Steemit Crypto Academy Week 3, Season 2 Homework Task for Professor @alphafx

Do you Hold any Coins? Talk about the Wallet type you Prefer/would Prefer Holding in?

I had never had any interest in crypto currencies not to talk of holding a coin. It was until 2017, when a friend introduced to me Bitworld. On Bitworld, I had to invest about 36000CFA ($67). It never required me doing anything, you just needed to invest and they do the mining for you. The rewards were paid in Bitcoin(BTC). So, I could say I started holding BTC from that time. However, it was all a scam, as the website crashed and I lost everything.

It was in 2020 that my friend introduced me into steemit, today I can say that I owned and hold some coins such as BTC, Steem, Steem Backed Dollar, and Tron.

One thing I realized while holding coins is that the coins are stored in a crypto wallet. A wallet could be an electronic device where your coins are kept or stored. This could either be in the form of hard or software. The only way to access the wallet is to enter your private key or public key.

Notwithstanding, the security of your wallet depends on the type of wallet one has because wallets are in two categories namely: non-custodial, and custodial wallets.
With regards to the non-custodial wallets for example web wallet or hardware wallet, the owner of the wallet is the lone custodian of your keys. Here, you control your assets without any 3rd party interference.

While the custodian wallet for example online wallet, transactions are controlled by a 3rd party dApp. The service providers are in possession of your private key.

The Wallet I Prefer to Hold

The only way to guarantee the security of my coins is for me to keep my keys safe without any interference of a 3rd party. For this reason, I will always prefer the non-custodial wallet to hold my coins. An example for me is the steem I hold.

But in a situation where someone cannot keep his/her keys safe and secured, that person can go with the custodial wallet.

With Screenshots Show how to Perform Spot Trading on Any Pair of your Choice.

Spot trading is a transaction carried out between a buyer, and a seller based on the current market rate of any crypto currency. You can do this by placing an order within the market rates. However, you can set your trade in advance with a specific price target. Once the price target arrived, the trade takes place. They are various steps to follow to spot trading on Binance. The pair I’m trading is Doge/BTC pair.

Step 1:
Open your Binance website and login with your details.

Screenshot from Phone

Step 2:
Go to homepage of your Binance App, and login in to your account. Once you login, you can see the various crypto assets. Once you click on any crypto currency pair, it takes you to the spot trading page.

Screenshot from Phone

Step 3:
Once you click on the pair, it takes you to the trading interface page.

Screenshot from Phone

Step 4:
Go to the menu bar on the homepage and click the trade icon. Select either “classic or advanced”. This will take you to the buy or sell page. Filled the price and amount of your pair. Once you click on buy, the transaction is done. In case you intended to sell, follow same and place your order.

Screenshot from Phone

In case you change your mind and do not want to trade, go to the menu bar, and click click on “Order”. Then scroll down and click on spot order. This will lead you the the order page where all your orders records are there. Then click on cancel orders.

Screenshot from Phone

Holding or Trading, which of them do you Prefer and Why?
Trading crypto currencies involves a lot of risk. If you are someone who cannot bear high rates of uncertainties, then trading is a no go area for such a person. The risk of losing all your investments in just some few minutes is high with trading. Thus, I will prefer to hold my coins rather than trading.

Even though it is often said that the higher the risk, the higher the rewards. I always prefer to be patient and grow slowly, rather than rushing for higher rewards with high risk. I can hold my coins, wait patiently whenever rates are high, I can now withdraw.

Kudos to our professor @alphafx for this week lecture. While waiting for your feedback, remain blessed.

Cc: @alphafx