Here are some tips, observations and ideas for new comers in crypto 👇🏽
1/ Don't trust anyone.
Approach everyone with skepticism.
That includes people shilling coins, anyone asking for your #crypto to invest, and random people that message you.
Approach everyone with skepticism.
That includes people shilling coins, anyone asking for your #crypto to invest, and random people that message you.
2/ Every position you enter should be a fixed percentage of your portfolio.
Preferably 1% for a typical trade.
Risky #Uniswap gems might be 0.5%.
Very strong longer term positions say 2-5%.
Preferably 1% for a typical trade.
Risky #Uniswap gems might be 0.5%.
Very strong longer term positions say 2-5%.
3/ Have your portfolio value in #BTC
Your goal is to increase your #BTC value.
Don't worry about USD gains, as in a bull market its easy to make USD value gains.
#BTC is the end-game here so you want to accumulate it, especially if its dominance is falling.
Your goal is to increase your #BTC value.
Don't worry about USD gains, as in a bull market its easy to make USD value gains.
#BTC is the end-game here so you want to accumulate it, especially if its dominance is falling.
4/ Have a portion of your portfolio allocated to farming or staking.
Harvest the rewards and either re-farm or shift to your long term #HODL
Remember compound interest.
Harvest the rewards and either re-farm or shift to your long term #HODL
Remember compound interest.
5/ Have a dedicated stack of #BTC or #ETH that is your "HODL" portfolio that you never touch.
Preferably in separate legal entity than what you trade with.
This will help for taxes.
Ever so often, move some profits into that long term stack.
Preferably in separate legal entity than what you trade with.
This will help for taxes.
Ever so often, move some profits into that long term stack.
6/ Spend as much time learning about tax as you do trading.
You can get way more rekt from bad tax approaches than you make gains with good trading.
And keep your records safe - download all trade histories at the end of every quarter.
You can get way more rekt from bad tax approaches than you make gains with good trading.
And keep your records safe - download all trade histories at the end of every quarter.
7/ Find your community.
Use telegram or discord.
Eventually they will be a vital source of information or just ways to bounce ideas off.
Use telegram or discord.
Eventually they will be a vital source of information or just ways to bounce ideas off.
8/ Be up to date with #Crypto news.
Its amazing how often something pops up (e.g. @Grayscale announcing new trusts with other coins) with still a decent amount of time to buy.
And always have some #BTC on an exchange ready to buy on such an opportunity.
Its amazing how often something pops up (e.g. @Grayscale announcing new trusts with other coins) with still a decent amount of time to buy.
And always have some #BTC on an exchange ready to buy on such an opportunity.
9/ Have a preset % of gain or losses.
For example, if a coin ever goes up more than 30% vs #BTC in a day I always sell.
95% of the time that works out as better than hodling.
If you double your position sell the principal immediately.
For example, if a coin ever goes up more than 30% vs #BTC in a day I always sell.
95% of the time that works out as better than hodling.
If you double your position sell the principal immediately.
10/ Try and go with the ebb and flow of the market.
For example, last month it was all about NFTs, but now that sector is cooling.
The #BinanceSmartChain and exchange coins are doing very well right now - if that is the case what else might move?
For example, last month it was all about NFTs, but now that sector is cooling.
The #BinanceSmartChain and exchange coins are doing very well right now - if that is the case what else might move?
11/ For newcomers, start with basic stuff like accumulating #Bitcoin , learning to use a wallet, security etc.
Don't just dive in and ape into #DEFI coins.
You may feel like you’re missing out.
But it will hurt if you are just burning through your capital.
Don't just dive in and ape into #DEFI coins.
You may feel like you’re missing out.
But it will hurt if you are just burning through your capital.
12/ Look out for free #Crypto opportunities.
The key here is sorting out the gems from the scams.
This isn't just staking etc but also things like reddit moons and airdrops.
@CoinMarketCap earn, @coinbase earn, @binance "dust" are a few good starters.
The key here is sorting out the gems from the scams.
This isn't just staking etc but also things like reddit moons and airdrops.
@CoinMarketCap earn, @coinbase earn, @binance "dust" are a few good starters.
13/ For farming, make sure you are using the right apps like @zapper_fi or @apyfinance to track all your positions.
This will help with tax records down the track.
Watch out for farming on the #ETH network as gas fees will chew up any gains if you have small positions.
This will help with tax records down the track.
Watch out for farming on the #ETH network as gas fees will chew up any gains if you have small positions.
14/ Have an "emergency reserve".
This could be fiat in your savings accounts, stock positions, gold or cash
.
If we get some kind of turbo dump, you can then have that as money to buy the dip.
This could be fiat in your savings accounts, stock positions, gold or cash
.
If we get some kind of turbo dump, you can then have that as money to buy the dip.
15/ Constantly educate yourself.
Podcasts and even YouTube can be vital sources of information, provided you are listening to the right people ~ @danheld @APompliano @coinbureau
Mix up that content with general philosophy behind sound money and financial sovereignty.
Podcasts and even YouTube can be vital sources of information, provided you are listening to the right people ~ @danheld @APompliano @coinbureau
Mix up that content with general philosophy behind sound money and financial sovereignty.
16/ Falling in love with alt-coins is like falling in love at a stripclub.
Yes trade them.
But just be conscious that their chances of beating #BTC long term are very unlikely.
Yes trade them.
But just be conscious that their chances of beating #BTC long term are very unlikely.
17/ Always learn from your losses.
Think of crypto as like a computer game where you are gaining new skills.
You can earn money and experience.
So maybe you lost $500 to a "rug-pull"? Well, DYOR and figure out how to avoid that next time.
Think of crypto as like a computer game where you are gaining new skills.
You can earn money and experience.
So maybe you lost $500 to a "rug-pull"? Well, DYOR and figure out how to avoid that next time.
18/ You are going to have MANY scenarios where you see a coin that has gone x1000, where you feel compelled to buy to avoid missing out.
This is the obvious trap (#SAFEMOON right now. #BitConnect was the one in 2017).
Again, DYOR.
This is the obvious trap (#SAFEMOON right now. #BitConnect was the one in 2017).
Again, DYOR.
19/ The chances are, #Crypto is still cyclical.
That means we will have another bear market, or a very long boring period of no gains.
If you have just joined crypto, you probably won't "make it" this cycle, as we may only have 6 months to a year to go.
So.. 👇🏽
That means we will have another bear market, or a very long boring period of no gains.
If you have just joined crypto, you probably won't "make it" this cycle, as we may only have 6 months to a year to go.
So.. 👇🏽
Be around to scoop up the ashes - don't be the ashes!
Security in #Crypto is table-stakes.
Here's a thread I wrote on how you can keep your crypto and yourself safe 👇🏽
Security in #Crypto is table-stakes.
Here's a thread I wrote on how you can keep your crypto and yourself safe 👇🏽
https://twitter.com/mistersk021/status/1384981157155164160?s=20
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