You might not know it yet, but handling cryptocurrency can be tricky. Read our do's and don'ts list to know how to properly manage your cryptos.
Whether you prefer to play in a Bitcoin casino or would rather bet on sports and esports, you sure do need to know the do’s and don’ts when managing cryptos, especially if you’re still new to the world of cryptocurrency. Not only will knowing these help save you, but it will also let you enjoy hassle-free crypto handling and a smoother gaming experience.
Below is a simple table we created that will be of great help:
Store cryptos in wallets, not in exchanges.
While you may think that exchanges offer your cryptos 100% security, you’re wrong. Before we say the reason, do know that there are two ways to store your cryptos: custodial or non-custodial. Crypto exchanges are custodial, because you give them access to your cryptos and entrust the safety and security of your assets to them. Wallets that you can only access, on the other hand, are non-custodial.
When you leave your cryptocurrency in an exchange, there is nothing you can do when the exchange’s security measures fail to fend off online hackers. In this unfortunate event, the worst case scenario is that you’d be left without anything under your account. In short, leaving your assets in custodial storage is too risky. This is the reason why you’re better off transferring your coins to your wallet from the exchange.
But, if you’re into short-term investments, then leaving your cryptos in the exchange makes the process more efficient. If this is the case, then it would be smart to just leave the right amount of cryptos in the exchange for trading, and transfer the rest to your wallet, whether for storage or for playing casino games later on.
Use the right wallet for your needs.
There are different types of wallets on the market, so much so that choosing the right one can be a daunting task. There are mobile wallets, web wallets, software wallets, hardware wallets, and even paper wallets. But choosing the right wallet for you depends on what the purpose is.
Just like you probably own several leather wallets, you can have as many Bitcoin wallets as you want. Like we said, it all depends on what you’re going to use them for. Normally, if you intend to use Bitcoin or altcoins to pay for coffee, for example, then a mobile wallet is the better choice as you can easily whip out your phone, scan the QR code, and transfer the payment.
If you’re playing in an online casino, on the other hand, then it’s recommended to use a web wallet. With this, you can easily add funds to your casino account. You, however, do need to know that mobile and web wallets are less secure compared to hardware wallets. Because of this fact, you’re still better off storing smaller amounts of cryptos in these wallets. So, where should you store your bitcoins, you ask? Well, the smartest choice are hardware wallets.
Remember the non-custodial storage we mentioned earlier? Hardware wallets are, and they offer the highest security available today. They aren’t required to be connected to the internet all day, which lessens the risk of exposure and unauthorized access. In fact, do read our Using TREZOR Hardware Wallet in BTC Online Casinos article to learn more about hardware wallets like TREZOR.
Keep your wallet passwords and private keys to yourself.
We hope you haven’t been sharing your email passwords or bank ATM pin codes with anyone. Because if you do, then you have to stop now. Just as you SHOULD NOT share your wallet passwords and private keys. There’s a reason why it’s called private, after all.
Remember that no matter how seemingly trustworthy a crypto service is, you shouldn’t still provide it with your private keys. Otherwise, consider your bitcoins gone. Why? Just like what we said in the previous tip, you might one day learn that the exchange has been hacked and all your cryptos go missing.
Embrace the fact that cryptos are volatile.
In online slots, you should understand that these are a game of chance. The results are based on the RNG, and that every money you bet to spin the reels will not result in a win. The same logic can be used toward cryptocurrency’s volatility.
Before you use Bitcoin or other cryptos, keep in mind that their values can change significantly in a split of a second. There is no guaranteed or fixed value for them. They are constantly changing, moving up and down. This is the reason why the BTC/USD pair is currently trading at 49,600 USD, a few thousands down from its impressive 60,000 USD price.
And because of this simple fact, you should also understand that the cryptos you have in your wallets will not have the same value as how much you bought or got them. So, with the example Bitcoin price above, your 1 BTC prize from a lottery at the time of writing may worth only 45,000 USD tomorrow.
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There you have it! These are the easy do’s and don’ts you need to remember when managing your cryptos. The next time you handle cryptos and use them to bet on sports or play casino games, you should already have a better understanding of the things you should do and avoid doing.
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