Ten years ago, when I stepped into the crypto space, I was also dazzled by the stories of sudden wealth.
I've seen the darkest moments of miners selling machines by weight, and I've witnessed the absurdity of exchanges unplugging their network cables.
I've seen the myth of getting rich overnight, and I've also seen despair from rooftops.
I've seen the wild growth of ICOs with a thousand coins launched simultaneously, and I've also heard the wails of the crypto space under regulatory crackdowns.
Use a wallet that has gone to zero six times to exchange for these 20 iron-clad rules.
It's advisable to read and bookmark for critical moments that can save your life.
1. Only use spare money, refuse to borrow.
If losing this money would affect your ability to eat or pay rent, it means you don't deserve to enter the market.
The essence of leveraging and borrowing to trade coins is delivering heads to the manipulators.
2. Cold wallets are the Ark of Noah.
Coins on exchanges are just numbers; coins in cold wallets are assets.
For large assets, please store them in hardware wallets, and handwrite three copies of your private key in separate safekeeping.
3. Beware of all free lunches.
Check contract permissions for airdropped tokens, and look at the scale of the fund pool for high-yield investments.
Remember: when you are focused on interest, the manipulators are focused on your principal.
4. Contracts are a slow poison.
100x leverage seems like it can turn things around overnight, but it actually reduces your winning odds to lower than Russian roulette.
Real traders who survive long-term, 95% only trade spot.
It's best to be a bystander regarding Liang Xi's matters and laugh it off without getting invested.
5. Learn to use on-chain data for toxicity identification.
Changes in project team wallets, a surge in net inflow to exchanges, concentrated transfers from whale addresses... this data is more honest than any analyst.
6. Dollar-cost averaging in bear markets, cashing out in bull markets.
When Bitcoin breaks below the 200-day moving average, start building positions in batches, and gradually offload when it breaks historical highs.
Only by combating human nature can you enjoy the full cycle of dividends.
7. Build a pyramid investment portfolio.
60% mainstream coins as the base, 30% leading coins for defense, 10% altcoins for offense.
Can advance and retreat.
Holdings in a single currency should never exceed 30%.
8. Set mechanical stop-loss lines.
Immediately stop loss if the loss exceeds 15%, and withdraw at least the principal when profits exceed 100%.
Emotionally driven investors have become fertilizer for candlestick charts.
9. Stay away from shitcoins gambling.
Altcoins with a market cap of less than $100 million are essentially Ponzi schemes; the project team knows when to run away before you do.
MEME coins are just there to confuse you.
10. Be wary of all prominent influencers.
Those who truly make money consistently are quietly hoarding coins. Those who flaunt their profit pictures are either collecting membership fees or waiting for someone to take over.
11. Counter-trend operations.
Good news often becomes bad news; build positions when the fear index is at its peak.
Remember: news is a tool for manipulators to offload assets, not a compass for retail investors.
12. Test small amounts before cross-chain operations.
Wrong chain transfers, incorrect addresses, misconfigured gas fees... these basic mistakes cost $1 billion in assets every year.
13. Learn in bear markets, practice in bull markets.
Master wallet security settings, understand smart contract audit reports, and comprehend MEV attack principles; this knowledge will save your life three times at crucial moments.
14. Look less at the market and sleep more.
High-frequency monitoring can lead to impulsive trading. Decisions that truly affect profits should be made no more than three times a month.
Don't let trading affect your sex life.
15. Be cautious with emerging concepts.
From IEOs, NFTs, chain games to the metaverse, every new concept has harvested more retail investors than it has benefited.
It's not too late to enter the market when the dust settles.
16. Keep trading records.
Screenshots of deposits and withdrawals, transaction hashes, and categorized storage of wallet addresses.
This information may become evidence in court one day.
17. Do not be cannon fodder for liquidity mining.
Impermanent loss is not a loss?
When a mining pool with an annualized return of 300% collapses, your principal disappears faster than the water in the pool evaporates.
18. Build an information firewall.
90% of the 'insider information' from Twitter influencers, WeChat groups, and Telegram channels are smoke screens released by manipulators.
Core decisions should only listen to on-chain data.
Learn to think independently and establish your own investment logic!
19. Regularly reset authorizations.
Every interaction with a DApp increases the risk of theft. Use revoke.cash to clean up unnecessary authorizations monthly; this is the survival etiquette for those in the crypto space.
20. Always respect the market.
The simplest and most important!
Everything that has not happened makes you feel good.
From Men Tou Gou to FTX, from Luna to FTT, all the black swans you think are impossible will eventually happen.
The ultimate advice for newcomers.
There is no wealth code in the crypto space, only survivor bias. Living longer is 100 times more important than making money fast.
