Everything is up, down sideways. The market is crashing, we are in a recession, we are going into recession, the market is recovering. Bitcoin is disappearing, all the exchanges are going bankrupt, people are stealing your money, withdrawal everything and hide it under your mattress.
No matter what is going on in the market or world, if you have a reliable system in place you should be confident it can handle the situation. That goes along with you investing smartly.
Recently in the news has been the collapse of the FTX crypto exchange, FTX filed bankruptcy in Nov 2022. FTX was very large in terms of holdings and being sponsored by famous people and sports teams. According to Wikipedia a cryptocurrency exchange, or a digital currency exchange (DCE), is a business that allows customers to trade cryptocurrencies or digital currencies for other assets, such as conventional fiat money or other digital currencies. Exchanges may accept credit card payments, wire transfers or other forms of payment in exchange for digital currencies or cryptocurrencies.
Some brokerages which also focus on other assets such as stocks, like Robinhood and eToro, let users purchase but not withdraw cryptocurrencies to cryptocurrency wallets. Dedicated cryptocurrency exchanges such as Binance and Coinbase do allow cryptocurrency withdrawals, however.
We have been using Binance and Coinbase which have been reliable and around for a long time. The top three right now are as follows:
I try to stay away from the exchanges that are offering loans and credit cards on your holdings. The more and more things are leveraged the more risk you take on. Some of our portfolios have dropped in value because of this institution collapse and stock market drops but they are still making us more and more money in the form of trading, dividends and other investments.
I recently had a discussion about loans, expenses and the taught consumerism. We discussed how money is utilized via loans and leveraging. In my case, I said my bank account has had the same balance for a year now. The markets have gone up and down(mostly down this year) and the crypto markets have been pretty stagnant and dramatically down recently. We have had trips, weddings and many many expenses but if my investments are growing faster than we can spend it or faster than the value drops in any markets then you are golden.
We should be a little more conservative and be growing in this bad economy but I am confident in our investments and don’t want to compromise our lifestyle. Ok maybe we go overboard a little, haha. Enjoy your life! I know I am.
This material has been distributed for informational and educational purposes only, and is not intended as investment, legal, accounting, or tax advice. Investing involves risk.