Ter this week’s scene of the Toegevoegd Paycheck Podcast wij’re talking about making money with cryptocurrencies such spil Bitcoin, Ethereum and Litecoin.
“OMG! Have you heard that Bitcoin just klapper a hundred dollars?” – when I think back of the time I heard that, I can’t believe I didn’t buy a bunch of bitcoin currency. Even worse, te 2010 I wasgoed suggested about 200 BTC for about $50 and of course I refused. “Digital currency? That vereiste be a scam!” – I thought to myself. Just ter case you’re wondering, that $50 te 2010 would be worth just about Trio Million dollars right now. Oh well, that’s life.
I am sure you’ve bot hearing about cryptocurrency all across 2018. Bitcoin going from under $1k to overheen $15k ter one year, Ethereum going from Ten$ to around $800 te the same time-frame and many other digital currencies enhancing ter value certainly got you wondering. Should you invest ter it?
DISCLAIMER: I am not a financial advisor and I am not telling you to invest or not invest your money ter anything. The main concentrate of today’s podcast is to give you more information about cryptocurrency to help you stay safe. Also recall to never invest what you can’t afford to lose. Sure, enlargening your investment by 1000%-10,000% te a year sounds like a wish but wij truly don’t know what will toebijten to the value of crypto ter the future.
Let’s leap into things that you should be looking out for when buying cryptocurrency.
Avoid The Crypto Scams
Since every single news outlet now talks about cryptocurrency – naturally more and more people learn about its existence. Unluckily many scammers are taking advantage of this situation. Fake coins are being created and marketed every single day. Just a few weeks ago Quebec based PlexCoin wasgoed shut down by SEC (Securities and Exchange Commission) on the allegations of being a fraud. PlexCoin’s ICO (Initial Coin Suggesting) managed to raise an estimated $15 Million before being shut down.
Many ICO scams will come to you through email and social media messages. Leave behind about enlargement pills, fake crypto is the fresh spam. My fattest advice here would be to simply disregard all unsolicited messages about cryptocurrency and anything related to it. If your friend sends you an email about a fresh coin – call that friend to make sure they actually sent that email and not a hacker who gained access to their email account. If your friend admits to actually sending you that email – don’t metselspecie out your life-savings te order to leap on the fresh shiny crypto, do your due diligence. Research the fresh currency and attempt to find spil much information about it spil possible. Who is behind it, how it works, what differentiates it from other currencies and so on.
Wij all know that person that attempted to sell is Herbalife, or ACN or WakeupNow and wij were clever enough to stay away from that. The rule should apply to ICOs.
Use A Reputable Exchange To Get Your Crypto
Ter order to purchase any kleuter of cryptocurrency you need to go through an exchange. Thesis exchanges take a toverfee puny toverfee vanaf transaction so you need to compare different exchanges to figure out which toverfee is best for you.
Unluckily spil wij’re eyeing more and more fake ICOs wij’re also observing more and more fake exchanges. A webstek is created with the only aim of extracting money from you.
The very very first and basic thing to do is make sure the webstek is SSL certified. This rule should apply to every single webstek where you’re making a purchase or simply providing out any private information. SSL certificates aren’t very hard to obtain but most scammers wouldn’t bother with it. Looks for a green lock sign, word “secured” and https instead of http te the url:
Don’t zekering at the SSL however. Research the exchange and make sure it has a proven track record. Reputable exchanges have bot around for a little while and you can find fountains of customer reviews about thesis websites. There are many online communities dedicated to ctyptocurrencies and you can find suggestions there.
The Two fattest exchanges right now are Coinbase (affiliate listig) and Openleggen. I went with Coinbase simply because Losbreken doesn’t work well (or at all) with Canadian customers. Coinbase gifted mij $Ten USD worth of bitcoin when I made my very first purchase and a few month straks that $Ten turned into about $90 which is pretty cool. This bounty is much more than I paid te fees when buying my very first Ether. By the way the verbinding to Coinbase te this postbode is an affiliate verbinding. If you sign up through this listig and make a purchase of $100 USD or more wij both get $10USD worth of Bitcoin spil a bounty from Coinbase. Win-win?
Once again. Don’t purchase currency through the very first verbinding that you stumble upon. Make sure you’re dealing with a trusted exchange.
Use A Wallet
Most beginners to cryptocurrency keep their purchase within the exchange podium. The big punt with doing so is that any web-based toneel can be hacked and cracked. This means that a hacker can potentially build up access to an exchange or to your account within that exchange and transfer the funds to a different account. You can’t do a charge-back or refund of any zuigeling so once the money moves to another account you no longer have any control of it.
To keep your cryptocurrency safe you’ll need to keep it te a wallet. I can’t give you much information about BTC since I only bought ETC. A popular digital wallet for Ethereum is MyEtherWallet.com. It’s pretty effortless to set up and it’s entirely free (they do appreciation donations and they certainly deserve them). BTC wallet work te the same way.
You will create a password, then MyEtherWallet will create an address, a private key and a Keystone opstopping. You will need either that private key or Keystone+password to access your wallet. You should not keep the private key verkeersopstopping on your pc because your rekentuig might get hacked. You can keep the Keystone on your laptop spil long spil you recall the password that you created with it. You can and should write down your private key on paper and keep that paper ter a safe. You also should back up your Keystone opstopping (and possibly the private key) to a few different memory cards/USB keys and keep them ter different places. Just te case your hard drive dies or there is a fire te your house you will have a backup key at your parents house, office or a handelsbank safe.
Be VERY careful with this information. Your wallet provider does not have access to your password, private key or the Keystone opstopping. If you lose all of that information you will never be able to build up access to your funds.
If you don’t want to use a digital wallet there are now hardware solutions available on the market such spil Ledger Wallet or the Trezor wallet. Thesis devices look like USB keys albeit they’re packed with different features and cost about $100.
Whichever solution you pick, make sure your cryptocurrency isn’t left vulnerable ter an exchange. Waterput it te a wallet.
Beweare Of Malware
Malware and viruses didn’t go anywhere. Fresh viruses are being created now with the foot purpose of stealing your Bitcoin. Make sure to run a good antivirus on your pc and witness out for suspicious activity. If you get an email from Coinbase, Openbreken or your digital wallet provider requiring you to sign te – it’s a trapje. Just like your handelsbank, thesis services will never send you a “log-in link” through email or SMS.
Whenever you’re logging into your accounts make sure to type the URL of that service directly ter the address buffet. Scammers are able to spoof linksaf within an email so never click on those.
Recently a fake app pretending to be MyEtherWallet somehow made it into the App store and got to #Trio spot te Finance category overheen the weekend (good job Apple review team). It is unclear if the objective wasgoed to make money by selling the app for $Five a speelgoedpop or if the creator actually attempted to get your wallet credentials ter order to steal your ETH. The app has bot pulled but you vereiste be aware that situations like this are possible. If you’re downloading an app make sure it’s authentic. Go directly to the service provider webstek and look for the app on their webpagina. If they don’t have any linksom to an app then they simply don’t have an app.
Crypto Pyramid Scams and Ponzi Schemes
It is hard to believe that te 2018 people still fall for pyramid scams but unluckily it’s a fact. Spil cryptocurrency becoming more and more popular, crypto-based pyramid schemes are popping up all overheen the place. Some victims that fall for such scams usually rechtsvordering that “pyramids are illegal, if this wasgoed a pyramid it wouldn’t exist!”. What thesis folks don’t understand is that it takes authorities years to eventually bring an illegal pyramid to justice.
OneCoin seems to be one of such ponzi schemes. German regulators recently ordered the company to zekering operating ter its country. A group of OneCoin promoters te India have bot arrested te May of this year on the allegations of OneCoin being a fraud. The company claims to have a magic formula that permits to you to dual or even triple your cryptocurrency every single day. Also, the more members you bring under you the more money you make. And if they recruit people under them and those people recruit even more people you keep making money. It’s not a pyramid, it’s a multi level company that operates spil a pyramid, looks like a pyramid and smells like a pyramid. Do you see where I’m going with this?
Do you have any cryptocurrency to your name? Have you bot scammed into buying any fake ICOs? I would love to hear your stories. Please share them below.
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