What Not To Do After Investing Te Bitcoin – Other Cryptos
Bitcoin is a lump of stellar technology and undoubtedly one of the best investment options out there. Of course, it’s not a low-risk investment, but if you’re wise about it, it pays off well. Te the past one month, the price of Bitcoin has grown by 130%, which is remarkable.
If you have not embarked investing te Bitcoin, then you should truly consider doing it now. If you don’t have a lotsbestemming of metselspecie with you, you can always buy a puny amount of Bitcoin to embark with. Like any other systematic investment, you can invest a puny amount every month.
There are many ways by which you can invest ter Bitcoin:
- Buy bitcoins and hold them for a few months or a few years.
- Learn to day trade (high risk).
- Invest te Bitcoin mining (I don’t recommend this).
- Lend out your bitcoins (again, high risk).
The best thing to do is number 1 – buy te and hold onto your bitcoins for a while.
For now, I will assume that you are someone who has already invested ter Bitcoin or is programma to invest soon. To ensure your security, there are a few things you need to see out for.
Note: This postbode is useful for both beginners and experienced users.
Things Not To Do After Investing Te Bitcoin
The largest mistake that most novice Bitcoin investors make is telling everyone about their investment. It’s ok to educate people and tell them about Bitcoin and let them know how they can get embarked with Bitcoin. But shouting about how many bitcoins you own is a big risk.
Here is a script you need to consider:
Let’s say Ryan purchased 100 bitcoins (costing $Ten) ter 2011. Ter September 2018, that same $1,000 investment is now worth overheen $400,000 dollars. People who recall him talking about his 100 bitcoins purchase have already told their friends about Ryan’s good fortune. While Ryan may have trusted his friends, he doesn’t know who his friends are talking to. Many of them might want to take extreme steps to get ahold of that money.
Ter brief, since Bitcoin is not managed by the government or any 3rd party, your security is ultimately ter your own arms.
Believe it or not, such incidents have actually happened. You can read about some of them here and here.
So do yourself a favor… don’t tell the world about how many bitcoins/cryptos you own.
Alright, so you have purchased Bitcoin from one of the popular exchanges like Coinbase, CoinSecure, Bitbay, Bitfinex, CEX, or any other exchange.
Most of thesis exchanges suggest free wallets inwards the exchange where you can hold your Bitcoin. However, you should never keep your coins ter thesis free wallets for more than a day or two. Te fact, I recommend you transfer it to your own wallet ASAP.
Again, Bitcoin is not regulated yet, and most of the exchanges’ T&,Cs state that you are responsible for your own financial security. Te the past, a few exchanges were hacked, and many users lost their coins.
If you want to read about one such scandal, here is an interesting Wiki pagina about the infamous Mt. Gox scandal.
Mt. Gox wasgoed not the very first time, and it will not be the last time. And unluckily, you can’t do much after losing your bitcoins.
Once they’re gone, they’re gone for good.
So, Harsh, where should I store my Bitcoins?
Glad you asked. Here are my suggestions:
- If you hold a ge amount of Bitcoin (overheen 1BTC) and want to store it for a long period of time, you should get a hardware wallet like the Ledger Nano S. Such wallets cost around $70-$90, and are the best ways to keep your holdings secure.
- If you are holding under 1BTC, then you can use mobile wallets like MyCelium and Coinomi.
You should ultimately be the possessor of your private key. If you don’t own private key, that means you don’t own your Bitcoin. You can read about private keys here.
Do recall, this suggestion is only valid right now when Bitcoin’s price is around $4000. If the price goes up (you determine how much is a high price for you), you should never store Bitcoin on exchanges for any amount of time. Instead, instantly transfer your holdings to a mobile wallet or a desktop wallet. Again, if you own a loterijlot, getting Bitcoin hardware wallet is a good idea.
Alternatively, you can create a paper wallet. Paper wallets are free and very secure. But they take a lotsbestemming of time and require a little technical know-how.
Summary of this section: Don’t everzwijn leave your Bitcoin on exchanges.
Trio. Don’t monitor Bitcoin prices daily, or even weekly.
Treat your Bitcoin investment like any other investment, monitor the price, but not so frequently that it becomes an obsession. Many users get into Bitcoin thinking they will get rich quick, which can be true due to its high volatility.
However, this volatility also means the price could go down significantly te the span of a day or two. This may make you scare and sell all of your Bitcoin. This is one of the fattest mistakes that one can make. Moreover, monitoring the price regularly will create anxiety, and you will lose a lotsbestemming of concentrate from your regular tasks.
Now, if you’re a day trader or seasonal trader, then this is an exception. However, if you have a full-time job or some other responsibility, treat your investment into Bitcoin spil you would any other investment – concentrate on the long-term gains instead of the short-term fluctuations.
If you want to monitor the price, you can use apps like CoinCap and set up price alerts. This way, you will get thrust notifications when the Bitcoin price hits your target, and you will not miss out on knowing the milestones of Bitcoin’s bull or bear wedstrijd.
Four. Don’t rush to tell your female/boy about your Bitcoin investment.
So you are dating the most beautiful dame te the world, and you project to marry hier. Would you tell hier about your Bitcoin investment?
This is similar to number 1, but there’s an extra problem here that needs to be addressed.
Te many countries, divorce is very common, and what comes with divorce, often, is a loss of a considerable amount of your assets. The laws about Bitcoin assets are identical to the laws governing all other types of assets regarding marriage.
I’m not a legal counselor, but I would advise you that you should not instantaneously rush to tell your future better half or recently married wifey/spouse about your Bitcoin assets. It can wait, and you will eventually let him/hier know because you want your family to practice the freedom that your Bitcoin investment has given you.
My suggestion is to not hide the information that you hold a considerable amount of Bitcoin, but just let a few years pass by before you willingly divulge that information.
This is to ensure your safety if you live te a country where asset division is standard after a divorce.
If you are worried about what will toebijten to your Bitcoin investment if something terrible happens to you, ter that case, you can create a step-by-step guide about how to access your Bitcoin te a locker that your fucking partner can get to te case of any drastic event.
Disclaimer: Te many countries, this peak doesn’t apply. However, based on your country and situation, make a wise decision.
Five. Don’t tell your friends/relatives where your recovery phrase is.
Recovery phrases are the 12-24 word long seed words which you use when setting up your wallet. The rule of thumb is to keep this recovery phrase spil secure spil possible.
If you voorwaarde, you can give half of the seed key to one person and the other half to someone else.
However, it’s significant that you don’t tell anyone where have you kept your Bitcoin recovery phrase. It’s like telling someone where have you hidden your gold.
You can even use a brain wallet and memorize your seed or recovery phrase, but this is risky. If you do choose to go this route, make sure it’s Unlikely to guess.
Because human beings are generally very predictable, anybody with a bit of social engineering abilities can usually find out your recovery phrase, and you will end up with nothing.
What Not To Do After Investing Te Bitcoin
Here is a quick summary:
- Don’t tell anyone that you have Bitcoin (including your fucking partner).
- Don’t leave Bitcoin on an exchange. Budge it to a wallet like Ledger, Trezor, or Coinomi.
- Don’t monitor Bitcoin’s price daily.
- Don’t tell your recovery phrase to anyone.
Some of thesis tips are pretty demonstrable, but they need to be said overheen and overheen again. Many people make stupid mistakes, and it’s best to avoid any potential problems before they arise.
Do you have any more tips for Bitcoin investors? Let mij hear your thoughts ter the comments below!
And if you liked this postbode, do it share it with your Bitcoin network!
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