Security

Learning Objectives

I want the reader to take this section as guidance to protect yourself, your family and the crypto related accounts that you hold. It is not intented to scare or frighten but just make you realise this should be taken seriously to prevent any losses.

Conduct

Don't discuss or brag about any plans or your crypto stash in a public place or with people you don't know, this is a private matter it should be discussed along the same terms as your salary / bank balance.

There have been many situations were people have been held up in their homes and their crypto stash demanded by theives. If they don't know about it they cannot ask for it or target you.

Strong passwords

You have to protect your investment with long secure passwords, using your favorite color with your dogs name and the year you were born is not secure enough.

There needs to be balance between high security and your ability to access your own accounts. We do this to prevent others from guessing.

You can use site: https://passwordsgenerator.net to provide strong passwords

Here is an example of a 15 character password: UF4P?@7828p-6-h

Combination of Upper and lower case letters with numbers and symbols. Very secure.

Email Accounts

Create a new gmail account for each crypto related site with a long secure password

The reason we do this is to limit the risk of being hacked to a single exchange account per email address.

For example, If you used the same email address for all your exchange accounts and a hacker was able to guess your password or you were the victim of phishing which is a fake email login and you provided the details yourself, it would be easy to search your email for evidence of different exchanges you have used, log into those accounts say you had forgotten your password, change the password on your exchange account and your email account.

You have now lost access, if you set 2 factor authentication that can be reset which takes a few days hopefully the delay is enough for you to notice your password was changed and you can contact support to get the account frozen. If you didn't then after three days the 2fa is reset and the hacker can create their own then start emptying your accounts.

To avoid this stress we create emails and have strong passwords.

Some examples of an email account for a number of exchanges

Uphold: 9kneXheezt@gmail.com

Uphold: KY.qQRV?23FfVn2N

Bitstamp: ThVRP7rDG4 @gmail.com

Bitstamp. ZX28F"UdS2WAVFT

Coinbase: gZubtA3PKW@gmail.com

Coinbase: T38-J2bQ8ejv-C

The email name in the address is a mixture of Upper and lowercase letters and numbers

Password is 15 characters long, mixture of Upper and lowercase letters, numbers and symbols

The password for the exchange will be a different password of 15 characters long, mixture of Upper and lowercase letters, numbers and symbols

If you only use the account to login to your exchange account, there is reduced risk you will type the details into a phishing site.

This may seem like a lot of work but, it is worth the time invested in protecting your data and access to your currency, just keep things to yourself.

Bank Account

Open a new bank account that is not affiiated with your everyday account used to pay your household bills or receive your salary.

Pay cash into your new account, only use the account for crypto related transactions.

The reason we do this is to avoid issues with your main bank account should there be an investigation and you lose access for a while, this can happen if your bank finds a transaction going to a crypto exchange and decides to put a temporary stop on your account. Preventing you from accessing funds / paying the mortgage could lead to serious consequences and unnecessary stress.

Keep all crypto related financial transactions separate from your everyday spending

Dedicated Laptop

Treat yourself to a new basic laptop for handling all your crypto accounts, don't let the grandchildren surf facebook. Keep it clean with a good anti-virus and VPN software.

Summary

Conduct, keep a low profile. Email address and strong passwords for each exchange account. New bank account to use to fund your crypto exchange to protect the day to day living account and fresh laptop to keep all crypto separate from your everyday computer.

Next Steps

Open a new bank account, buy a cheap computer with a fresh installation of your favorite operating system. Organise which exchanges you want to register on, create an email address for each one with secure passwords. Then register on each exchange. Write everything down on paper.

Keep detailed records.

I am planning some detailed blogs on the practical side so please look out for those in the future.

If you can't wait please get in touch with any questions you may have.

Where to Buy

Learning Objectives

In this section you will learn about the different ways you can purchase cryptocurrency, some are easier than others, some are cheaper than others. As your experience and knowledge grows you will find the best option for your circumstances.

Crypto-currency ATM

An easy way to buy crypto currency is from a Bitcoin ATM, other currencies are typically provided as well.

Site https://coinatmradar.com will give you a list of all the ATM's that are in your local area.

Feed your cash into the device and it will pay out the value in crypto less any fees for using the service.

PROs:

Easily accessible secure devices, provide you with the amount of crypto you purchased.

No need to register or provide any personal details for small amounts

Pay crypto direct into your wallet if you already have one available

CONs

Paper wallets can be damaged easily especially if they get wet, destroyed in a fire.

High fees for the convenience of instantly buying crypto-currency

Local Bitcoins

Another option is a site called Local Bitcoins, this is an online market place that securely connects buyers and sellers of crypto-currency.

Visit site: https://localbitcoins.com

The site has a secure escrow service that holds the bitcoins being sold and only releases them into the buyer’s wallet after the seller has confirmed funds have been received.

This is a very safe way to buy crypto currency.

The price of the currency listed here will be slightly higher than market rate on most exchanges, check you’re happy with the price before purchase.

PROs:

Secure site, all parties register on the site before they are allowed to trade

Coins are stored in the site secure wallet for buying and selling

The buyer has a selection of sellers and can pick the cheapest

CONs:

High fees for the buyer to provide the convenience of instantly buying crypto-currency

The seller has to be competitive against other listings in the market

Someone you know

If you know someone who has cryptocurrency for sale you can agree a price, exchange money and have the crypto sent to your wallet.

This is a very advanced method and does require a high level of trust between both parties to do this outside of a platform like Local Bitcoins.

You would need knowledge of how wallet transactions are made, be able to provide your public wallet address and most important be able to view your wallets transactions in a blockchain explorer.

This will give you the evidence that the funds have been sent by viewing the transaction log and seeing the payment waiting to be confirmed.

PROs:

Cheaper access to coins paying less fees

Great if you know someone you can trust and is able to help you

CONs:

Risk of not getting any crypto if seller is dishonest

Not recommended for new users

Exchange

There are lots of crypto-currency exchanges available whom offer a limited or wide range of coins and tokens, as you progress and learn more about the different coins / tokens you may want to register on a number of exchanges depending on what you’re interested in. Some coins / tokens are exclusive to certain exchanges.

Here are a few popular exchanges, to get the URL I recommend finding the currency on the website www.coinmarketcap.com and using the market tab to find the exchange with the most liquidity.

Coinbase, uphold, Bitstamp, Poloniex, Binance, gate.io, Gemini, Bitfines, Kraken, bit Flyer, Bittrex

PROs:

The rate you purchase is the market rate

Very low buy and sell fees compared to ATM and Local bitcoins

Quickly buy and sell cryptocurrency on your phone

CONs:

Need to register on each exchange

Provide your personal information

Pass KYC know your customer (for money laundering laws)

Can take a few days to get your money onto the exchange with a money transfer

Summary:

There are many ways to obtain crypto-currencies via an ATM, Local Bitcoins, someone you know or an exchange.

The buyer and the seller have to pay a fee, with an ATM and local bitcoins the fee is high because the service is providing the coins immediately.

The fees are a lot cheaper on the exchange, but you need to do some prep work beforehand such as registering, providing personal documents to prove who you are. It can also take time to transfer funds to your exchange.

Once that is all setup then it is very easy to buy and sell.

Next Steps:

Check out the ATM website to find a machine local to you and try out buying a small amount of crypto to get you started.

I am planning some detailed blogs on the practical side so please look out for those in the future.

If you can't wait please get in touch with any questions you may have.