An analysis of a company’s database to determine the adequacy of its safety measures.

A security audit is the analysis of a system’s database to determine its overall performance, hinder security infringement, and suggest any necessary changes. This audit is very vital in crypto because any gap in a blockchain network, especially in the system’s components or nodes, can lead to a compromise in the security framework.

Due to the current limitations of digital innovations, a blockchain’s security audit is performed manually. Nevertheless, the method is a great way to ensure transparency, and defeat any security threat and inconsistencies found in the blockchain system database.

A list of keywords comprising 12 to 24 words that helps users access their cryptocurrency wallet.

A seed Phrase is a list of keywords composed of 12 to 24 words depending on the specific blockchain. The keywords for every compatible wallet on a network are sourced from an official database of words. Bitcoin’s keywords, for example, are generated from the Bitcoin Improvement Proposal 39 Wordlist (BIP39). This wordlist is a set of words (collection of a total of 2048 words) regularized for the backup and retrieval of cryptocurrency wallets.

How cryptocurrency users choose to protect their seed phrase significantly affects its security. Nevertheless, all users are encouraged to store this phrase offline because the internet’s security is largely insufficient and vulnerable to the activities of hackers.

An independent US corporate finance agency whose main objective is to protect individuals and the market from manipulation.

The Securities and Exchange Commission (SEC) is an independent U.S agency that is responsible for protecting individuals and the financial market from all kinds of manipulations. The agency does this by enforcing a corporate finance code to make the market a fair place. Specifically, the agency is dedicated to ensuring that the conditions of the financial market are genuine, trustworthy, and safe.

The agency also has the responsibility of helping investors make the right choices. Thus, brokers, traders, and exchanges are charged to divulge every important piece of information that investors might need for decision-making. This, in turn, creates a fair trading environment in the financial market.

Security Audit

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