There’s no better time to join the crypto market than now. The industry continues to expand its technology, features, and services. Today’s crypto market has more options than ever. As such, it’s no surprise that more people want to become a part of this digital revolution.
Nobody wants to start their crypto career with a loss. Entering the crypto market is easy and can be fun if done correctly. Here are the top six tips for new crypto users seeking to avoid common pitfalls and make the most of their time and effort.
Learn About the Technology
The first step to becoming an educated crypto user is to better understand the technology. Blockchain technology, the underlying network behind most cryptocurrencies, was introduced to the world by Satoshi Nakamoto, Bitcoin’s anonymous founder. This tech eliminates the need for third parties by decentralizing the functions of the network.
In a blockchain, users called nodes to handle the core actions of the network openly and transparently. For their efforts, they receive rewards in the form of the network’s token. This technical structure provides a secure and efficient way for people to conduct peer-to-peer transactions online.
Over time your research will lead you to understand the terminology of the sector. This step is vital as it will help you to better comprehend what is possible and what isn’t. This understanding will help you to properly gauge the opportunities put forth by varying crypto projects.
Security is a Primary Concern
Security is a priority for all crypto traders. Anytime you have new technology mixing with financial applications there are always some security concern you must consider before committing to a project. For example, you should focus on open-source projects.
Open-source protocols enable the community to go through the backend coding. This is ideal because it can often lead to users finding coding errors early on. It is also beneficial because you can see the exact operations of the platform. This strategy helps you to ensure nothing is going on in the background unexpectedly.
Check the Audits
Notably, even the most experienced and well-respected development teams can have vulnerabilities exploited in the early stages of a project. That’s why you need to be vigilant in your research regarding the security precautions the developers have taken. In many instances, projects will enlist a third party to verify the credentials and security of the project.
Today, there are a lot of different reputable blockchain security options available in the market. These groups will verify that each smart contract is operational and without attack vectors. These organizations then make their results public for everyone to see. The best projects will have multiple security audits conducted by different well-known firms.
Another issue to consider is personal security options. There are a lot of different ways to interact with your crypto with some being far more secure than others. There has been a rise in the number of hackers targeting devices like your mobile phone through attacks like SIM swaps. Adding another layer of protection can eliminate these threats before it’s too late.
One of the best ways to make it harder to steal your crypto is by integrating a 2FA protocol. 2-factor authentication is a system that connects to a code generator in your device. These codes are generated at the time and are only useful for around 60 seconds before they change.
Another Layer of Protection
These systems are great because they make it so that anyone who wants to access your crypto needs to also access your mobile phone. The timing of 2FA can make it annoying for even you to gain access. For a hacker, it can be impossible unless they can get instant access to your device during the login process.
Another option to consider is Biometrics. Biometric integration is now going popular with some protocols integrating facial recognition, fingerprint scanning, and more. Biometrics provides a more streamlined and convenient way for you to access your crypto in a rush. When coupled with 2FA systems, biometrics gains even more strength. In the coming months META 1 Coin users will gain these features.
Consider a Hardware Wallet
Serious crypto traders must eventually consider getting a hardware wallet to store their digital assets. A Hardware wallet is the most secure way to keep crypto stored. These devices come in many styles from many manufacturers, but the best two options are Ledger and Nano wallets.
Hardware wallets create an air gap between your crypto and the internet. This setup is called cold storage and it’s by far the best way to protect against hackers. The best options also include a button that you must press to confirm transactions. No matter how good the hacker is, they aren’t going to be unable to press a physical button without holding the device.
Join the Crypto Community First
You must join the online crypto communities as soon as possible. Social media platforms like Twitter have large crypto groups that discuss relevant issues in the market. Networking with these people will often lead to early opportunities. At the very least, it will help you to get a better understanding of what projects are the most active and relevant in the market today.
Another reason why you want to have an active social media presence in the crypto market is that you can communicate with project developers directly. Most projects list their development team and their social media handles. You can reach out to these developers to gain valuable insight into their plans and their experience. At the very least you will be able to judge their responsiveness to your concerns.
Social media metrics can help you determine what projects have the community to support their aspirations. It’s never a good sign when you reach out to a development team on social media and don’t get a response. Another troubling indicator can be no social media activity at all.
One of the hardest parts of trading cryptocurrencies is avoiding FOMO (fear of missing out). This term describes the feeling you get when you feel like you could miss out on major profits if you don’t participate. FOMO leads you to make rash decisions and chase projects that you would otherwise recognize as too good-to-be-true. FOMO has been the demise of many-o-crypto traders.
The web is filled with stories of Bitcoin billionaires or 14-year-old users buying Lamborghinis. While it’s always inspiring to see crypto traders triumph, it’s crucial to understand that for most crypto traders, the reality is slightly different. You need to remove your emotion from your crypto trading experience.
Treat every project equally in terms of your verification process. Don’t forget to evaluate the project’s progress so far and what their ultimate goal will entail. Remain systematic in evaluations and you will see your portfolio flourish with wise selections.
Double Check Everything
The next thing you need to consider is that the crypto market has a lot of scammers. Like all new techs, the blockchain industry is ideal for scammers because there are new users eager to get in on the profits. Scammers will often seek out those suffering from FOMO and sell them dreams. In the end, the user only gets a reality check.
Additionally, there are some other precautions you need to take in terms of sending and receiving cryptocurrencies. There are no refunds on most blockchains. As such, you need to ensure that you have every detail correct when sending your hard-earned crypto to people.
It’s always recommended to double-check the address of projects you are participating in as well. The open nature of the market makes it easy for scammers to create duplicate projects. They can copy the name of a token but they can’t copy its blockchain address.
Never Give Out Your Private Keys
Most crypto accounts have private and public keys. The public key is what you send people so they can send your crypto. The private key is how you access your tokens.
Under no circumstances are you to ever share your private keys with another person. These keys are the only way to access your cryptocurrency on most networks. If you provide this information to a third party, they will promptly separate you from your crypto holdings.
Think of the crypto market like a skateboarding half-pipe. You wouldn’t pick up your board and head to the top of the largest half-pipe in town if you were new. You would slowly start by trying to balance on your board and get comfortable riding it. Only once you had the skills to balance and move as you like would you then consider getting more advantageous.
The same goes for cryptocurrencies. If it’s your first time in the market, it’s ok to start small. You can build up your skills and holdings at the same time. Once you can consistently double your holdings, you are ready to up the ante.
Learn About DeFi
DeFi (Decentralized Finance) has changed the game for millions of traders. DeFi is simply a financial tool that eliminates centralized organizations like banks and more. The main advantage of DeFi is that the communities integrate a variety of low-risk passive income features to help you prosper over time. Options like High Yield Savings accounts, staking, and farming are all popular nowadays.
High Yield Savings Account
High-yield savings accounts are a great way for you to secure returns with minimal risk. These protocols have gained popularity over the rise of the DeFi sector and for good reason. They are very familiar to the new user because they operate like regular fiat accounts. You simply make deposits and security interest.
However, your fiat bank account pays you 0.03% on your holdings versus high-yield accounts which can pay as much as 10%. The META Vault is a perfect example of a high-yield savings account that is popular in the market. Users can secure high returns and enjoy the appreciation provided by META 1 Coin.
Integrate a SafeHaven Asset
Safehaven assets are one of the coolest innovations in the crypto market at this time. These digital assets combine the best aspects of stablecoins with advanced community protections. Currently, META 1 Coin is one of the best-known examples of a safehaven token in operation.
META 1 builds on the stablecoin asset by deriving value from a basket of gold-related assets. These assets appreciate over time which provides the token with self-appreciating characteristics. This setup makes META 1 a powerful tool for savers seeking to avoid the current inflation. Notably, the project continues to secure value as many projects have taken massive losses this year.
Look Towards Crypto Debit Cards for Spending
Another major development that may not help you trade crypto but will improve its usability is crypto debit cards. These unique systems integrate into high-yield savings accounts. They convert your crypto to fiat currency when you swipe your card. They are the most convenient way to spend crypto currently available with projects like the META VAULT MasterCard enabling users to spend their crypto at their favorite online and offline retailers without delay.
Seek Out Low-Risk Rewards
The introduction of DeFi into the market has changed everything. DeFi networks like META1 provide users with access to low-risk high-yield passive income features. They combine stability with opportunity and incenitivze the community for their participation. Users can secure returns multiple ways using META 1 Coin.
They can trade for other digital assets using the META Exchange. This high performance exchange provides a responsive user experience. The exchange features a host of helpful indicators and charting tools to help you get ahead of the trends.
Go from Beginner to Winner in No Time
Stick to the tips in this guide and you will find your holdings expand and your profits soar. The crypto market is still in its infantile stage. As such, you’re not too late. Your timing is perfect. Most importantly, always do DYOR (do your research) and participate in reputable projects.