1. Required Courses Before Entry: Don't rush into everything!
First, understand the basic concepts.
Blockchain, public chain, private key, mnemonic phrase, DeFi, contract... these terms are your entry tickets. It is recommended to start by reading the Bitcoin white paper and at least differentiate between 'spot' and 'contract' (the latter can cause you to be liquidated overnight). Beware of 'three no projects': tokens with no technology, no team, and no real-world application are likely to be tools for scamming.
Choosing the right exchange is more important than choosing the right coin. Prioritize leading platforms with high security and strong liquidity. Small exchanges carry a high risk of running away, especially those that promise 'super high returns'.
The first thing to do after registering: enable two-factor authentication (2FA)! Don't let hackers easily empty your account.
2. Trading Discipline: Restrain greed and protect your principal. Always invest with spare money. The crypto market is highly volatile and could drop by 50% in a day. Only use funds that, if lost, won't affect your life; never borrow money or take loans to invest. Beginners are advised to start with spot trading and stay away from contract leverage (especially 100x!).
The small fund trial method is essentially 'paying tuition to learn lessons', but most people, after losing 100U, will only suffer a mental collapse. Cut losses! Cut losses! Cut losses! Set a loss limit (for example, 10% drop), and don’t fantasize about 'holding to break even'. The tragic history on page 4: locking positions, increasing positions, stubbornly holding on, will ultimately lead to greater losses. Profit-loss ratio > win rate. A single trade with 10x profit can cover 9 losses (but only if you can strictly execute profit-taking).
Diversify your investments, but don’t over-diversify. Bitcoin (BTC) and Ethereum (ETH) should account for over 50% of your portfolio, and use the remaining funds to allocate to promising altcoins. Don't go all in on a 'thousand times coin'; 99% of projects won't survive a bear market.
3. Safety First: Your private key is your life. Cold wallets > Hot wallets. Coins on exchanges ≠ your coins! Withdraw to a hardware wallet, write down your mnemonic phrase on paper, and stay away from online storage. Never disclose your private key/mnemonic phrase! Official customer service will never ask for it; if someone privately requests it, block them immediately.
Beware of phishing traps: fake exchange links, fake airdrops, fake KOL signals... scams in the crypto world are rampant. Any operation that requires you to 'authorize your wallet', first check the project's official website and community reputation.
4. Mindset Training: Only by going against human nature can one survive. Reject FOMO (Fear of Missing Out). Don't envy others flaunting 100x returns; it could be edited images or survivor bias. Remember: everyone is a stock god in a bull market; the true skill is revealed in a bear market. Long-termism > Short-term gambling. Frequent trading fees and slippage will eat into profits. Page 5 mentions that trend analysis and technical indicators (like support levels, MACD) are much more reliable than relying on feelings.
Last piece of advice:
The most profitable way in the crypto world is actually to dollar-cost average in a bear market and take profits in a bull market. But most people cannot endure the cycle and end up as fuel for 'buying high and selling low'. Keep learning, stay clear-headed; surviving is more important than getting rich quickly.
