- May 1, 2020
- Posted by: Gilbert Joekpata
- Category: Blog, Investment Strategy
COMMON MISTAKES TO AVOID AS AN INVESTOR
I keep telling anyone who listens that I have grown to be successful because I made a number of mistakes which I acknowledged over time, learnt from them and got better in the art of investing and trading.
I share my story especially in my coaching programmes. Here I am sharing with you for free some mistakes every cryptocurrency investor should avoid.
LEAVING YOUR ASSETS IN AN EXCHANGER:
It is not a good idea to leave your assets in an exchanger, you don’t want to learn this by experience.
After buying a crypto asset from an exchanger it is wisdom to send it back to a wallet which you have control over. Most of the exchanger we use are either not regulated or without insurance.
Don’t be like my friend John who lost thousands of dollars in the Cryptopia hack. This is not just the story of my friend, several investors lost their assets to hack in Mt. Gox and several other exchanges.
It is better to store your crypto assets in wallets because you have control over your private key.
FORGET TO KEEP YOUR RECOVRY PHRASE SECURED
I have a confession to make, after I created my first Bitcoin address I stored my recovery phrase in my computer, after some months my computer was stolen with the recovery phrase in it.
Don’t be lazy in creating duplicate copy of your recovery phrase, store them offline in a safe and secured place and you may want to consider storing them up on your e-mail or clouds. This is because, whoever has access to it has access to your assets.
SENDING COINS TO THE WRONG ADDRESS
Beginners make this mistake very often. Do well to always confirm addresses before making transactions, don’t send Bitcoin to an Ethereum wallet address.
Transactions may fail due to errors as this, in most cases you would not see your asset again.
INVESTING WITHOUT A PLAN
This mistake is often made by investors in all financial market. It is common for me to get a text or call demanding that I should suggest which crypto asset one should buy.
Typical of me at all times, I will always reply by asking, do you have a plan?
Investing is a plan. Our cryptocurrency investment course teaches you how to write a winning investment plan.
Without a clearly written investment plan you would be tossed by the wind and move without direction.