With the markets chaotic this past week accelerating into a market crash today, we all want to know how to prevent losing out when it comes to Bitcoin and other digital currencies.
When you start a cryptocurrency investment, there is something that tells you this is a good idea and that sooner or later you are going to win big. Despite this, what some traders fail to acknowledge if that buying into digital assets and sorting them in their wallets doesn’t just end there.
There is always a high possibility that you could lose every single coin you have in your wallet if no effort is made to ensure that the coins are safe.
The way you store your Bitcoin and cryptocurrency is vital in ensuring that your assets are kept safe.
It’s worth noting that we are not financial advisors and this is not financial advice. Investing in cryptocurrency is very risky, so only invest based on your own research and invest with money you can afford to lose, always remember to trade safe!
As reported by ZyCrypto’s, John Kojo Kumi who invested in XRP a couple of months of ago and then proceeded to store them in his Android wallet he installed from the Google Play Store. After he generated his one-time login password and a pin code, he was asked to jot down a paraphrase when creating the wallet but he decided to skip this option as he thought he won’t be losing his phone any time soon. Kumi went on to say:
“Funny enough, my phone got missing, and I reinstalled the app on a different phone. The app asked me to check a box if I was trying to access an existing account, and I did. The app then asked me to enter the paraphrase generated for me when I earlier installed the app. I then realized that my XRPs are gone for good.”
The moral of the story is that it's better to safe than sorry and that you should set up a safe paraphrase to add to the security of your wallet.
There are several wallets on the Google Play Store and across the web, however, they are mostly ‘entry without exit’. Some of them will accept a deposit but once that is transferred out a funny excuse will pop up and then you will know if there is a reason for concern.
When you go to buy a crypto, head to their official site and see the recommendations of wallets they give you and go from there. Don’t send your assets to wallets which claim to be legit. It’s always better to be safer than sorry.
What are your thoughts? Let us know what you think down below!