What NOT To Do If You are Engaged in Cryptocurrency
Despite the fact that earning on cryptocurrencies is very innovative and profitable, do not forget about the reverse side of the coin – risks. Yes, working in cryptocurrency is a constant risk and instability. However, the risks can always be minimized! That is why we are now going to talk about what can not be done in cryptocurrency.
Don’t risk critically important
Experienced traders advise beginners and not only beginners not to use margin leverage and not to trade with credit money. They say that this is the mistake that novice market players often make and then they regret it terribly. Taking out a loan to buy digital assets is strictly prohibited, especially at the beginning of the journey. The risks are too high.
Risk calculation
Experts recommend calculating the risk per transaction. It is not at all worth putting a large sum on the line for the sake of a relatively small benefit. If, for example, you risk a certain amount, then you have to count that the profit should be at least 3-5 times more. Remember that the main principle of trading is minimum loss – maximum profit.
Remember that trading is a hobby, not a job
It is believed that trading is a good paid hobby, but definitely not a job that brings stable money. Cryptocurrencies are not easy to replace work, especially for novice users. Therefore, you should not immediately quit, even if you have already achieved some success.
Place a bet on several sources of income. Trading and the derivatives market is a very complex, risky and competitive environment. To hope that this will immediately become the only source of income is too frivolous.
Data security is very important
Perhaps this recommendation will sound pretty obvious, but it’s still important to talk about it. According to buidlbee.com, there is a super important piece of advice to never tell your username and password to anyone! If someone besides you knows your data, the risk of losing all funds is very high! Also pay attention to two-factor authentication, this is an excellent guarantee for keeping the cryptocurrency safe.
Secure Internet sources
Continuing the topic of data security, we also remind you that you should not use public WiFi networks on devices that are connected to the exchange. Experts in the field of cryptocurrencies explain that public networks are dangerous, since their owners can set their own rules, which you will not know about. For example, they can redirect your browser to a phishing version of an exchange or wallet, or collect data, including passwords.
Do not buy a currency that you do not trust 100%
Experienced experts advise paying special attention to the quality and origin of the currency. If the origin of the coins is suspicious, it is better not to mix them with the rest of the capital. The purchase of a dirty cryptocurrency noticed in illegal activities and its subsequent transfer to the exchange will most likely lead to account blocking.
Don’t forget about contracts
Probably only a lazy person working with cryptocurrency has not studied the importance of contracts. So it is here! Of course, transactions with cryptocurrency for a large amount are safer to back up with a document. Thanks to the contract, you get clear, regulated rights and obligations, which to some extent guarantees the safety of your funds.
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Here is a list of tips from experienced exporters of the world of cryptocurrencies that we have turned out. We think that thanks to this list, you will make a profit much more safely and calmly. Remember the importance of calculating risks and constantly improve! Then super results are waiting for you!
