Wednesday, February 12, 2020

GMGH's Crypto Starter Pack v3.0

I think there's actually a lot of people already interested in the crypto space and are just not sure how to start, or are getting interested with the recent headlines on price, so here's my refreshed v3.0 starter pack to hopefully help out a bit, since my last post was last 2017 and a lot of things have changed since then.

Password Manager

Essential for enhanced security since you will be solely in charge of managing your digital assets.

I shill Dashlane a lot, but I don't need to include a ref link because I've referred so many family and friends to use it, that I have free membership up to their max, which is til 2023, lol. But if you want to use my ref link, it's on the right sidebar.

I have heard that Lastpass or 1Password are good too.

Honestly, really doesn't matter that much, as long as you have one.

2FA

You can use Authy or Google Authenticator.

You should NEVER use SMS 2FA because your telcom can be attacked through identity impersonation or even a rouge employee.

Use one of the above, or something similar.

SGD/USD Bank

Since most exchanges accept deposits in USD, the question is how do you get SGD to USD to enter, and later USD back to SGD to exit?

Personally, I use DBS and DBS Remit, but basically any bank with USD sending and receiving capabilities will work.


Fiat-Crypto Exchange

There's a ton that you can choose from, but I can only speak for the exchanges that I have used myself which I personally found to be pleasant and fuss-free.

Binance.sg (SGD) (ref link for bonus $20 SGD after first $100 traded)
Coinhako (SGD)
Gemini (USD)
Bitstamp (USD)

USD Stablecoin Tokenizers

With the rise and popularity of stablecoins, an alternative route of sending SGD as USD to crypto-fiat exchanges is to actually send SGD to USD tokenizers, and generate a stablecoin, which you can send to the crypto-crypto exchanges for trading instead, or to use as deposits for lending platforms or DEX lending.

I think Circle (USDC) is the great. Paxos (PAX and BUSD) are good too, while Trust (TUSD) is the least popular. I have accounts with all of them, but that is because I am a crypto power user.

Crypto-Crypto Exchange

Goes without saying that the hands-down best crypto-crypto exchange is Binance. From then onwards, it really depends what kind of niche altcoins you want to trade at. I find both Kucoin and Bittrex to be legit, smaller exchanges. My referral link for Binance gives you back 20% rebates on all your trading fees (the maximum possible kickback)

However, a new breed of decentralized exchanges are becoming very popular, but requires high level understanding and familiarity of using Ethereum. Instead of directly using the different individual decentralized exchanges, I'd recommending using a trade and liquidity aggregator (something like skyscanner or agoda lol) to source the best price for trades.

1inch.exchange, DEX.ag and Paraswap are your best choices for Ethereum liquidity aggregators.

Crypto Lending / Interest Earning

One of the biggest new sectors that have emerged but was non-existent in the previous bull market (for regular people, anyway) is the existence of crypto lending (and borrowing) platforms.

For the custodial options, obviously you know that I have a massively strong preference for BlockFi and have myself put in a sizeable amount of crypto assets there. Not only do they support earning interest in BTC and ETH, but they also support USDC, so you can earn 8.6% pa on USD with no restrictions. If that isn't mind-blowing, I don't know what would be.

Other custodial options include Celsius and Nexo. I have also used both, and I believe that both are fine, although I have a better impression of Celsius, while Nexo has a nicer interface,

For non-custodial options, similar to decentralized exchange liquidity aggregators, you should bypass the lending platforms directly and instead use the yield aggregators, which will automatically shift your assets from platform to platform to ensure that you are always earning the best rates.

Idle Finance, iEarn, Staked's RAY are 3 such products in the market now. Topo Finance is in beta and coming out soon.

Hareware Wallet

Once you have a decent amount of money in crypto, you would want to get a hardware wallet.

Get a Ledger or a Trezor. Personally, I have both and have used both. I used to prefer Ledger, but now I prefer Trezor.

I have bought a couple from Pennywise, which is an authorised retailer. You can shop around, there's probably more sellers now.

Closing Thoughts

The crypto place is scary and dangerous.

If humji, please don't do.

If want to do, please use your brain, get yourself educated, and go out and take risks and make the returns.

Don't listen to anyone without identifying their agenda or bias. Even me. For example, I'd prefer if all of you sign up with my BlockFi ref link and swap all your SGD into USDC and just earn 8.6% pa there. That is my obvious bias. But I walk the talk. I have been a customer and depositor for over a year. Yet many people out there be shilling shit that even they wouldn't touch themselves, if not for the perverse incentives for them to shill it.

There's so much bullshit in the space, you need to be able to smell it and cut through it.

Be wholly and fully responsible and walk into every action and decision with eyes wide open.

The crypto place is not for lazy silver spoon crybabies.

I have seen most people in the space get rekt.

Too much greed. Too much risk. Too much trust.

Not enough skepticism. Not enough diligence. Not enough brain.

Just assume that everyone is out to scam you or screw you, and you'd probably be fine.

I even have people impersonating me and trying (and some have been successful) to scam people.

No kumbaya or hand holding in the crypto space. It's a dog eat dog world out there, and it's best to be entering in with a steeled mindset about all the crap and nonsense that goes down in there. It is brutal and ruthless and lawless.

If you are ready and willing to risk it all in the pursuit of glory, suit up, and roll out.


Remember, no one else is watching your back, so stay safe out there, you hear?