Two-Factor Authentication: Enhancing Crypto Wallet Security

Two-Factor Authentication (2FA) is an access method that requires two different forms of authentication.

What is Two-Factor Authentication?

Two-factor authentication (2FA) is a method of accessing an online account or even a computer system that requires two different types of information. This method is often found on many cryptocurrency exchanges, where people can have an additional means of gaining access to their account or hot wallet in addition to setting a strong password.

Thus, you can enter a password and then you will be prompted to enter additional information, such as a security code. The security code will be sent to you either via SMS to your cell phone or by email. There is also a phone verification where your phone will be called and the code will be read out by a voice assistant or something similar.

Anything that requires more than a simple password to give you access to a particular account can be considered two-factor authentication.

That is, the first factor here is the password itself, and the second factor is code text or even biometrics. With biometric two-factor authentication there are three options:

  • In the first case, you scan your fingerprints, and since many smartphones nowadays have a built-in fingerprint sensor, many people choose this route because it’s quick and easy.
  • The second way is face scanning. Today’s smartphones have 3D cameras that can effectively scan your face from different angles, and this in turn provides a higher level of security. That is, someone won’t be able to open a picture of your face on their smartphone and confirm it’s you because they need a full 3D model of your face to unlock it.
  • And finally, there’s one of the most complex and rare forms of biometric authentication: retinal.
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