Safety First

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bitcoin-logo-cyanSatoshi Nakamoto the creator of Bitcoin in his Bitcoin White-paper conclusion is saying “We have proposed a system for electronic transactions without relying on trust”. In other words if you are not prepared to transact with sources that are trustful most common thing is to lose your money.

Remember crypto-currency transactions do not provide chargeback options which means that if you sent money to someone only way you can get them back is telling them to send the money back or else forget about it. Don’t waste your time trying to recover the money you just sent. Consider them as lost.

So first things first: Never send your money to people that just claim that they can provide you with anything for an XXX amount of coins. DO YOUR OWN RESEARCH FIRST!!!

Escrow services: If not the best maybe one of the best ways to transact with others without the fear of losing your coins.

This is how it works: A third party kicks in between you and the other participant. This third party service is provided by someone that lot of people trust and can be for example a BTT member which is providing Escrow services with a little exchange of course (every one is getting a piece from the pie). This escrow guy engages something from both sides. After the transaction is complete then both sides get back what was engaged by the escrow and the escrow keeps his agreed percent from both sides.

Always prefer shops and companies that were out there before BTC or accepted FIAT before. It’s better than going straight to a site that accepts only BTC and without any previous feedback from others that have already used this service spend your coins there.If you want my opinion this is madness. Always try to do a research before you buy from ANYONE.

Don’t keep your coins on EXCHANGES!!!! It is very important that you withdraw your coins to your local wallets instantly right after purchase. Many exchanges are being victims of hackers. It’s not the best feeling to wake up and see your precious coins drained from your exchange account and sit there watching a screen where the exchange claims that they will get your funds back. No they just don’t want you to freak out and start threatening them.  example: Mt.Gox

Always send coins to your wallets after syncing is done.(sometimes you may be syncing in a wrong fork)
Let the wallet sync, then encrypt and last back it up.
Create a new address even if there is already on by default.
Try using a faucet first to send a small test amount to your wallet. If it works then you are safe to proceed to the full ammoun. *If the amount is very big( depends on what you think of big is) then i would go with small portions than the full amount at once. Alway keep your eggs at different baskets. This way if a basket falls then you don’t break all your eggs.
Last thing about wallet safety is to keep multiple backups to more than one place. Like a cloud storage, usb devices, different hard disks etc.

More analytic posts on how to secure coins to come.

 

Skype: coiner561

BTC address: 142H1oDcN18FcFhRFtMcMLdS1pBna9W8K4

 

coinmaker

Blockchain enthusiast. Mining 24/7, trading altcoins, leasing hashing power and searching for Sasquatch

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