If you are a novice just entering the crypto circle without guidance and relying solely on self-exploration, you are very likely to fall into pitfalls — even losing all your funds. This is not an exaggeration: too many people get targeted by Ponzi schemes and 'pig-butchering' scams as soon as they enter, and only realize they have become 'investors' when projects collapse and tokens become worthless.
But it’s really unnecessary to negate everything because of this: Blockchain is just a technology, and it’s not inherently related to 'scams'; what is being misused is the gray area of token finance (illegal financing, market manipulation, money laundering, etc.). To survive in the crypto circle, the key is not to be afraid, but to first understand the 'rules of the game.'
Step 1: Learn the basics before handling money.
The 'survival threshold' in the crypto circle is not high, but 'basic understanding' is a must. If you don’t understand these things, it’s like walking with your eyes closed:
Core Concepts: What is blockchain? What is the difference between cryptocurrency and USDT? How to use decentralized wallets (cold wallets, hot wallets, Web3 wallets)? Why are mnemonic phrases and private keys the 'lifeline' (losing them is equivalent to losing money)?
Tool Knowledge: How to choose an exchange (prefer compliant top platforms)? Which network to choose for USDT transfer (TRC20/ERC20, etc., choosing wrong may result in loss of coins)? How to cash out safely (what to pay attention to in OTC transactions)?
Industry Context: What roles are there in the crypto circle (project parties, exchanges, market makers)? What are the differences between mainstream ecosystems (Ethereum, Tron, etc.)?
This knowledge doesn’t require spending money; spend 1-2 weeks to understand it: If you don't understand 'wallet private keys must not be shared,' you could fall victim to scammers claiming to 'manage your finances'; if you can't differentiate between 'shitcoins' and mainstream coins, you might be lured by 'hundredfold coins' hype.
Step 2: Avoid these 3 types of traps to minimize losses by 80%.
There are only a few types of scams in the crypto circle; remembering the 'three don'ts' can help you avoid many pitfalls:
Don’t touch 'capital preservation high interest' projects: Any scheme claiming 'guaranteed profits' or '30% monthly interest' is 99% likely to be a Ponzi scheme (using the money from new investors to pay 'dividends' to old investors, and a crash is just a matter of time).
Don’t trust 'leading experts': Those analysts who claim 'to help you double your investment' are either trying to earn your transaction fees or offloading their worthless coins onto you. If they could really profit, they would have already made a fortune quietly.
Avoid 'unknown links/APPS': Links for 'airdrop tokens' or 'internal channels' shared via SMS or social groups might lead to phishing sites — stealing your wallet's private keys and draining your funds instantly.
Step 3: Establish a correct 'money-making mindset'.
Indeed, some people in the crypto circle become rich, but it's not your turn yet. To keep your money, remember these 3 points:
First '0 investment' then 'light investment': In the beginner stage, spend money only when necessary (such as participating in task airdrops from legitimate platforms). If you really want to invest, only use idle money (losing it won't affect your life), and only buy mainstream coins (Bitcoin, Ethereum, etc., the top 20 by market cap are relatively stable).
Regular investment is more reliable than 'swing trading': Don’t think about making quick money by 'buying low and selling high' — you can't keep up with the market makers, nor can you predict the market accurately. It’s better to buy in batches at lower prices, hold for 1-2 years, and profit from cyclical dividends (the bull and bear cycles in crypto are obvious, and mainstream coins are likely to rise in the long run).
Admit 'you don't understand': When you encounter patterns you don't understand (such as 'mining machine hosting' or 'quantitative arbitrage'), assume it's a scam; don’t get carried away if you make money, and don’t blame others if you lose money — the money in the crypto circle is essentially money from 'cognitive differences.' If your understanding is not in place, the luck you earned will also be lost based on skill.
To be honest: There are no 'teachers' in the crypto circle, only 'hunters' and 'prey.' The only one you can rely on is yourself — first spend time improving your understanding, then try small steps and learn from mistakes, and only consider 'flying with the wind' when you really understand the rules.
Remember: Those who survive in the crypto circle are never the ones who dare to gamble the most, but those who understand 'not to gamble.'
