🏦 KEEPING YOUR CRYPTOCURRENCIES ON AN EXCHANGE DOES NOT ELIMINATE THE RISK.
And understanding that can save you a lot of trouble.
Today’s news about a possible security incident involving Binance reminds us that, in the crypto world, it’s not enough to keep an eye on the price of Bitcoin.
We also need to consider where and how we hold our money.
🔐 Three concepts every investor should know:
1️⃣ EXCHANGE
A platform that lets you buy, sell, and trade cryptocurrencies. The convenience of using one doesn’t mean it’s risk-free.
2️⃣ SELF-CUSTODY
Taking control of the keys to your own cryptocurrencies through a personal wallet. It gives you greater control, but also greater responsibility: losing your keys could mean losing access to your funds.
3️⃣ RISK MANAGEMENT
Diversifying how you hold your assets, enabling security measures, and understanding the risks of each platform can help protect your wealth.
⚠️ Important: using your own wallet doesn’t guarantee absolute security either. There are risks of phishing, key theft, transfer errors, and technical vulnerabilities.
My recommendation as a Crypto Accountant in Mexicali: don’t just ask how much you could earn.
Also ask yourself:
💡 Where are my assets?
💡 Who controls the keys?
💡 What would happen if I lost access to my account?
💡 Do I have a recovery plan?
The first rule for growing your wealth is understanding how you could lose it.
Do you prefer to keep your cryptocurrencies on an exchange or use your own wallet? Why?
#CryptoSecurity #Bitcoin #Binance #Blockchain #FinancialEducation #CryptoAccountant
⚠️ Educational post. Not financial advice.
And understanding that can save you a lot of trouble.
Today’s news about a possible security incident involving Binance reminds us that, in the crypto world, it’s not enough to keep an eye on the price of Bitcoin.
We also need to consider where and how we hold our money.
🔐 Three concepts every investor should know:
1️⃣ EXCHANGE
A platform that lets you buy, sell, and trade cryptocurrencies. The convenience of using one doesn’t mean it’s risk-free.
2️⃣ SELF-CUSTODY
Taking control of the keys to your own cryptocurrencies through a personal wallet. It gives you greater control, but also greater responsibility: losing your keys could mean losing access to your funds.
3️⃣ RISK MANAGEMENT
Diversifying how you hold your assets, enabling security measures, and understanding the risks of each platform can help protect your wealth.
⚠️ Important: using your own wallet doesn’t guarantee absolute security either. There are risks of phishing, key theft, transfer errors, and technical vulnerabilities.
My recommendation as a Crypto Accountant in Mexicali: don’t just ask how much you could earn.
Also ask yourself:
💡 Where are my assets?
💡 Who controls the keys?
💡 What would happen if I lost access to my account?
💡 Do I have a recovery plan?
The first rule for growing your wealth is understanding how you could lose it.
Do you prefer to keep your cryptocurrencies on an exchange or use your own wallet? Why?
#CryptoSecurity #Bitcoin #Binance #Blockchain #FinancialEducation #CryptoAccountant
⚠️ Educational post. Not financial advice.