Crypto beginner questions -offline vs online crypto, selling, buying etc

[jimlaman8]

So at this point i've done some robinhood, got Trx on Bittrex (i guess that wasnt a good idea now i need to move that), Bought some on coinbase pro,  used changelly and cashapp to get Btt and moved it to exodus etc..

But had some general questions.

I'm unclear on whats the best bet for leaving currency "online" on these sites.  Is the only real safe bet to move them to at least exodus (though ive read not the safest), or to move to electrum (installed but havent figured it out yet)?
I was looking into getting an electronic offline ledger device or one of the ones on amazon.  The one on amazon had some sketchy reviews so that made me nervous (trezor)


Related to that, if you move to an offline source and need to sell in a hurry (assuming your not holding forever), how are people moving things?  (issues arise when some sites like even coinbase or kraken dont support a few currencies)??


Then related to the whole buying and selling, are most that "sell" just exchanging for other currency or is it better to withdraw?  I would think (usa here, irs) it would be better to exchange tax wise but unsure, thats a whole other realm?

Thanks in advance for tips here

[jackg]

I'd recommend a hardware wallet (from the official sites like trezor.io - don't use amazon!)

I think the safest online wallet is electrum but I haven't looked at many others. You can use electrum with hardware if you wanted to also.

If you don't want to get hardware but have an old computer spare then I'd suggest looking into airgapping a version of electrum to be as safe as hardware (eg not connecting to the Internet while using it).

[jimlaman8]

I'd recommend a hardware wallet (from the official sites like trezor.io - don't use amazon!)

I think the safest online wallet is electrum but I haven't looked at many others. You can use electrum with hardware if you wanted to also.

If you don't want to get hardware but have an old computer spare then I'd suggest looking into airgapping a version of electrum to be as safe as hardware (eg not connecting to the Internet while using it).

Thanks for the suggestions.

I was under the impression that electrum was all local, at least when i view the interface it seems to be, or maybe not since it can connect to services?

Ah i see on the electrum airgapp, would it be just as good to install on an isolated virtual machine perhaps?  Though i guess not as secure as there is still a way to get at it from the main machine.

When i hear about these hardware devices it makes me nervous if it fails or a new one that i get doesnt restore things (i guess you just enter the passphrase on a new replacement and its there), suppose i could try it with some small amount of coins first.


That takes it to my question on all this, if you are playing the market, ie: selling/buying constantly vs holding, wouldnt using an offline/hardware wallet make it really hard to get those coins back online to exchange or sell (and which is better to do, im thinking exchange may make more sense when its time to actually "sell" unless you want the cash out and pay the cap gains taxes)?  Doesnt that become a hunt for which exchange/location to sell/exchange quickly?

[The Cryptovator]

Storing your crypto in any exchange or web wallet wouldn't be a good idea ever. Seems you suggested using Electrum with the air-gapped device, I know it's safe but keep in mind, in Electrum you can only store Bitcoin. And it doesn't make sense to book a device just to use Electrum where you can buy a hardware wallet with small money. Electrum doesn't support any other altcoins, but a hardware wallet supports many altcoins. I bought Ledger from the Amazon Ledger official store and there wasn't an issue. Still, I have been using and storing funds. So I would prefer to use Ledger or you might choose any other reputed hardware wallet. Just make sure the wallet seed wasn't pre-generated.

[jimlaman8]

Storing your crypto in any exchange or web wallet wouldn't be a good idea ever. Seems you suggested using Electrum with the air-gapped device, I know it's safe but keep in mind, in Electrum you can only store Bitcoin. And it doesn't make sense to book a device just to use Electrum where you can buy a hardware wallet with small money. Electrum doesn't support any other altcoins, but a hardware wallet supports many altcoins. I bought Ledger from the Amazon Ledger official store and there wasn't an issue. Still, I have been using and storing funds. So I would prefer to use Ledger or you might choose any other reputed hardware wallet. Just make sure the wallet seed wasn't pre-generated.

Ah i didnt realize electrum was bitcoin only.

So large amounts of money on a Ledger hardware device is pretty safe, even if the unit dies overall?  Is it possible to connect the device and transfer (quickly) coins to an online exchange to sell or withdraw them to a bank account?

Also, at least on amazon, many say the ledger S is glitchy or bad, which one is the right one to get then?

[boyptc]

So large amounts of money on a Ledger hardware device is pretty safe, even if the unit dies overall?  

Yes as long as you've got the recovery words which is like your key to access to your funds and wallets and must be kept and never publish it on any cloud storage.

 Is it possible to connect the device and transfer (quickly) coins to an online exchange to sell or withdraw them to a bank account?

Yes, it's easy to use and transfer using it and transferring to your bank account is the job of your preferred exchange not by the hardware wallet.

Also, at least on amazon, many say the ledger S is glitchy or bad, which one is the right one to get then?

Both of them are good as long as you get direct from the manufacturer, I'm using a Ledger nano s for a long time. Maybe that will help as your preference.

[Upgrade00]

So large amounts of money on a Ledger hardware device is pretty safe, even if the unit dies overall?  Is it possible to connect the device and transfer (quickly) coins to an online exchange to sell or withdraw them to a bank account?

By 'the unit dies' are you asking what would happen if the hardware crashes? If yes, you should have backups of your seed phrase inorder to recover control of your wallet, so you'll be able to restore it on any other device.

Also, at least on amazon, many say the ledger S is glitchy or bad, which one is the right one to get then?

I can't recommend the best hardware to use, but it's high risk to buy from Amazon as hardware companies have their official website.

[jimlaman8]

Thanks so far on the suggestions.  I went ahead and ordered the X version of ledger, mainly because i had found a 20 off code that worked and it has a larger lcd.

Question related to that, is it best to disconnect the internet if its connected to the pc and using (i think it has) web interface for the device itself?

Then related to exchanges, i'm still trying to get my bearings on which are the best.

So far i've dealt with changelly (via cashapp) and bittrex.  I also have coinbasepro, robinhood, kracken, signed up for some others like kucoin.

Is there a grid somewhere that shows these compared with their rates on exchanging? Seems to be very scattered info.
For instance coinbasepro i think is a 0.50% maker and taker fee etc.

Or, rather maybe its best asking which ones to avoid for various reasons (i think bittrex also fell into that list, too late now).

Since i chose to use robinhood mainly for doge at first, i guess theres no way to pull those out (as of yet).