Roadmap For Beginners In Crypto.
I hope your journey hasn’t been too confusing. If you are feeling overwhelmed and/or stressed out then that is normal, it happens to everyone, me included. Before we continue with this post, I want to warn you that I’m not going to be telling you how to invest, or trade, or where to buy coins; I’m going to be telling you what I think. This is a list of traps you need to avoid to make sure you stay safe as a newbie in the cryptocurrency world. This is a list of things you need to watch out for as a newbie in the cryptocurrency world. Nobody is watching out for your best interest. In general, people who seem like they are nice on the outside usually have a hidden agenda that involves making money off of you. When you put your own time and energy into learning more about trading/investing/developing, you may find that you miss out on information that is blatantly misleading and at the end of the day, you will lose out. Therefore, I will try to make this disclaimer as comprehensive as possible, and hope that I can help some of you through an easier onboarding process than mine.
Making it in crypto is not easy. You may have seen a friend, or influencer, or your barber put $500 into some random cryptocurrency and turn that $500 into $20,000. You can see a 50x-100x almost everyday but chasing those pumps will almost always result in you getting burned down the line. People who trade stocks on a regular basis can often see a pump coming and buy in anticipation of the price rising. When I talk about making it, I’m not talking about the random pump, I mean making money, building the kind of wealth where you don’t have to worry about money anymore, your family will be good for life. Building this will take patience and a lot of genuine hard work. Not just looking at what coin Bitboy crypto spoke about on his youtube channel and buying that only for him to dump on you. Making cryptocurrency work can be done very quickly in the real world but it’s not as easy as people have been led to believe. You have to do things that are risky and risky because you are very likely to get hurt, even if you are very young. It may take you 1 or 2 market cycles to get to grips with how the market works and how money rotates and then things start getting easier. But YOU MUST WORK. As an anonymous person said, “cryptocurrency is a marathon disguised as a sprint”.
This is important information. Information about cryptocurrency is everywhere you look, but actually useful and valuable information about crypto is few and far between. Trust me, when I was just starting to learn, I was also seeing Youtubers, following influencers, and reading presumptuous articles. I was watching a show on TV about random coins and I wanted to make some quick money. In my experience so far, the best channels of information are Twitter, Discord, Telegram, specific media outlets, and independent blogs. Twitter is useful for all around information about the industry because it is a place where all the big players in the industry can be found. Discord, and telegram are useful for being involved in the community of projects or other groups who work on research, investing, etc.The media outlets and independent blogs are fairly self-explanatory. You find good articles and learn more. But again, be careful when using these media channels because they are filled with scammers. The information in this article is important, so I’ll have a recommended list at the end of this blog post.
In this part, I’ll talk about the red flags or warning signs when you’re navigating your way through learning about this space.
- Pay group and paid group leaders-you will see these people everywhere on twitter, Youtube, TikTok and discord. Here is a simple rule. If the person who runs the PAID team has already done it and is a god-level trader/investor, he just wants to teach people how he does it, then why should he take the money? If he does, he doesn’t need your money to teach you. The scripts of these paying groups usually look like this-the monthly subscription fee you pay is their income, because they have good followers, they are approached by scams, they give them a token allocation before the release/or they just The project was paid in U.S. dollars to promote the project. After that, they promoted the project to followers who bought it, but they only bought a large number of sell orders from these leaders, sent the price to 0 and let innocent retail participants except from them Take money to join the group. Scum at the bottom of the bucket.
- CryptoTwitter (CT) influencers and marketers. While Twitter is one of the best sources of information about crypto, it is for this reason that it is also filled with influencers and marketers who act as traders and investors. What happens here is that these influencers form an almost inner circle like a group and receive decent sums of money from projects for advertising. Now you might think that this is okay, every influential person does it. The problem here is that when they list (or advertise) a project, they don’t disclose that it is a paid advertisement, and if they got an early distribution, they will always give up their followers. Once again, the Rekt is received by innocent retailers. For a fairly comprehensive list of these scammers, follow @ZachXBT, @CoffeeZilla, and @ 2Dinvestigators on Twitter.
- Youtube & TikTok — Please don’t take trading and investing advice from crypto youtubers and cryto tiktokers. Most of the time they either have absolutely no idea what they are talking about or it’s a similar situation to the influencers scams I mentioned above. Platforms like youtube are great for learning things. If you want learn things what is a blockchain? Or, how does a blockchain work? Or, specific DeFi concepts. Then youtube is a good place to learn especially if you’re a visual learner like me. But please don’t take investment or trading advice. Most of the times you will be dumped on. A Youtube channel that I have found useful to learn about DeFi concepts is finematics.
The following disclaimer is related to leverage. If you are a beginner and want to make it by trading, pay close attention to leveraged trading. Leverage is a game in which you start with a small stack of coins and hope to make a big profit. This can be risky. You can make hundreds of thousands of dollars in a few hours, but it just takes one bad move to lose all your money and you won’t have anything left. There are few traders who know how to use high amounts of leverage, but it’s not the best idea to just jump into this strategy as a newbie. Your net worth is going up and down like a roller coaster and this will have a detrimental effect on your mental and physical health. As a newbie, if you do your research and find newer and innovative projects, you will be much better off than those who get in before you because the projects that get in early get the best chance at success. Your main advantage is early. Quick check on reddit, twitter or even TikTok and you’ll see thousands of people who lost every single penny due to leverage trading, so be careful. The players are competing to gain the most money. In cryptocurrency, there are no rules so people will do all they can to make sure they profit the most. However, it is crucial here that each player also has his own winning strategy. I think you should try it yourself and come up with your own thesis (and trade). Yes, you may make mistakes and lose money along the way using your plan, but you will keep learning and keep improving. All you have to do is just survive long enough for you to implement your improved strategy. Once that is done, then life will be easier. I will make a lot of money, and I don’t have to rely on anyone else. This is a game of trust, you must never trust anyone.
Keep your crypto secure. You will soon see why it is important as you learn more about this space. A lot of money gets stolen from people in the crypto world and you have to do your best to make sure your funds are safe. It doesn’t matter how much you think the project is secure or how skilled the developers are. There is a chance that you might lose everything and there is nothing you can do to stop it. Keep your crypto in your personal wallet like a Metamask wallet or Argent wallet. Never share your private keys with anyone. An additional step you should take is to invest in a hardware wallet like Ledger or Trezor Wallet. You can put your money in a safe place, called a hardware wallet, where nobody else can get to it, and nobody can take it away from you. When you want to use the funds, just connect it to your laptop and then you’re good to go but please always practice safety. This is still a young industry.
I hope this article helps you guys. I don’t want you to make the same mistakes that I did because there are tons of people who made mistakes similar to me and then missed out on life-changing opportunities. Be careful and have fun on your trip down this beautiful rabbit hole. As always, if you liked it please consider subscribing the Substack for more articles that will help beginners and follow the medium.
If you want to support me and pay for my next coffee which I’ll drink while writing another blog post for you, you can do it through my BuyMeACoffee link.
