complex but short passwords. Store backup codes offline and enable withdrawal allowlists on exchanges so that funds can only be transferred to addresses you control.
2. Practice Safe Signing: Avoid Drainers and Toxic Approvals
The majority of crypto thefts do not result from complex exploits but from a single careless signature. Wallet drainers trick users into granting unlimited permissions or approving malicious transactions, allowing them to repeatedly drain funds without further confirmation.
The best defense is to slow down. Review every signing request carefully, especially when encountering terms such as “setApprovalForAll,” “Permit/Permit2,” or “unlimited approve.”
If you like to explore new decentralized applications (DApps), use a burner wallet dedicated to experiments and risky interactions, while keeping your main holdings secure in a separate vault. Regularly revoke unused approvals through services such as Revoke.cash, the small gas fee is a worthwhile investment in safety.
Researchers have noted a rapid increase in drainer-related thefts, particularly on mobile devices. Practicing careful signing habits can break this dangerous cycle before it begins.
3. Separate Hot and Cold Wallets: Spending vs. Saving
Think of your crypto wallets as you would your bank accounts. A hot wallet is like a checking account, ideal for daily transactions and DApp interactions. In contrast, a cold wallet (hardware or multisignature) serves as a long-term vault designed for maximum security.
Keeping private keys offline eliminates nearly all exposure to malware or malicious sites. For cold storage, write down your seed phrase on paper or metal rather than storing it digitally on a phone, computer, or cloud service.
Always test your recovery setup by restoring a small amount before transferring significant funds. Advanced users can add a BIP-39 passphrase for an additional layer of protection, but must understand that losing it results in permanent loss of access.
For shared assets or larger balances, multisignature (multisig) wallets provide robust protection by requiring two or three separate device signatures before authorizing a transaction.
4. Maintain Strong Device and Browser Hygiene
Your wallet security depends heavily on your device’s condition. Keeping your system updated patches vulnerabilities that hackers rely on. Enable automatic updates for your operating system, browser, and wallet software, and restart your devices regularly.
Minimize browser extensions such as several large-scale thefts have stemmed from compromised or malicious add-ons. Consider using a dedicated browser or user profile exclusively for crypto-related tasks to isolate sensitive sessions and cookies from your regular internet activity.
If you use a hardware wallet, disable blind signing. Blind signing conceals transaction details and can lead to dangerous mistakes if you are deceived.
Whenever possible, handle sensitive transactions from a clean desktop environment rather than a smartphone loaded with various applications. A minimal, well-maintained setup limits potential attack surfaces significantly.
5. Verify Before Sending: Addresses, Networks, and Contracts
Sending funds to the wrong place remains the easiest way to lose crypto. Always verify both the recipient address and the blockchain network before confirming a transaction.
For your first transfer to a new address, send a small test amount first. The minor fee is worth the reassurance. When dealing with tokens or NFTs, confirm contract authenticity by referencing the project’s official website, trusted aggregators such as CoinGecko, and blockchain explorers like Etherscan.
Look for verified code or ownership indicators before interacting with any contract. Never type a wallet address manually; always copy and paste, then double-check the first and last few characters to prevent clipboard hijacks. Avoid copying addresses directly from transaction histories, as dusting or spoofing attacks may redirect you to a compromised address.
Exercise extreme caution with airdrop claim websites, particularly those requesting unusual permissions or cross-chain approvals. If something feels suspicious, stop and verify the source through official project channels. Should you detect any questionable approvals, revoke them immediately before proceeding.
6. Protect Yourself from Social Engineering
The most dangerous scams in crypto often rely on psychological manipulation rather than code.
Romance and “pig-butchering” scams lure victims through fake online relationships, displaying counterfeit trading dashboards with fabricated profits to convince them to deposit more or pay false “release fees.”
Job scams frequently begin with friendly outreach on WhatsApp or Telegram, offering small “micro-tasks” and minimal payments before turning into deposit schemes. Impersonators posing as “customer support” representatives may also request screen sharing or seed phrase disclosure.
The rule is simple: Legitimate support will never ask for your private keys, direct you to unofficial websites, or request payment via Bitcoin ATMs or gift cards. The moment you spot such behavior, cut off communication and report the account.
7. Prepare for Recovery: Minimize Damage When Mistakes Happen
Even the most vigilant users can make errors. The key difference between a catastrophe and a recovery is preparation.
Keep a small offline “break-glass” document listing your essential recovery tools: verified exchange support links, trusted revocation platforms, and reporting portals such as the Federal Trade Commission (FTC) and the FBI’s Internet Crime Complaint Center (IC3).
If an incident occurs, collect and submit transaction hashes, wallet addresses, amounts, timestamps, and screenshots. Investigators often connect multiple victims through these shared details, which can accelerate resolution.
While recovery may take time, a documented plan can transform a total loss into a temporary setback.
Conclusion
If you ever click a malicious link or send funds to the wrong address, immediate action is crucial. Transfer your remaining assets to a new wallet you control completely and revoke old permissions using tools like Etherscan’s Token Approval Checker or Revoke.cash.
Then, change your passwords, upgrade to phishing-resistant 2FA, and check your email settings for suspicious forwarding or filtering rules.
Next, contact your exchange to flag suspicious addresses and file a formal report with IC3 or your regional financial regulator. Include complete details such as transaction hashes and timestamps to aid investigators. Ultimately, seven habits can block most crypto threats of 2025.
Start small today. Strengthen your 2FA and improve your signing discipline. A few minutes of preparation now can protect you from devastating losses later this year.
Frequently Asked Questions
How much crypto has been stolen in 2025 so far?
More than $2.4 billion has been stolen during the first half of 2025 across over 300 separate incidents, already exceeding 2024’s total losses.
What is the most common cause of crypto theft?
The majority of losses stem from phishing, fake support scams, and malicious approvals, not from sophisticated technical exploits.
What is the safest form of two-factor authentication (2FA)?
Hardware security keys and passkeys are the most secure forms of 2FA because they resist phishing and SIM-swap attacks.
Can I recover stolen crypto?
Recovery is difficult but not impossible. Acting quickly, gathering complete evidence, and reporting through verified channels like IC3 and your exchange support increase your chances of recovery.
What should I do first if I fall for a scam?I
Immediately move your remaining funds to a new wallet, revoke all prior approvals, change passwords, and report the incident with all supporting data.