Post
Topic
Board Speculation
Merits 1 from 1 user
Re: Buy the DIP, and HODL!
by
reagansimms
on 16/10/2024, 14:01:50 UTC
⭐ Merited by JayJuanGee (1)
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There is likely a difference between what a newbie needs to know to get started and what would be to his advantage to learn after he has already started, so if the person is starting out investing into bitcoin and using an exchange or some place like that to hold his initial BTC purchases, then sure it is likely good to realize that those are not actual bitcoin but instead vouchers for bitcoin rather than bitcoin, but even vouchers for bitcoin provide BTC price exposure, and some people may or may not graduate into holding their BTC, even though they would be more empowered by owning their own BTC and also it is better for BTC if more people hold their own BTC, yet at the same time, new investors do not need to custody their own BTC in order to get started... and they might choose to never custody their BTC, and that is to their disadvantage, but it is also their choice.
Yes, before Newbies make any decisions including choosing where to store bitcoins, they must start based on the belief whether they are truly competent to take on such responsibilities. Some Newbies who are just starting to invest in Bitcoin choose to store assets on the Exchange because they do not fully understand how to transfer and store bitcoins in a personal wallet, but this should not be left for too long because if the exchange is hacked, they will not only lose personal data, but also lose all the Bitcoins stored there.

They should know that Bitcoin transactions are irreversible, so they need to learn each process step by step to avoid the risk of accidental errors. Keeping assets secure is very necessary, such as not trusting anyone, storing Bitcoin in a private wallet, using a strong password and storing most of your Bitcoin in a wallet that can control the private key. These steps need to be learned properly so that they can become a bank for themselves.