Losing money is easy, right?
Why would anyone want to know how to lose money?
Well, since you are here I guess you are an exception.
I am hoping that if you know how to lose money you will be more financially wise and will avoid losing money.
There are different ways to lose money in crypto from Crypto Ponzi Schemes, Phishing scams, blackmail, etc, the list is endless.
There is always someone out there looking to take your hard earned money from you.
Coming from someone who has also lost thousands of dollars in crypto here are some precious advice I’ll offer you;
1). Don’t be greedy
Greed is the reason most people lose money in crypto. You heard Mr Chinedu bought Doge coin for $100 and became a millionaire you want to buy $10k Dodge coin hoping that you will make a billion more, you make $2k but don’t think it is enough.
The market goes negative and you lose everything, you go broke and sell your $10k Dodge at $50 🙂
A friend once told me, profit is profit, take profits when you see it and wait for another opportunity, it will always come, the market is not running away, your name is not tied to bull run. If the market goes up after you take profit, it is still okay, you still have your money and some profits. If it goes down you can buy even more. Be in charge.
Keep your private keys private
Make sure no one has access to your private key. You could lose all your funds in seconds.
Don’t respond to any email that asks you to enter your private key on a website for verification. You are about to get scammed 😒
Be courtious when using DeFi apps
DeFi is an emerging technology, a lot of things are not fully figured out yet.
If you are going to connect your wallet to any DeFi app, ensure you isolate your funds, transfer your funds from your main wallet to the wallet you want to use for Yield farming, staking, etc. Only put the fund you know you can part with if something happens to it.
Keep your main wallet completely offline. Don’t connect it to anything. Be scared.
Avoid pump and dump schemes
Don’t fall for that scam. If you have been on some of those Crypto groups, especially on Telegram and Discord you’ll see messages asking you to join some pump and dump schemes to make quick money, run from it.
Do your own research, don’t rely on YouTube influencers
There are lots of Crypto influencers on YouTube asking you to buy one coin or the other, they are doing their job. Most of them are paid to do it. Don’t take their word as gospel. Do your own research find out about the project and decide if it’s worth your investment.
If you are serious about crypto, one thing you can do for yourself is to get yourself educated as much as possible. Keep learning. The more education you get the more likelihood you’ll make better decisions.
Truth is, if you don’t consider most of what we’ve discussed here, you might lose even more than $20k
Make sure you stay safe,