Personally, I think cryptocurrencies could be a technology we won’t be able to live without in the coming decades. It may be the evolution of the internet as we know it today. While many have some knowledge of it, others are reluctant to dive into this new area.

I don't really blame them because cryptocurrencies and blockchain technology are still very complex to understand, even for people like me. Additionally, cryptocurrencies had been having a bad reputation in the mainstream media because of all the scams involving them.

Despite all the negative press, the cryptocurrency market has been one of the best-performing investments since the launch of Bitcoin, the original cryptocurrency. The rise of meme coins and NFTs has on-boarded many newbies in the field.

Below are 3 things that I think might help you as a new investor.

A crypto account is different than a crypto wallet

Many of my newbie friends have almost the same problems after they have bought some cryptocurrencies on Centralized Exchanges (CEX). They automatically leave their assets there in custody. 

While it may seem safer to leave your assets on a CEX, keeping them in a crypto wallet is much better in my opinion. Many new investors ignore the risks tied to centralized exchanges. It's easier to lose your assets on a centralized exchange because they can go bankrupt, be hacked, or the exchange can freeze your account. "Not your key, not your crypto".

The other option you have is to take custody of your assets. You can do that by sending them in a crypto wallet. Before you ask yourself what is a crypto wallet, take a moment to think of your physical wallet in your pocket. This wallet has kept your money away from anyone else unless you lose it. You won’t need approval from anyone if you want to access your money in your wallet. You also won't need permission from anyone to spend it or give it to whoever you want.

A crypto wallet is pretty similar. Crypto wallets store your private keys, keeping your crypto safe and accessible. They also allow you to send, receive, and spend cryptocurrencies like Bitcoin and Ethereum. Think of your private key as your seed phase. With a crypto wallet, you take custody of your assets.

Unlike a crypto account which can always allow you to reset your password, a crypto wallet with a forgotten seed phrase is lost permanently. But this shouldn't scare you off. It just requires you to be a little responsible for keeping your assets. 

Decentralized Exchanges (DEX)

many new crypto investors rely on centralized exchanges (CEX) to buy their assets. This is probably because most of them were introduced to crypto via the buzz some coins have created due to their enormous price appreciation.

Also, CEXs are to easiest way to buy crypto assets without worrying much about the complex technology involving cryptocurrencies. No wonder why there are no-brainer options to tell newbies.

I know crypto is a little complex to understand but you can make the most of your investment if you learn how DEXs work and use them. A DEX (decentralized exchange) is a peer-to-peer marketplace where users can trade cryptocurrencies in a non-custodial manner without the need for an intermediary to facilitate the transfer and custody of funds.

You can find more undervalued projects on DEXs even before they become successful and popular projects. Projects like Shiba Inu, Floki, or Pepe started trading on decentralized exchanges (DEX) right before they were available on centralized exchanges (CEX). Usually, early investors who bought them on a DEX made the most profits.

Because DEXs are decentralized, anyone can create a token and list it for trade. This makes DEXs trading more risky and exhausting because of the extra work you have to do to research projects you are interested in.

Crypto assets portfolio tracker

If you are a newbie, it could become very overwhelming to keep track of your investment. With a portfolio tracker, you can see all your tokens, NFTs, and Defi you are using in one place.

This overview of your investment can help you strategize by constantly making changes to your portfolio over time. 

There are plenty of portfolio trackers out there but DeBank, Step Finance, and Metamask Portfolio are the free ones I'm using right now. DeBank and Metamask Portfolio support multiple blockchains, while Step Finance only supports Solana.