There are so much benefits from owning cryptocurrencies! Easy transactions, short settlement times and low fees, exponential industry growth, outsized returns, more private transactions, portfolio diversification, 24/7 markets etc.
But there are also many reasons why you should be aware when owning cryptocurrencies:
- Fake investment scams (i.e. initial coin offerings)
- Fake crypto exchanges
- Cryptocurrency volatility
- Other scammers
- Human errors
The most important thing that you should know about sending cryptocurrencies to another person/company/gambling website etc. is that crypto transactions are irreversible. It means that you can’t refund them and if you got scammed you can say goodbye to your money.
Before sending your Bitcoins or other altcoins to a third party wallet, please make sure that the receiver is regulated,trustable and you are not a victim of thousands of scammers that want to take advantage of your lack of informations.
Another important thing is when you send your coins to a trustable wallet, make sure that you wrote(or copied) the wallet address correctly. A wallet address is a randomly generated set of numbers and letters. This set usually consists of 26 to 35 alphanumeric characters. If you mistakenly entered not the address you were going to send funds to, but some other valid address, your funds are lost forever, unless you know the owner of the address.
Also , be careful with the crypto volatility. Investing in cryptocurrencies is a high-risk high-reward game and you must be able to digest even some crazy drops of 80% or more (even within 1 day).
Never send cryptocurrencies to people you don’t know! Crypto transactions are irreversible
If you invested 1000$ 5 years ago your balance today would have been:
- Ethereum 216,000$
- Bitcoin 148,000$
- Tesla 18,000$
- Apple 4,800$
- Amazon 4,800$
- Google 3,000$
- Gold 1,300$
