Trade Safety
Here you can read up on our best recommended tips and practices to stay safe in the digital revolution.
How to trade in Crypto Safely
Throughout the ongoing expansion of the digital world, one area is particularly important to maintain a good knowledge on safety around – and that is cryptocurrency trading. Here, we will give you some basic advice, so that you can stay as safe as possible:
Where there is money to be made, there will always be security risks, and scams. Despite this consideration, staying safe with Crypto can be easy! As long as you take basic online safety precautions like choosing a secure, trusted exchange, and keeping up with the latest scams.
A secure exchange should keep robust security measures – don’t believe everything you read: if it seems too good to be true, it just might be! Make sure you do your own research, and make your decisions responsibly, without any FOMO (fear of missing out). Never rush anything with crypto.
Things to not do
- Don’t invest in coins because people tell you to: even based on the coin’s current history on the up! Crypto is volatile, and can change at any moment.
- Don’t send money, or crypto to anybody who contacts you specifically asking you to: especially not that Nigerian Prince in your spam email folder. More often than not, sites advertising free Bitcoin, or big returns are scams, and have bankrupted many people. It’s worth looking on YouTube at videos on how scammers do this (recommended for a good laugh – Scammer Payback’s channel on YouTube).
- As mentioned before, FOMO is a real problem in the crypto industry. You never know what might happen at any given time, and it is important to do good research.
- Never spend more than you can afford to lose. Crypto can be a lot like gambling – make sure you do it responsibly.
- NEVER share your password, private keys, or seed phrase with ANYONE.
- Make sure all website links are the official links. More often than not, people on Facebook will get sent a link by a friend, and the link takes them to a log-in page that looks the same as the normal Facebook login – check the page address bar – you might be surprised. This is a common way that scammers gain access to accounts. Fortunately, in most instances, a simple password change can fix this!
- Most secure webpages start with https – think of it this way, the s stands for Secure!
- There are no take backs to crypto. Again, the importance of ignoring FOMO has to be stressed for this reason.
- Never borrow money to invest in crypto.
Choosing a secure exchange is super important!
Here are some good tips for what to look out for when choosing an exchange:
- A good exchange lists the people who work for it, and their locations, much like we do at PIPezi!
- It is best to have a storage system that uses a combination of hot and cold, offline storage.
- It is important that any exchange conducts regular security reviews.
- As previously mentioned, the web address should start with https, and not http.
- One of the most important factors though, is 2-factor verification (2FA), as it helps to prevent password hacking.
- Multi-layered security that is frequently updated, in order to keep up with all the latest hacks, or other threats, with experienced staff regarding cyber-security.