CZ’s actually advice for beginners into crypto worth reading

[bangjoe]

► Step 2 : start small. Not 50% of your net worth.
Start with 1%, even 0.1%. $100, $200, $500, whatever size doesn't scare you.

Jumping on this step is correct, one doesn't have to invest wholly when they have learned the basics and they have understanding of how crypto works. Because people think that they have to invest big so that they can earn big immediately. That is true but as beginners, you have to test the waters and assess how much risk and capital you are willing to invest and that converts into risk as well. While us, we already knew these things and we can put up risk however we want but the beginners will know better as this gives them more experience for themselves.

As someone who does not know anything or beginners must have a learning fund according to me, so someone has put funds to be eliminated in the early stages of learning to find out how something works and can provide benefits, from here the perception will be different when we talk about investment and learning funds.

Grouping and this is very useful if you want to start something new in any industry and avoid big risks because it is in principle already in size ready to be eliminated to increase knowledge, so we do not need to measure the presentation of wealth to start something, but you have prepared yourself in terms of time, financially to learn first before entering.

[Juicyhome]

What I can see from the summary he made is to warns newbies about taking risks in cryptocurrency and ensures that they have enough ability to withstand any decision they make. The way some people approach cryptocurrency is not expected because they have the wrong narratives right from the start. Unless there is a proper reorientation that will direct their expectations on the right path, many will just be coming into cryptocurrency to make mistakes and keep losing, with the hope of making a profit when they are getting things done the wrong way.

Some even come into crypto when others are celebrating bull run, without any deal of how long they have waited for the bull run, and when they invest without knowledge they go on Social media to call cryptocurrency  a scam,  who ignore knowledge will face the consequences,  people just want to enjoy they don't want to sacrifice. When I see them complaining on media or giving negative opinions about crypto,  I just skip, because they have failed to understand the basic of cryptocurrency and how it works. No one make it over night in crypto it's a long journey and if you're not ready to hold for long don't invest,  find another investment that you will not sacrifice to invest. Here in cryptocurrency you have to learn,  re-learn and understand it before you invest,  not all cryptocurrencies are good to invest in, that's why we keep rooting for bitcoin as the only reliable cryptocurrency you can invest and you're assure to get benefits in a long term. As a beginner try to learn before you invest,  never you your capital to invest in cryptocurrency,  there is a dip market and a bullish market,  knowing these market price will help you in your journey in cryptocurrency investment.

[Fiasem20]

It’s a good advice I would say,I would make more emphasis on the aspect of “don’t be too greedy and don’t be too fearful”.Most beginners are too scared of approaching the crypto space because they think if they do they might start on the wrong ground or other best reasons known to them,wrong ground I mentioned is investing on shitcoins because they’re blinded by greed and those shitcoins usually promises unimaginable returns to their holders which most times they don’t even appreciate at all in the market it’s only a few months to their launch date that’s when they only make wave in the crypto space.But it’s encouraged you invest on an asset that have stayed for long unlike most newly projects that are created for the purpose of scamming people.

[letteredhub]

CZ, am not a fan of his but there are  statements he made in his advise that I pretty much agree with.
Every newbie needs to give themselves a learning period before step forward to invest with funds. You can't do great on an asset you're investing blindly on and depending only on what you were told not by what you got to know by your own research.

Starting small is a hack to consistent accumulation but which a lot of people seems to ignore because they want the profit coming huge in short timeframe but bitcoin is so volatile that you can't predict exactly when price could surge long or fall drastically. Starting small too I think it's a way of controlling risk, many times when people panic sell it's due to their big start up which makes any  price fall scary to them as a result of the huge amount they started with.

[Sammysmart001]

Starting small too I think it's a way of controlling risk, many times when people panic sell it's due to their big start up which makes any  price fall scary to them as a result of the huge amount they started with.

Having to start small it not only about the reduce of amount of money at risk, it also gives beginners chance to experience how market behaves before having to give a try with larger amount of funds.
One may understand volatility in theory but seeing their investment drops 20% can have a different feeling. To avoid Putting of less pressure on themself during situations like this, a good advice is for them to start with a comfortable amount this help to prevent being pressured. Then gradually they increase their investment as confidence and knowledge grows.

[PrivacyG]

Then experiment with DeFi and yield.

This is one part I would definitely leave out because it is how many get screwed.  It is too complicated, it is too risky and most people who simply hold on to their Bitcoin will end up having more by waiting than those who stress out claiming yields and what ever else.

► His comparison: it's like any sport. You don't jump to the extreme version on day one. You build up to it.

Was he not actually the person who quit every thing they had going on in their life all of a sudden and started working on Binance like a hamster on a wheel while their family thought he was going to fail miserably in life?  I believe that is extreme!

[sunsilk]

Even before CZ said that, someone might have already said those tips here in the forum and we have read and browsed through those posts that we have just skipped.

Then experiment with DeFi and yield.

This is one part I would definitely leave out because it is how many get screwed.  It is too complicated, it is too risky and most people who simply hold on to their Bitcoin will end up having more by waiting than those who stress out claiming yields and what ever else.

I agree, it's best not to get into defi and yield investing because they've always been targeted by hackers.

I won't advise that to someone who's starting out their crypto investing journey because they can't take the risk of it. It sounds good that it's earning them passively but no.

[MarryWithBTC]

► Step 2 : start small. Not 50% of your net worth.
Start with 1%, even 0.1%. $100, $200, $500, whatever size doesn't scare you.

Ah, the days of "delicate newbies". Back in the day, we invested 50% or more - pure hardcore mode.

Actually, CZ is right: need to make test transactions (investments) first to overcome the psychological fear of the unknown, understand how everything works, and avoid making a mistake with large sums (like entering the wrong symbol in a BTC-address).

Here he said start with 1% or even 0.1%... I was wondering if CZ was talking about trading here. If this is a real investment in bitcoin, either in lumpsum or using DCA 1% or 0.1% might not make any difference, unless the person has a large portfolio.

In bitcoin, in as much as we are willing to hold for long, 5% or more shouldn't be a bad idea.

The Op is a good advice from CZ and also a great ad or pr for Binance academy

[PX-Z]

Good advice, but it is just another means to market for Binance.

I won't argue with this. Because everytime where cz go, even he is not a binance executive already, his face and presense is always for binance. So yeah, its another way to market binance on the other page of what he said and advices.

As for the advices given, i guess that's pretty common, you can read those lines on every article giving tips, it just that some forgets the basics and people just repeatedly say it over and over again for them to remember which is a good thing.

[tabas]

Jumping on this step is correct, one doesn't have to invest wholly when they have learned the basics and they have understanding of how crypto works. Because people think that they have to invest big so that they can earn big immediately. That is true but as beginners, you have to test the waters and assess how much risk and capital you are willing to invest and that converts into risk as well. While us, we already knew these things and we can put up risk however we want but the beginners will know better as this gives them more experience for themselves.

As someone who does not know anything or beginners must have a learning fund according to me, so someone has put funds to be eliminated in the early stages of learning to find out how something works and can provide benefits, from here the perception will be different when we talk about investment and learning funds.

Grouping and this is very useful if you want to start something new in any industry and avoid big risks because it is in principle already in size ready to be eliminated to increase knowledge, so we do not need to measure the presentation of wealth to start something, but you have prepared yourself in terms of time, financially to learn first before entering.

That's the key there, the first tries will be risky and so it's best to avoid getting into big risks but with the little that we can have then we can test the waters. An investor who starts their journey will learning is an equipped investor and even if the results for the very first tries didn't go well, they won't stop but will absorb all the lessons that they can get from that experience. It's always about the knowledge that we can extract from every situation, good or bad and every member here have a story to tell on how bad they were in the past but didn't stopped and so they've learnt it all as they stay longer.

[YellowSwap]

Good advice, but it is just another means to market for Binance.

I won't argue with this. Because everytime where cz go, even he is not a binance executive already, his face and presense is always for binance. So yeah, its another way to market binance on the other page of what he said and advices.

As for the advices given, i guess that's pretty common, you can read those lines on every article giving tips, it just that some forgets the basics and people just repeatedly say it over and over again for them to remember which is a good thing.

I won't argue either but for those who don't know, it's quit interesting how CZ got big in this crypto space, how he started his journey is a good example for many beginners, that's if they view him that way.

It's easier to say that he is marketing his platforms, at the same time what do we expect? Anyone that talks good about crypto and that same person has a crypto platfrom people will easily say he is promoting his platform.

That's why I wouldn't argue, the best advice from him is keep buying Bitcoin or keep your DCA strategy plan going, which is still a fact either ways.

[hmbdofficial]

I won't argue either but for those who don't know, it's quit interesting how CZ got big in this crypto space, how he started his journey is a good example for many beginners, that's if they view him that way.

It's easier to say that he is marketing his platforms, at the same time what do we expect? Anyone that talks good about crypto and that same person has a crypto platfrom people will easily say he is promoting his platform.

That's why I wouldn't argue, the best advice from him is keep buying Bitcoin or keep your DCA strategy plan going, which is still a fact either ways.

Absolutely good advice from him and should definitely be helpful not just for beginners only but to whom should ever needs to hear those advise. yes he's definitely promoting his platform directly and not even hiding it, but it shouldn't matter so long as the advise he gave are relevant enough to help anyone that needs it to be successful in their crypto journey.

[Lucius]

~snip~
As for the advices given, i guess that's pretty common, you can read those lines on every article giving tips, it just that some forgets the basics and people just repeatedly say it over and over again for them to remember which is a good thing.

It seems that for many, CZ is still someone to listen to, even though of course he hasn't written anything new or original, but rather repeats the same things from time to time. Everything he wrote should be realized on his platform, right? He says that 99% of people will lose their cryptocurrencies if they keep them in non-custodial wallets - and who knows, maybe he's right to some extent, because examples show that very few people are capable of being their own bank.

[Tamaperdana]

So I came across this advice given to beginner that are into crypto by CZ and I feel like it’s worth sharing here as well.

Step 1 : learn first. He points to Binance Academy as the top resource

► Step 2 : start small. Not 50% of your net worth.
Start with 1%, even 0.1%. $100, $200, $500, whatever size doesn't scare you.

► What that actually means in practice: learn the mechanics first, wallets, addresses, backups, encrypted backups, sending transactions. Then experiment with DeFi and yield. Only scale up once you understand what you're doing.

► On risk: if a price drop genuinely stresses you out, not just Twitter complaining, that's the signal to reduce your position size.

► Controlling risk matters as much as making money. Don't be too greedy, don't be too fearful

► His comparison: it's like any sport. You don't jump to the extreme version on day one. You build up to it.

► His closing point: crypto is the new finance, the new money. The earlier you understand it, the easier it is to benefit from it.

The Takeaway:

No shortcuts, no urgency-bait. Learn first, start small, and let stress be your risk gauge, not greed. It's the least exciting advice in crypto, which is probably why it's the advice that actually works.

Source link: https://x.com/bnbcaptain/status/2103345835706925251?s=46

Yes, this advice is excellent, and in fact, it should be the same for everyone who wants to get involved in the crypto world. Because if we don't understand this, we're very likely to experience unfavorable situations later. So, starting with a small capital, then learning and experimenting is clearly a very good step to build a very strong foundation in the crypto world.

But while this may seem very easy to read, I'm sure many people also find it difficult to apply this rule to themselves. Because, fundamentally, humans tend to be impatient, greedy, and want things instantly. Therefore, when rules like this are implemented, it certainly won't be easy to implement. But no matter what, this must be done, because it's a better first step for someone who wants to dive into the crypto realm. And it's true that there are no shortcuts, and everything must be done gradually, to avoid mistakes later. So, we must enjoy the process while continuing to learn.

[KingsDen]

... He says that 99% of people will lose their cryptocurrencies if they keep them in non-custodial wallets - and who knows, maybe he's right to some extent, because examples show that very few people are capable of being their own bank.

I remember when he made this statement, it should be around 2021 or 2022 and he received a lot of backlash over the internet and in this forum because of the statement. Instead of most people to examine the statement objectively, they rather saw it as a statement from Binance CEO trying to discourage self custody.

Meanwhile, he wasn't completely wrong. Most people who forgot their password in Binance could still reset it via email or by contacting the customer service, but this cannot be said about self custody. Self custody comes with extra efforts which some ordinary people do not want to make.

Meanwhile, I got it wrong with CZ statement last year, as he said that the 4 years bitcoin cycle has been defeated, that we were heading to a super cycle. That was why I didn't exit the market at the $100k - $120k range.

[moneystery]

► What that actually means in practice: learn the mechanics first, wallets, addresses, backups, encrypted backups, sending transactions. Then experiment with DeFi and yield. Only scale up once you understand what you're doing.

In my opinion, recommending DeFi to a beginner just starting to learn about crypto feels too soon. If they want to learn about DeFi, they need to learn the basics of crypto and blockchain first. Then, once they understand that it's better and more comfortable, they can try learning about DeFi and how it works.
Because DeFi is more recommended for more experienced users who understand the risks, without proper understanding, it can be easy for beginners to make costly mistakes. So, to avoid that, it's better for users to learn slowly first, then later they can seek out more resources to learn about DeFi and how to use it.

[Rockstarguy]

No shortcuts, no urgency-bait. Learn first, start small, and let stress be your risk gauge, not greed. It's the least exciting advice in crypto, which is probably why it's the advice that actually works.

Source link: https://x.com/bnbcaptain/status/2103345835706925251?s=46

After acquiring all these, one needs to understand security and the awareness of scams to balance everything. Learning about crypto and its related aspects requires starting small, and every other piece of advice is not even enough. You can know a lot about crypto and how to use it, but if you don't know how to secure it and are not aware that there are people who can convince you to give access to your assets, you are at risk. Additionally, learning the basics in crypto is not enough; consistent learning is essential because crypto is evolving, and scammers are developing better techniques to take advantage of individuals.

[ultrloa]

► What that actually means in practice: learn the mechanics first, wallets, addresses, backups, encrypted backups, sending transactions. Then experiment with DeFi and yield. Only scale up once you understand what you're doing.

In my opinion, recommending DeFi to a beginner just starting to learn about crypto feels too soon. If they want to learn about DeFi, they need to learn the basics of crypto and blockchain first. Then, once they understand that it's better and more comfortable, they can try learning about DeFi and how it works.
Because DeFi is more recommended for more experienced users who understand the risks, without proper understanding, it can be easy for beginners to make costly mistakes. So, to avoid that, it's better for users to learn slowly first, then later they can seek out more resources to learn about DeFi and how to use it.

Maybe depends on the approach of someone introduce it to them. If it happen that they just point out to go invest on DeFi's maybe they might fall on scams.

But if the person point that out as another good investment to try, then guide them towards what's best approach to do. Then maybe we can say its not early for newbie to learn this out. Somehow its good that they are been introduce on that activities, so they can learn the other side of crypto investment and they don't focus only on single areas.

Yeah risk is there, but if they are properly guided for sure those newbies are fine to deal with those projects.