The Steem wallet has several special features which you should be aware of as a new Steemians. These features are thought by many here to make it a safer wallet then the wallets of other cryptocurrencies.
One of the ways the Steem wallet is different from other cryptocurrency wallets is it has several uniques security features. I would like to review those security features, so you understand them and can use these Steemit wallet security features to help to prevent the theft of your Steem and SBD.
Security Feature number one: “Steem Power”
You are paid rewards on the Steemit platform for posting, commenting and upvoting in “Steem” or SBD. The strength or value of your personal vote depends on how much “Steem Power” you have.
Your wallet has a menu option called “Powering Up”. If you use this feature you change the Steem in your wallet into “Steem Power”. This Powering Up increases the value of your vote. But did you know that “Powering Up” your Steem or Steem Dollars to Steem Power is a security feature?
Powering Up is a security feature because you can’t withdrawal Steem Power, you have to convert it back to Steem.The process of converting Steem Power to Steem is called “Powering Down”. The Power Down process has rules, you can only Power Down 1/13th of all your Steem Power once every seven days.
So it takes 13 weeks to Power Down all your Steem Power to Steem.
This is a security feature because most crypto currencies exist in one form and they only have one password, which is usually called your “Private Key”. So if someone gets your “private key” they can transfer your cryptocurrency out of your account to their account and basically steal all of it the same day. However Steemit cryptocurrency exists in a liquid, easily transferred form called Steem or Steem Dollars and as a less liquid and nontransferrable form called a Steem Power.
If someone gets your passwords and wants to withdraw your Steem Power, they have to initiate a “Power down”. This converts your Steem Power to Steem. Each “Power down” takes 7 days. Each “Power down” is limited to 1/13 th of your total Steem Power. So it will take someone seven days to steal your Steem and they can only get 1/13 th of your total Steem at a time. That means it takes 13 weeks to Steal all wyour Steem.
Second Part of this security feature
Did you know that every time you sign into your Steemit account and check your wallet it tells you if your “Powering Down” or converting Steem Power to Steem? So because it takes 7 days to “Power Down” or convert your Steem Power to Steem you have 7 days to catch any attempts to steal your Steem. If you see this and you didn’t start it the withdrawal you can cancel it and then use your Master password to change all your other passwords.
I like this security feature because I think it increases my wallet security and I think it increases price stability by reducing impulsive selling in reaction to bad news and it encourages commitment to the platform.
Security Feature Number Two: Savings Account
The Steemit wallet has a savings account. If you transfer your liquid Steem or SBD into savings, and subsequently want to withdrawal it, you can withdrawal all of it at once, but it takes 3 days.
I like this feature because I can keep large amounts of liquid Steem in my wallet. But I can access 100% of my total savings in 3 days. This is much faster then the 7 day waiting period on powered up Steem, and I get it all at once instead of 1/13 of my balance.
Security Feature Three
Every time you check your Steem wallet, it tells you if your powering down. So if you didn’t start the power down you can stop it. So if some obtains your “active” password and starts a “power down” to change your Steem Power to Steem so they can steal it, you will see this when you sign into your wallet and you can Duyao the power down and using your “master key” change all your passwords and now the theft doesn’t have access to your passwords.
Security Feature Number Four
The Steemit wallet, unlike other cryptocurrency wallets has multiple passwords. You have a posting key for posting articles, but it can’t be used to Stake, unStake or move Steem. This feature means the password you use the most and is most susceptible to theft while your online can’t be used to steal your money.
You also have an “active” key, used for powering up Steem to SteemPower or powering down SteemPower to Steem. It is also used for transferring Steem out of your account. You also use it for Staking it unStaking Tokens on Steem Engine. The limited use of this key means it is less available for theft while your online.
You also have a “master Key” which is used to change your other passwords, but otherwise isn’t needed for day to day functions. But in case someone gets your posting key or your active key and tries to steal your Steem, you can change your active and posting password to protect your account from theft.
I think these security features are very useful and I encourage you to learn about them and store them wisely.
Posted via Steemleo