For My Friends and Family New to Cryptocurrency

in #cryptocurrency7 years ago (edited)

Over the past couple of months, I've had a lot of friends and family members reach out inquiring about cryptocurrency and blockchain tech. This post is a quick list of tips for them and anyone new to crypto from my experience so far.

This is not financial advice!

My backstory:

  • Got into crypto in mid 2016 (not too new but not an OG)
  • I work currently in community management for blockchain projects
  • Reasonably tech-savvy millennial

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Recommendations from my experience:

  • Don't invest in what you do not know or understand
  • EVERYONE is biased including me. Please do your own research.
  • Don't invest more than you can afford to lose. EVER.
  • Buy a hardware wallet such as the Ledger Nano S or use a wallet where YOU control the private key
  • Get your crypto off exchanges (prone to hacking --- central point of failure)
  • Look at CoinMarketCap or OnChainFX to see the top traded cryptocurrencies by volume and which exchanges they are traded on. (Side note: These websites can often contain errors such as an incorrect circulating supply or market cap so take that into consideration.)
  • Do not day trade. It is a zero-sum game and you will lose. Buy and hold or 'HODL' is a plausibly effective strategy.
  • Look at project github pages to make sure there is real activity and code commits.
  • Use apps like Blockfolio or Delta in the app store to monitor the price of your crypto holdings.
  • NEVER give anyone your private key or seed!
  • You don't have to buy a whole bitcoin. It is divisible to 8 decimals places. You can buy 0.2 BTC.

All the Best and Welcome to Cryptoland!