10-28-2020, 08:06 PM
If you are a Crypto beginner - read this!
<!-- SC_OFF --><div class="md"><p>If you are new to investing into <strong>Cryptocurrencies</strong> this summary might help you. </p> <h1>Knowing basic terms:</h1> <p>You'll stumble across a lot of terms and expressions some are of technical & some of financial nature, for example:</p> <ul> <li>What actually is the blockchain, how does Bitcoin work under the hood, what is proof of stake...?</li> </ul> <p>It's also important to know what are some basic terms concerning investing in general:</p> <ul> <li>marketcap, volume, liquidity, dollar cost average...</li> </ul> <h1>Following Crypto News:</h1> <p>May it be our beloved <a href="/r/cc">r/cc</a>, twitter, big new-sites like cointelegraph - stay up to date. Knowing what is going on in the sphere can give you an edge but also mind the saying "buy the rumor, sell the news"!</p> <h1>Having an investment strategy:</h1> <p>Strategies will help you to control your emotions - act as rational as possible.</p> <ul> <li><strong>Define goals</strong> at what pricepoint you want to buy and when to sell an asset (entrance/exit strategies).</li> <li>Don't buy or sell all your coins at once - do it in smaller steps because you never know when the price is right (use methods like <strong>Dollar cost averaging</strong>).</li> <li><strong>Patience:</strong> in this fast reacting market everybody chases quick money but if you wait for a strategy to pay off, or that a price recovers to recoup losses it can take weeks, months, years.</li> <li><strong>Don't chase pumps</strong> - it's often already over if a coin has pumped and you'll end up as "bagholder" buying in at high prices.</li> <li><strong>Don't invest more than you are willing to lose</strong> (it even hurts to lose small portions of money so be careful and responsible)</li> <li><strong>Diversify</strong> - don't put all eggs in one basket. Split your investments up into Coins that already are etablished, like BTC, ETH, add some promising Altcoins and only a small portion of moonshots for gambling...</li> </ul> <h1>Be prepared & don't get scammed:</h1> <ul> <li>Use apps like blockfolio or coinstats to track prices on your mobile device or visit webpages like coingecko and coinmarketcap.</li> <li>Use Hardware wallets like Ledger & Trezor to store your assets safely - remember not your keys not your coins...</li> <li>Don't leave too much money on exchanges.</li> <li>Write always down your passwords, passphrases and seed words (best on paper away from your computer). You'll regret if you don't.</li> <li>Never ever send someone those private information, don't reply to uninitiated chats or open suspicious mails.</li> <li>Watch out for "Crypto gurus" promoting their pump and dump schemes.</li> </ul> <h1>Sources:</h1> <p><a href="https://en.wikipedia.org/wiki/Cryptocurrency">https://en.wikipedia.org/wiki/Cryptocurrency</a></p> <p><a href="https://www.investopedia.com/terms/b/bitcoin.asp">https://www.investopedia.com/terms/b/bitcoin.asp</a></p> <p><a href="https://www.investopedia.com/terms/m/marketcapitalization.asp">https://www.investopedia.com/terms/m/marketcapitalization.asp</a></p> <p><a href="https://cointelegraph.com/">https://cointelegraph.com/</a></p> <p><a href="https://coinmarketcap.com/">https://coinmarketcap.com/</a></p> <p><a href="https://www.coingecko.com/en">https://www.coingecko.com/en</a></p> <p><a href="https://www.ledger.com/">https://www.ledger.com/</a></p> <p><a href="https://trezor.io/">https://trezor.io/</a></p> <p><em>This content was written and summarized by me. I'am hoping for helpful comments to add to this post.</em></p> </div><!-- SC_ON --> Kind Regards R
<!-- SC_OFF --><div class="md"><p>If you are new to investing into <strong>Cryptocurrencies</strong> this summary might help you. </p> <h1>Knowing basic terms:</h1> <p>You'll stumble across a lot of terms and expressions some are of technical & some of financial nature, for example:</p> <ul> <li>What actually is the blockchain, how does Bitcoin work under the hood, what is proof of stake...?</li> </ul> <p>It's also important to know what are some basic terms concerning investing in general:</p> <ul> <li>marketcap, volume, liquidity, dollar cost average...</li> </ul> <h1>Following Crypto News:</h1> <p>May it be our beloved <a href="/r/cc">r/cc</a>, twitter, big new-sites like cointelegraph - stay up to date. Knowing what is going on in the sphere can give you an edge but also mind the saying "buy the rumor, sell the news"!</p> <h1>Having an investment strategy:</h1> <p>Strategies will help you to control your emotions - act as rational as possible.</p> <ul> <li><strong>Define goals</strong> at what pricepoint you want to buy and when to sell an asset (entrance/exit strategies).</li> <li>Don't buy or sell all your coins at once - do it in smaller steps because you never know when the price is right (use methods like <strong>Dollar cost averaging</strong>).</li> <li><strong>Patience:</strong> in this fast reacting market everybody chases quick money but if you wait for a strategy to pay off, or that a price recovers to recoup losses it can take weeks, months, years.</li> <li><strong>Don't chase pumps</strong> - it's often already over if a coin has pumped and you'll end up as "bagholder" buying in at high prices.</li> <li><strong>Don't invest more than you are willing to lose</strong> (it even hurts to lose small portions of money so be careful and responsible)</li> <li><strong>Diversify</strong> - don't put all eggs in one basket. Split your investments up into Coins that already are etablished, like BTC, ETH, add some promising Altcoins and only a small portion of moonshots for gambling...</li> </ul> <h1>Be prepared & don't get scammed:</h1> <ul> <li>Use apps like blockfolio or coinstats to track prices on your mobile device or visit webpages like coingecko and coinmarketcap.</li> <li>Use Hardware wallets like Ledger & Trezor to store your assets safely - remember not your keys not your coins...</li> <li>Don't leave too much money on exchanges.</li> <li>Write always down your passwords, passphrases and seed words (best on paper away from your computer). You'll regret if you don't.</li> <li>Never ever send someone those private information, don't reply to uninitiated chats or open suspicious mails.</li> <li>Watch out for "Crypto gurus" promoting their pump and dump schemes.</li> </ul> <h1>Sources:</h1> <p><a href="https://en.wikipedia.org/wiki/Cryptocurrency">https://en.wikipedia.org/wiki/Cryptocurrency</a></p> <p><a href="https://www.investopedia.com/terms/b/bitcoin.asp">https://www.investopedia.com/terms/b/bitcoin.asp</a></p> <p><a href="https://www.investopedia.com/terms/m/marketcapitalization.asp">https://www.investopedia.com/terms/m/marketcapitalization.asp</a></p> <p><a href="https://cointelegraph.com/">https://cointelegraph.com/</a></p> <p><a href="https://coinmarketcap.com/">https://coinmarketcap.com/</a></p> <p><a href="https://www.coingecko.com/en">https://www.coingecko.com/en</a></p> <p><a href="https://www.ledger.com/">https://www.ledger.com/</a></p> <p><a href="https://trezor.io/">https://trezor.io/</a></p> <p><em>This content was written and summarized by me. I'am hoping for helpful comments to add to this post.</em></p> </div><!-- SC_ON --> Kind Regards R