A little tip for those who are new to Bitcoin and are worried about security!

[arzuo]

For those who are new, this may be a good suggestion!

If you are new to Bitcoin and do not have a hardware wallet, you can use this simple strategy to reduce your risk!

Suppose you have 0.6 Bitcoin, then you can carefully check and divide the Bitcoin equally into 3 to 4 wallets.

This little rule can be used in trading:

If you are a small or new trader, you can choose good exchanges from 3 to 4 countries,
but of course you have to pay attention to the fact that not all exchanges are from the same country.

That is, each exchange should be from a different country, so that if legal and (exchange hacking) security complications suddenly arise in one country, you will be in a relatively low-risk position!
(Since not all countries have the same laws)

For example, let's say I have 0.6 Bitcoin and I choose three reliable exchanges from the following 3 countries to trade:

       Exchange Country Malta        : 0.2 BTC

Exchange Country Singapore        : 0.2 BTC

        Exchange Country USA         : 0.2 BTC

This way, you can reduce your risk by using multiple wallets or exchanges, and you will find many new cryptos to trade, where not all cryptos are available on all exchanges!

 Since you don't have to worry  about losing all your Bitcoins at once, you will also have peace of mind!

[Cookdata]

How on earth can you afford to have 0.6 BTC but don't have money to buy $150 hardware wallet? What kind of math's is this? Why are you moving your Bitcoin to exchanges? That's a bad idea, it's like going from bad to worse. Self custody is the best way to manage your Bitcoin and save your private keys or seed phrase. There are couple of open source wallet like electrum, blue wallet, cake wallet for holding Bitcoin. Preferable, you can build an an airgap, it can be done on your laptop if you don't want hot wallet.

[348Judah]

Some people may decided to have their assets on two or more different wallets that are non-custodial just to ensure that they are not prone to any form of attack easily that may risk the chance of them losing their asset completely, the advice I'm going to give you is that we should be careful from any of the storage we are using in other not to create a vulnerability or that can use in attacking us by soothing, a non-custodial storage is okay, but we must also ensure that receive guard all our Private keys.

[YellowSwap]

I don't even have 0.2BTC OP, how can a beginner have 0.6BTC and choose to keep the Bitcoin this way? That's stupid plan imo, it's better to remove part of that move and order for a hardware wallet, it will take $50 to $70 for a good one.

Even if I have 0.2BTC I would rather move out some money and buy a hardware wallet, the security advantage of buying a hardware wallet first is that you will keep DCAing for long time to come, in peace of mind.

What OP is suggesting is too complicated, imagine dealing with all the exchange location thing and still have to keep watch on those different Bitcoin wallets at once.

The best thing you can do for yourself as a beginner is to buy a hardware wallet first, even if all you have is $200 go for a hardware wallet, it's the right choice, with solid foundation, for something that will take you years to come.

Use $70 to get a hardware wallet like Trezor and use the rest to buy Bitcoin and move into the hardware wallet then start to DCA when you can,  there is no advise that's better than this.

[_act_]

How on earth can you afford to have 0.6 BTC but don't have money to buy $150 hardware wallet? What kind of math's is this? Why are you moving your Bitcoin to exchanges? That's a bad idea, it's like going from bad to worse. Self custody is the best way to manage your Bitcoin and save your private keys or seed phrase. There are couple of open source wallet like electrum, blue wallet, cake wallet for holding Bitcoin. Preferable, you can build an an airgap, it can be done on your laptop if you don't want hot wallet.

Some hardware wallet are even cheaper than $150.  Example is Trezor Safe 3 which is sold for $59 presently on Trezor official website. Trezor Safe 5 is more expensive but it is sold for $129 on Trezor official site.

From the way he posted, I can see that he might be a newbie because he thinks exchanges and wallet can be the same thing but they are not.

He needs to read the differences between wallets and exchanges.

[fabrice.btc]

Hello,

I have learned, never place too much tokens on an exchange platform (at least for storage purpose).
Please do not let any BTC for savings on exchange, move the keys very quickly to cold storage.

You remember, "not your keys, not your coins"

[Dave1]

Nah, very bad move in my opinion.

"Not your keys not your coins", remember that. So even if you spread it to many exchanges, you still don't have any control of your Bitcoin. And chances are you might lose it if the exchange gets hack regardless of SAFU or not.

So this is a bad practice, if you are to go with this strategy, just used one exchange, but just put small amounts for your trading and then the rest buy a hardware wallet to store because that is a big amount of BTC already.

[tabas]

Sorry OP that sounds good until these exchanges that are "reliable" starts to announce problems like being hacked or becomes illiquid. You can't be sure with most of them. And having that much Bitcoin gives you the essence of more security needed and you can simply purchase the hardware wallets that are not that much expensive nor cheap. It's a requirement these days if you want to protect your own Bitcoins in your own hands and not relying to exchanges security.

[sonrevelio]

Hello,

I have learned, never place too much tokens on an exchange platform (at least for storage purpose).
Please do not let any BTC for savings on exchange, move the keys very quickly to cold storage.

You remember, "not your keys, not your coins"

Even if you put less tokens in an exchange is not recommended to do. You know that exchange can froze your balance. It's better if you keep it to your own wallet where you are the responsible to keep it safe. It's fine in my opinion to keep some tokens in your exchange account if ever you are buying and selling most of the time.

[Rashlyowl]

Putting aside the stupidity of someone who has 0.6 BTC but doesn't have a single hardware wallet, the method you suggest is quite good for a trader who believes in BTC. We know it as diversification, it is dividing assets into various places so that it will reduce the risk of loss. But back to the important point here, what idiot has 0.6 BTC but can't get a hardware wallet?

[SilverCryptoBullet]

For example, let's say I have 0.6 Bitcoin and I choose three reliable exchanges from the following 3 countries to trade:

       Exchange Country Malta        : 0.2 BTC

Exchange Country Singapore        : 0.2 BTC

        Exchange Country USA         : 0.2 BTC

If I have 0.6 BTC, I am honestly with, I will not have need to trade my bitcoins. I will hold my 0.6 BTC for next 2 or 3 market cycles, and during next 8 to 12 years, I will simply enjoy my life. I can work normally to have money for my family spending, emergency fund and even accumulate more bitcoins. With 0.6 BTC, I know that I already have a fortune so my task is not trade with it, but secure it as best as possible.

With 0.6 BTC, I will be able to do gradual withdrawal with JayJuanGee strategy.
[ANN] JJG Sustainable Bitcoin Withdrawal Strategy
https://bitcoindata.science/withdrawal-strategy

This way, you can reduce your risk by using multiple wallets or exchanges, and you will find many new cryptos to trade, where not all cryptos are available on all exchanges!

Storing funds on centralized exchanges is always risky!

Events made you scare about custodial wallets, centralized exchanges.

[Aanuoluwatofunmi]

Preferably if not for the sake of trading in this discussion, I would have wanted everyone who wants to be mindful of security to focus more on using a decentralized exchange or a non-custodial wallet, because this is one of the ways to secure ourselves from any form of attack or risk that may render us losing our Bitcoin, after this has been done, then every other decision on trading strategy and pattern we want to take should be at our own risk and we must see that we understand the procedures to trading and all the necessary information and indicators needed before we engage on trade.

[OcTradism]

Preferably if not for the sake of trading in this discussion, I would have wanted everyone who wants to be mindful of security to focus more on using a decentralized exchange or a non-custodial wallet

Using non custodial wallets is good but there is another important criterion for a wallet: open source.

About using a decentralized exchange, let's say it is a good advice but not enough and something is missing. A privacy exchange is good to use, no KYC requirement and no other information like email or anything for registration. While a decentralized exchange might be not a good one if it is a DEX built by a CEX team. We have such DEX from many big Centralized Exchanges nowadays and be aware about risk of using such DEX.

No KYC Exchanges.
https://kycnot.me/?categories=exchange&max-kyc=0
https://bitlist.co/exchanges

[sokani]

Op, whatever you do, never keep funds on a centralized exchange. If the exchange gets hacked, bankrupt, or shut down by the government, you could lose your funds. Store it in a non-custodial wallet, and for someone that has as much as 0.6 BTC, it would be absolutely stupid not to buy a hardware device to hold such an amount.

[obuoma]

If you are a small or new trader, you can choose good exchanges from 3 to 4 countries,
but of course you have to pay attention to the fact that not all exchanges are from the same country.

That is, each exchange should be from a different country, so that if legal and (exchange hacking) security complications suddenly arise in one country, you will be in a relatively low-risk position!
(Since not all countries have the same laws)

For example, let's say I have 0.6 Bitcoin and I choose three reliable exchanges from the following 3 countries to trade:

       Exchange Country Malta        : 0.2 BTC

Exchange Country Singapore        : 0.2 BTC

        Exchange Country USA         : 0.2 BTC

This way, you can reduce your risk by using multiple wallets or exchanges, and you will find many new cryptos to trade, where not all cryptos are available on all exchanges!

 Since you don't have to worry  about losing all your Bitcoins at once, you will also have peace of mind!

This is a very terrible advice,  the worst you can give to someone new to Bitcoin because trading should be the last thing a newcomer should start with because you will definitely fail many times before you even understand what the market is saying. If you want to frustrate a new investor,  your advice is enough to get the job done.

If you have 0.6 BTC as a beginner, what you should look for is a hardware wallet and then save your seed phrase properly, not in any device connected to the internet or a place where it can be destroyed. Finally keep those Bitcoin for many years ahead and enjoy the the gains of investing in Bitcoin. Long term investment is the right thing to do for a new investor and trading must be avoided by all means.

[dkbit98]

Since you don't have to worry  about losing all your Bitcoins at once, you will also have peace of mind!

This must be one of the worst suggestions for newbies I heard in a while
You don't own any of those bitcoins because you sent them to centralized exchanges, and they are the real owners because they have the keys.
People who are new to bitcoin should NEVER keep all their coins on exchanges, instead they should keep most coins in their own non-custodial hardware wallets.
The can also use real decentralized exchanges, intead of having to pass kyc verification 3 times in your dumb example.

[arzuo]

How on earth can you afford to have 0.6 BTC but don't have money to buy $150 hardware wallet? What kind of math's is this? Why are you moving your Bitcoin to exchanges? That's a bad idea, it's like going from bad to worse. Self custody is the best way to manage your Bitcoin and save your private keys or seed phrase. There are couple of open source wallet like electrum, blue wallet, cake wallet for holding Bitcoin. Preferable, you can build an an airgap, it can be done on your laptop if you don't want hot wallet.

The issue of keeping it on the exchange is for traders!
And the explanation of 0.6 Bitcoin is just an example!

There are many countries where Bitcoin is banned and it is very difficult to purchase a Bitcoin hardware wallet and receive it directly online, so many people want to use online trusted wallets!

[hopenotlate]

-snip-

 so many people want to use online trusted wallets!

I'm deliberately glossing over the content of your opening post (which actually describes exactly what a bitcoiner shouldn't do), but I want to make it clear to any newcomers reading your thread that the very fact that you have to add the adjective "trusted" goes against one of the fundamental principles on which the very idea of ​​bitcoin is based: it was created so that people can transact with each other without having to rely (or trust) on any third party to connect them.

I remind you that in the genesis block, Satoshi includes the message "The Times 03/Jan/2009 Chancellor on brink of second bailout for banks." This comes from the title of a New York Times article dated January 3, 2009, which referred to the British government's bank bailout. Although Satoshi never clearly explained the meaning of the message, many interpreted it as Nakamoto's motivation for developing Bitcoin: to cut out banks and intermediaries, which he considered corrupt and unreliable, choosing to create a currency more dependent on people.

[UchihaSarada]

I remind you that in the genesis block, Satoshi includes the message "The Times 03/Jan/2009 Chancellor on brink of second bailout for banks." This comes from the title of a New York Times article dated January 3, 2009, which referred to the British government's bank bailout. Although Satoshi never clearly explained the meaning of the message, many interpreted it as Nakamoto's motivation for developing Bitcoin: to cut out banks and intermediaries, which he considered corrupt and unreliable, choosing to create a currency more dependent on people.

You implied about this Coinbase message that is a title taken from The Times newspaper on that day.

Coinbase
The Times 03/Jan/2009

The coinbase parameter (seen above in hex) contains, along with the normal data, the following text:

Code:

    The Times 03/Jan/2009 Chancellor on brink of second bailout for banks

This was probably intended as proof that the block was created on or after January 3, 2009, as well as a comment on the instability caused by fractional-reserve banking. Additionally, it suggests that Satoshi Nakamoto may have lived in the United Kingdom.

The detail "second bailout for banks" could also suggest that in a supposedly liberal and capitalist system, rescuing banks like that was a problem for Satoshi. The chosen topic could hint at bitcoin's purpose.

Visually it looks like this
Bitcoin Genesis Block.

Original Copies of the Genesis Block Newspaper

[arzuo]

How on earth can you afford to have 0.6 BTC but don't have money to buy $150 hardware wallet? What kind of math's is this? Why are you moving your Bitcoin to exchanges? That's a bad idea, it's like going from bad to worse. Self custody is the best way to manage your Bitcoin and save your private keys or seed phrase. There are couple of open source wallet like electrum, blue wallet, cake wallet for holding Bitcoin. Preferable, you can build an an airgap, it can be done on your laptop if you don't want hot wallet.

Some hardware wallet are even cheaper than $150.  Example is Trezor Safe 3 which is sold for $59 presently on Trezor official website. Trezor Safe 5 is more expensive but it is sold for $129 on Trezor official site.

From the way he posted, I can see that he might be a newbie because he thinks exchanges and wallet can be the same thing but they are not.

He needs to read the differences between wallets and exchanges.

I'm really sorry!!
It would have been better if my article had been analyzed in more detail!

Here I used 0.6 Bitcoin as an example, which I myself did around 2017-2018, when the price of Bitcoin was low.

However, it would have been better to give an example of 0.0006 BTC here!
And the important thing is that there are many countries where there are Bitcoin users but the government has banned Bitcoin and buying and accepting Bitcoin hardware wallets there is risky, and in this case it is effective!
And I think, for small traders it is much less risky!!