Storage
There are several ways to store cryptocurrencies:
- Software wallets: Software wallets are programs that you install on your computer or mobile device. They provide the ability to create, store, and manage your public and private keys. There are various types of software wallets, including desktop, mobile, and online wallets.
- Hardware wallets: Hardware wallets are physical devices that store your private keys in a secure manner. They are often considered to be the most secure type of wallet because the private keys are stored offline and are not vulnerable to hacking. Examples of hardware wallets include Ledger and Trezor.
- Paper wallets: Paper wallets are physical documents that contain the public and private keys. They can be printed out or stored as a digital file. Paper wallets are considered to be very secure because the private key is not stored on a computer or other device that is connected to the internet.
- Cryptocurrency exchanges: Some cryptocurrency exchanges, such as Coinbase and Binance, offer the ability to store your coins on their platform. However, it is generally considered to be more secure to store your coins in a personal wallet that you control, rather than on an exchange.
Regardless of the method you choose, it is important to follow best practices for securing your cryptocurrency. This includes:
- Keeping your software and hardware wallets up to date with the latest security patches.
- Using strong passwords and enabling two-factor authentication on your accounts.
- Backing up your wallet and keeping the backup in a secure location.
- Protecting your private keys and not sharing them with anyone.
By following these best practices, you can help to ensure the security of your cryptocurrencies.
Buying, mining, earning
There are several ways to buy and mine cryptocurrencies:
- Buy cryptocurrencies using fiat currency: You can buy cryptocurrencies using fiat currency (such as USD, EUR, JPY, etc.) on online exchanges such as Coinbase, Kraken, Bitstamp, and others. To do this, you’ll need to create an account on the exchange, verify your identity, and then link your bank account or credit card to the exchange. Once your account is set up, you can browse the exchange’s selection of cryptocurrencies and choose the one you want to buy.
- Buy cryptocurrencies using another cryptocurrency: If you already own a cryptocurrency, you can use it to buy other cryptocurrencies on exchanges that support this type of trading. For example, if you own Bitcoin, you can use it to buy Ethereum on an exchange that supports BTC/ETH trading.
- Mine cryptocurrencies: Cryptocurrencies can be “mined” using computers to solve complex mathematical problems. When a problem is solved, a new block is added to the blockchain and the miner is rewarded with a certain amount of cryptocurrency. Mining requires specialized hardware and consumes a lot of electricity, so it may not be the most cost-effective way to obtain cryptocurrencies.
- Selling goods or Services and get paid with cryptocurrencies.
Ideal set up
Buying / Selling
A account on a exchange platform.
(KYC or decentralised)
(KYC or decentralised)
Using
A browser extension wallet and / or a mobile app wallet for convenience and practicality.
Holding / Saving
A cold wallet for safety and privacy.
Some important advices
- Always follow the best practices about your seeds and private keys.
- Keep consequent amounts or valuables on cold storage.
- Always double check Addresses, networks and the transactions fees amount.
- Running your own nodes linked to your self-custodial wallet will assure you full sovereignty and privacy.
- In case of self-custodial wallet make sure to find a way to let a trusted person be aware of their existence and seeds in case you are unable to access it.
