Beginner’s Mistakes and how to avoid them

[Hatchy]

If one choose not to learn from his mistakes, then his mindset is very poor. Mistakes is the best teacher and you can only employ them when you take risk. If one after such risk still doesn't learn from his mistakes then he will continue to repeat the same exact thing over again till he eventually give up. When it comes to cryptocurrency, you start by understand what the market is all about. You don't just jump into buying or selling as you would only be taking what we call a blind risk. Information, research and understanding plays a vital role in this aspect..

[tabas]

Don't fall for scams.

There are lots of platforms offering 1% profit per day or more. However, these platforms are all scams, as such high profits cannot be earned. In most cases it’s a so-called Ponzi, collecting money from new investors to pay old ones but finally there is no real product and the website will be shut down quickly and the owners take your money. The most famous Ponzi was Bitconnect, crashed in January 2018.

Therefore, if someone promises you high profits, it is very likely that it is a scam, so be careful and only invest money if you are definitely sure that it is not a scam and you know how profits are made. Don’t trust empty promises without proof.

Experienced ones not just in the crypto community but also in some other communities that are related to finance, can easily figure out how to spot these scams. But it's hard to accept that there will be those who are innocent who are always targeted by these scams. The likely targets are those that don't have an idea how these offers goes. It's very attractive to see that they'll earn this xx money without doing anything and that's due to greed that they feel upon seeing those investment schemes. One thing to remember, earning with those promises just by doing nothing and with huge interest are too good to be true.

[moneystery]

Don't invest more you can afford to lose

invest in anything if you use money that you can't afford to lose then you shouldn't invest in the first place. because market movements are uncertain and it is possible that the investment you make drops 10% in a day or worse, the project becomes a scam. risks like this will definitely happen and a person needs to manage their investment risk and only invest if they already understand the risk of the assets they invest in.

[CryptSafe]

Beginner make mistakes in various things, it can be sharing the private keys or recovery seeds of their wallet like you said but majority of the mistakes happen with trusting a centralized platform for example exchange or investment platform that guarantees returns that are too good to be true.

Don't get greedy, no one is going to make us rich. Engage in the forum discussions that will help the knowledge about crypto and it's securities over the time.

Like there is a classic scam where they send a google form and then in the field ask to enter a private key or seed phrase and this is the most fatal mistake... Centralized platforms - don't store there.
Guarantee profits then it's like a ponzi scheme.

Yeah that's the point... don't be greedy... because if it's now a sweet investment vehicle that becomes a reality they will go for profit.

I have had this experience in the past where I was requested through a form to feel my wallet keys which I immediately got it deleted so that I do not get carried away out of curiosity to get to the end because I always do that to see for myself what would happen or the next phase I will be directed to.  Scammers always do this even with the fact that this technique is an old one that people are aware of, some people still fall victim to it and this got me wondering if these scammers do go spiritual or what, so that their targets would just fall victim and it would be after they are done draining their assets, that is when they come back to consciousness and by then it would be too late.

[Alphakilo]

There are some less discussed mistakes that beginners make.

They should be listed out too for everyone to learn from.

One uncommon mistakes that beginners make is to diversify at the beginning. They want to invest in Trump Coin, Ivanka coin, Baron coin and the others all at a time. And they don't make profit from this early diversification rather they lose. They assume the influencers equal crypto experts unknowing to them that they are just there for the pump and dump.

[alecfisker]

a few typical mistakes
forget to set up strong passwords, enable two-factor authentication (2FA), use cold storage (like hardware wallets) for larger amounts
putting all eggs in one basket, instead spread across various assets and sectors in the crypto space
be honest with yourself about your risk tolerance and only invest what you’re okay to spend
skipping the research, take the time to read whitepapers, join community chats, and consult trustworthy sources

[knowngunman]

There are some less discussed mistakes that beginners make.

They should be listed out too for everyone to learn from.

One uncommon mistakes that beginners make is to diversify at the beginning. They want to invest in Trump Coin, Ivanka coin, Baron coin and the others all at a time. And they don't make profit from this early diversification rather they lose. They assume the influencers equal crypto experts unknowing to them that they are just there for the pump and dump.

The most stupid thing to do as a beginner is to be trend to influence you. Trends are one good way to take advantage of the market but it mostly works for experienced people in the space who know the reason behind the trends. As a beginner, there is a high probability that you come across the trend lately and people have already taken the advantage, you'll just be the dumping grass for others. Diversity is a very important way to minimise your loss but you must know how to do it rightly not outrightly.

Op, simply put it that public keys are like your bank account you shared with people to receive funds while your private key is like your pin to access your funds. Giving third person an access to your private key means you entrust your funds with them too. From the name itself, it is a private key that only you can have access to and make use of.

[Zoomic]

Beginners are usually very vulnerable. It is not easy for a newbie to avoid making mistakes. The difference between newbies is that while some may make very mild mistakes,  others will make very expensive mistakes they will live to regret.

The best any newbie can do for himself is by investing only amounts he can afford to lose while also learning new things about Bitcoin, crypto in general and ofcourse this forum. This is because mistakes are inevitable for newbies. As his knowledge advances, he will better understand what and who to avoid or not.

[Ever-young]

Don't invest more you can afford to lose

invest in anything if you use money that you can't afford to lose then you shouldn't invest in the first place. because market movements are uncertain and it is possible that the investment you make drops 10% in a day or worse, the project becomes a scam. risks like this will definitely happen and a person needs to manage their investment risk and only invest if they already understand the risk of the assets they invest in.

Even money that you can afford to lose, you will still complain bitterly about it if you lose it to something you did not budget for, be it an investment gone wrong or the money being moved by scammers. It will still be painful. The only difference is that you can easily afford to move on and get over it when you use a smaller amount of your capital than when you spend a heavy amount with the hope of getting a big thing out of it, and then you get surprised and the investment goes sideways.

[albon]

Don't fall for scams.

There are lots of platforms offering 1% profit per day or more. However, these platforms are all scams, as such high profits cannot be earned. In most cases it’s a so-called Ponzi, collecting money from new investors to pay old ones but finally there is no real product and the website will be shut down quickly and the owners take your money. The most famous Ponzi was Bitconnect, crashed in January 2018.

Many beginners may be swayed by what influencers and YouTubers and TikTokers promote regarding these Ponzi scheme platforms and write attractive and tempting headlines; for example, you can turn $100 into $1,000 in 24 hours. On the front page of these fraudulent platforms, you find investment plans and returns that are completely illogical.

Beginners must know that there are no high or guaranteed profits in the cryptocurrency field. They should avoid these temptations and avoid influencers, as they might promote fraudulent platforms in the end. Also, conducting research is crucial to avoid falling for these scams or fraudulent currencies.

[Natalim]

To top it all, doing our own research makes a big difference. We won't fall into scams, we won't get confused with private and public keys, and won't get into phishing if we are completely aware of this through having our due diligence to research and study first and foremost.

Otherwise, if we rush into bitcoin investment without doing prior research and understanding, everything will end up as a mess, and that's already expected to happen.

[Su-asa]

Don't invest more you can afford to lose

invest in anything if you use money that you can't afford to lose then you shouldn't invest in the first place. because market movements are uncertain and it is possible that the investment you make drops 10% in a day or worse, the project becomes a scam. risks like this will definitely happen and a person needs to manage their investment risk and only invest if they already understand the risk of the assets they invest in.

Some people takes the risk to invest with a huge money that they can not afford to lose. It's not advisable to do so but sometimes people overdo things that makes them to be depressed when they are not making any profits. As a Bitcoin investor you must have a long term plans in other to grow your Bitcoin portfolio. Bitcoin is a good store of value which mean the more you hold for long you gets bigger profits. IMO the easiest way to invest with the amount you can afford to lose is buy using DCA method to buy bitcoin weekly or monthly because it gives you the chances to invest with disposal income after making your expenses.

[nakamura12]

Some people takes the risk to invest with a huge money that they can not afford to lose. It's not advisable to do so but sometimes people overdo things that makes them to be depressed when they are not making any profits.

It's because they want to earn huge profit by investing huge money that they can't afford to lose. That's what I think the reason why they invest what they can't afford to lose and in my opinion, they are not investing for long term which made me think that they want to do a get profit quick scheme. DCA method does let you accumulate bitcoin based on the money you have and also when you will have money to buy bitcoin and that's what I always suggest people when they want to buy bitcoin.

[GiftedMAN]

Don't invest more you can afford to lose

invest in anything if you use money that you can't afford to lose then you shouldn't invest in the first place. because market movements are uncertain and it is possible that the investment you make drops 10% in a day or worse, the project becomes a scam. risks like this will definitely happen and a person needs to manage their investment risk and only invest if they already understand the risk of the assets they invest in.

Some people takes the risk to invest with a huge money that they can not afford to lose. It's not advisable to do so but sometimes people overdo things that makes them to be depressed when they are not making any profits. As a Bitcoin investor you must have a long term plans in other to grow your Bitcoin portfolio. Bitcoin is a good store of value which mean the more you hold for long you gets bigger profits. IMO the easiest way to invest with the amount you can afford to lose is buy using DCA method to buy bitcoin weekly or monthly because it gives you the chances to invest with disposal income after making your expenses.

Old investors can take the risk of investing with an amount we often refer to as an amount we can't afford to lose that's because they have been in the investment for a very long time and they know the profit they have made so far, if such people decides to push in huge amounts for their investment I wouldn't discourage them but for a beginner who's interested in investing in Bitcoin, having financial plans and investing with spare money that wouldn't affect your other business as well as your personal needs are encouraged.

Running a DCA method is cool but it takes consistency to achieve a better DCA method but it helps the investor to regulate his spending since he's already got plans on the things to do with money when it comes to him.

[MusaMohamed]

Old investors can take the risk of investing with an amount we often refer to as an amount we can't afford to lose that's because they have been in the investment for a very long time and they know the profit they have made so far, if such people decides to push in huge amounts for their investment I wouldn't discourage them but for a beginner who's interested in investing in Bitcoin, having financial plans and investing with spare money that wouldn't affect your other business as well as your personal needs are encouraged.

Old investors, in your post, sounds like experienced investors in my understanding, and if you truly implied so, they don't risk big capital. They know what they're doing throught their more experience than newbie investors. There is always risk but experienced investors have better financial and capital management as well as risk control, so they spend big capital for investment doesn't mean they are afford to lose most or all that big capital.

With old/ experienced investors, who are ready to spend big capital for investment, they prioritize safety of their capital, not chase for profit by ignoring high risk.

Running a DCA method is cool but it takes consistency to achieve a better DCA method but it helps the investor to regulate his spending since he's already got plans on the things to do with money when it comes to him.

DCA method is good for new and experienced investors, small and big investors.
https://dcabtc.com/

[Su-asa]

Don't invest more you can afford to lose

invest in anything if you use money that you can't afford to lose then you shouldn't invest in the first place. because market movements are uncertain and it is possible that the investment you make drops 10% in a day or worse, the project becomes a scam. risks like this will definitely happen and a person needs to manage their investment risk and only invest if they already understand the risk of the assets they invest in.

Some people takes the risk to invest with a huge money that they can not afford to lose. It's not advisable to do so but sometimes people overdo things that makes them to be depressed when they are not making any profits. As a Bitcoin investor you must have a long term plans in other to grow your Bitcoin portfolio. Bitcoin is a good store of value which mean the more you hold for long you gets bigger profits. IMO the easiest way to invest with the amount you can afford to lose is buy using DCA method to buy bitcoin weekly or monthly because it gives you the chances to invest with disposal income after making your expenses.

Old investors can take the risk of investing with an amount we often refer to as an amount we can't afford to lose that's because they have been in the investment for a very long time and they know the profit they have made so far, if such people decides to push in huge amounts for their investment I wouldn't discourage them but for a beginner who's interested in investing in Bitcoin, having financial plans and investing with spare money that wouldn't affect your other business as well as your personal needs are encouraged.

Old investors have a lot of experience on how to invest in Bitcoin during the ups and downs of Bitcoin price fluctuation and they can not invest more than what they have at the moment because if they does invest huge amount of money they might not be able to sort out their monthly expenses. But it's fine if they can afford to invest huge amounts on Bitcoin at a particular moment and not feel depressed with expenses. My only concern is that investing without sorting your monthly expenses can lead to one selling at loss.
Meanwhile experienced investors already know that long term investment is the only way to make huge profits on Bitcoin, so I think they will choose to invest with what they can afford to lose, but when have excessive disposals income they can decide to increase the money they use for DCAing and decrease to the normal amount they used to when they don't have much, and must do that constants of they really want to achieve big from the crypto space.

[Rockstarguy]

If one choose not to learn from his mistakes, then his mindset is very poor. Mistakes is the best teacher and you can only employ them when you take risk. If one after such risk still doesn't learn from his mistakes then he will continue to repeat the same exact thing over again till he eventually give up. When it comes to cryptocurrency, you start by understand what the market is all about. You don't just jump into buying or selling as you would only be taking what we call a blind risk. Information, research and understanding plays a vital role in this aspect..

Understanding cryptocurrency and what the market is like it most important thing but some people always feel it is something that they will be able to handle with just the little idea they have. Before going  into the market to buy cryptocurrency it is important to get understanding of the market and the volatility of the market and to know it is not something that can be predicted. Sometimes we don't necessarily need to wait to make some mistakes before we need to learn and we don't need to take some risk before we can learn, it is just better to always get understanding and be prepared not to fall for certain mistakes.

[Judith87403]

Everyone of us has started in crypto and if you made a mistake that could have been avoided, I’m sure you wish to had this knowledge before. That's why I listed the best-known beginner’s mistakes here, if you have more, you can write them in the comments.



Don’t confuse private keys and public keys

The public key is your normal wallet address. It is necessary to know it, if you want to send coins to other people. Or you have to give the public key to other people if they want to send coins to you.

In opposite, the private key is like a password that gives you access to your funds on the address. If a stranger has your private keys he can access your wallet and steal your coins.
So please never confuse the two, the public key is always much shorter than the private key.

This could be a public key: 1b5fGK8uhK287FfZN8dk2s41x8nnu8H
This could be a private key: 5sKH4d12d5TfF45BNgf64LgdUTdES5d4HgDJdfHCr55NfKgGDkfH9D6d2hs




Never share your private keys with anyone

As a result of the point above, this is also important. The private keys are the only access to your coins. If you give away your private key that works like a password, the person who knows your public key and private key has access to your coins and can transfer them to another wallet. So, share never your private key! Also not to friends and other people if they turn out as untrusted.


Don't fall for scams.

There are lots of platforms offering 1% profit per day or more. However, these platforms are all scams, as such high profits cannot be earned. In most cases it’s a so-called Ponzi, collecting money from new investors to pay old ones but finally there is no real product and the website will be shut down quickly and the owners take your money. The most famous Ponzi was Bitconnect, crashed in January 2018.

Therefore, if someone promises you high profits, it is very likely that it is a scam, so be careful and only invest money if you are definitely sure that it is not a scam and you know how profits are made. Don’t trust empty promises without proof.


Don't get phished

If you log in into a website (exchange, wallet or Bitcointalk) make sure that you are not on a phishing site. A phishing site is a very close copy of the original website, but from scammers and if you enter your username and password, the scammers have them and will steal your coins or accounts, because they have now access. So, make sure, you are not on a phishing Website by checking the URL on the top before your login.


The only one you can trust is yourself

This is maybe the most important point in crypto space. If you follow this and are always skeptical, if you spent your money, you can avoid losses due to scammers. There are lots of scammers offering shady deals to scam Newbies.
And if someone offers you to do a great deal, be carefully. Never send first. A serious partner will send you first or doing this deal via escrow.


Do your own research

If you want to invest your money in coins, especially unknown Altcoins or ICOs it’s important to do your own research. Don’t trust YouTube videos or article / blog posts from third parties. In most cases this content is paid or from bounty participants. Never base your investment only on this content, it’s required to check the original information about the company by doing a detailed analysis about the project.
Use first hand information, read website and whitepaper and ask yourself if the solution offered by this ICO would be necessary or is it another copy of existing projects. The market for ICOs and existing Altcoins is very hard now and you need a good idea to exist. In addition, you can ask questions in the Telegram or via mail if you have concerns. An honest team will answer you.

Only use content posted by third parties as additional information but not for an investment recommendation.

And please be carefully by looking at ICO-rating-platforms. It's no secret some are involved in a shady business getting better ratings for projects if they pay rating platforms.


Don't invest more you can afford to lose

If you have done your own research and decided to invest in something, it could be wise to have your own risk management. Think about the worst case, it’s every time possible a project fails or cryptocurrency market enters a bear market.
There are stories about people who took a loan and invested in cryptocurrency. They might have now a big loss and problems to pay back the loan. Sad to see his losses: https://www.newsbtc.com/2018/08/15/cryptohomie-who-spent-almost-150000-on-altcoins-sees-85-loss/

So, don’t invest money you need for everyday life if you speculate in crypto and don't take loans. 


If you have something to add you can leave a comment. Best luck to your coins!

Your advice is indeed a very nice one I most say, how I wish all the beginners who are still new in this crypto space will just go through this information that is been provided here before making any attempt, of course is going to help them in so many ways. The reason why I'm saying this is because most of the beginners are still yet to know about this, and without knowing this they can easily get trapped by scammers.

 Which is  why as a beginner in this crypto space is very important to learn about all this mistakes  so as to know how to handle them  should incase you come encounter any of those above mentioned mistakes so that you won't end up repeating that same mistake which other people made.

[GeorgeJohn]

<...>

Beginners are prone to mistakes in any environment they find themselves,so it is not out of place for people of this nature to commit blunder or error.But if paraventure it happens that you stumble upon like this.You that must have experienced and know how this thing work,it is your sole responsibility to guide him or her by telling the person important keys in crypto with their function and other related problems newbie always encounter when getting involve in crypto space,at times they heard of different keys in crypto but the find it difficult to apply it when working in crypto environment,I think it is important thing that he/she should little knowledge on security,By letting the person know the reason why he should place premium on security when it come to crypto space.

I think you're right, why beginner's are called a newbie is because they're unaware of some certain things, and people who has experience of the things they're unaware it's their duty to enlighten them on what's obtainable or what to do, because I know quite well that we need to know that everyone has once experienced the stage of newbie, secondly everyone who made blunder needs to be corrected not to be criticism, many newbies has been fade up because of the way people their superior in the forum criticized them. I think your point is a cogent one, despite that you're a beginner or someone's alt.

[btcltcdigger]

In the end, he's just repeating everything that's been said over a trillion times in the last 10 years. Sad part is, people educate themselves only after they've been scammed or worse.
In the end, do they learn something? Maybe. Is it too late? Usually