 Did you make a bunch of mistakes and lose your hard-earned money last year? Well, you're in luck because in this video, we're going to be discussing eight huge mistakes that you need to avoid in 2023. You know, like that one time that you bought that meme point called Doge Elon Mars because you saw somebody post about it on TikTok with a name like that who would have thought that it would be such a flop. Or when you invested in that Lana Rhodes NFT project just to get rugged a day later because according to her, people in the Discord were too mean. But don't worry because that's all now in the past and by the end of this video, you know exactly what to avoid in 2023 and you'll be able to spot those mistakes from a mile away. And do not miss the end of this video, which is probably the biggest mistake that most people are going to be making in 2023. So sit back, relax, and let's get started. What's up guys? I am Jay and welcome to Bitcoin Daily. Remember that this content is for educational purposes only and is not financial advice. Always do your own research before risking any of your own money. And as a disclaimer, I am invested in Bitcoin since 2016. So if you guys are new here, don't forget to subscribe to the channel and smash that like button. Let's dive right in. Let's dive into the first mistake that we want to avoid this year and that is going to be trusting centralized exchanges. Now I know it's definitely easy and convenient to use centralized exchanges to buy, sell, and trade crypto. But as you guys saw in 2022, it can be extremely risky. Last year alone, there were so many exchanges that paused with draws for customers so you couldn't take your money out. And then those exchanges ended up filing for bankruptcy. So basically if you had your money in the exchange, pretty much lost it. It was definitely a wake-up call for a lot of investors who unfortunately had to find out this way that their assets were not as safe as they thought they were. The collapse of FTX's second largest crypto exchange in the world is a prime example of it. Even high-profile figures in the industry like CEO Sam Bankman-Fried can't always keep their promises of safety for their customers' assets. This is why it's so important to remember the golden rule of crypto. Not your keys, not your crypto. When you leap your assets in a centralized exchange, you're giving up control over them and trusting that the exchange will keep them secured. But as we have unfortunately seen, there's often a lack of transparency in these exchanges. Which of course can lead to mismanagement and fraud. Another issue with centralized exchange is of course security breaches. You've all heard the stories of these centralized exchanges getting hacked for millions and millions of dollars and people basically just losing that crypto and not ever being able to get it back. But why are these centralized exchanges more vulnerable to hacks? It's simple because it's centralized. Basically all of your assets are stored in one place and if that one place gets hacked all your assets are gone. So what's the solution to centralized exchanges? These type of exchanges allow you to be in control of your own assets and provide an extra layer of security because they are not held in one central location. Plus they typically require less personal information to get started with those exchanges. Of course there's no such thing as completely risk-free in the crypto world. But using a decentralized exchange is definitely a step in the right direction when it comes to keeping your assets safe. Mistake number two that a lot of people make is they keep all their funds in one single place or one single wallet. Think about it this way. If you keep all your eggs in one basket and that basket gets lost, stolen or compromised then you've lost everything. It's the same thing with crypto wallets. If you keep all your assets stored on one wallet then you're risking losing everything if it ever gets compromised or if you ever lose it. That's why it's so important that in 2023 you spread out your assets across multiple different wallets. You can use a hardware wallet kind of like this one here for your long-term holdings and a software wallet for your more active trading. By diversifying your wallets you're reducing the risk of loss in the event that anything got compromised, lost or stolen. Mistake number three and I know a lot of you might be surprised and maybe not even agree with this one. But mistake number three for 2023 is investing in the player earn sector. Now yes I know that player earn also known as gaming and NFTs can be a fun and interactive way to earn some crypto. But as we have seen with basically every single player earn game that's come out like Axie Infinity for example, Steppen which maybe a lot of you got to know me through that project. These are all extremely risky and volatile. The problem with player earn is that the value of these assets are highly speculative and they're dependent on the popularity of the game aka new users. The values of these can fluctuate drastically and you can potentially lose significant amounts of money. The player earn space is still brand new and still has not been figured out. I created an entire thread addressing publicly the issue with one of the games that I was playing at the time which was Steppen a lot of you I'm sure are familiar with. At the time the price was at 6 cents if you compare it to now currently at 1 cent and I basically broke down the way that the tokenomics worked for this project which is basically the same way that every other player earn project is currently running their tokenomics model as well. The major issue here is as you can see inflation so these player earn games need to get popular in order to get more demand and have more users more users bring in more capital and yes that keeps the game going month to month but what happens is when it reaches a certain level then there's more users taking out money than any new users coming in and putting in money and that's where you get that inflation so even though these games need new users in order to survive new users are also the death of these games. So Steppen in particular tried to introduce a second token which was pitched as the savior for this project and if you look at the chart of GMT to see exactly what's happened you can see that price has only continued to fall here down 92% so far from its previous all-time high. I made that thread on July 20th if we look at the value of GMT since July 20th down 68% since that point along with GST that since I made that thread on July 20th is down 58% and I use Steppen because that's the project that I was more involved with but if you look at Axie Infinity for example which was also a very huge and probably the biggest player to earn game ever you can see how it's eventually collapsed down 95.2% from its all-time highs and you could just keep looking through these projects and they're all down big. I'm not saying you can't make money with these especially in a bull market if you get in at the right time but you have to know your risk and mitigate it by only keeping a small percentage of your portfolio in these type of projects if you do decide to take on that risk I'm sure it might eventually get figured out but as of now it has not been figured out so if you still want to invest in one of these player earned projects make sure to properly research and evaluate the project before investing. The most important keys is probably going to be the team behind the project what their track record is and the technology that they're using but most important of all be very very cautious of projects who are not transparent with their operations that's a mistake that I made last year and I will not make again. Mistake number four is investing in high yield projects we all love the idea of getting high returns on our investment right that's pretty much why we're in crypto but projects that offer really high returns should be approached with a lot and lots of caution most of these projects come with very very high levels of risk and usually are scams so last year a lot of these projects were hyped up there was Olympus, Dow, Wonderland and so many other copycats after that and the issue is pretty much 90% of these projects rubbed and turned out to be scams right and the other 10% that might have survived are pretty much underwater any investment you probably made is probably you're probably down 90% or more at this point these projects were all offering thousand two thousand five ten thousand I think I even saw some that were offering like a hundred thousand percent APY but these promises are always just too good to be true it's important to remember that there's no such thing as a risk-free investment especially in the crypto space another thing that we learned last year to keep in mind this year is that investing in crypto is a long term investment do not be tempted by these short-term gains instead look for projects that have a solid foundation and a clear vision for the future mistake number five and this is probably going to be everybody's favorite meme coins now I know I know these meme coins can be very fun and entertaining as you guys can see here the top two trending crypto coins right now are two meme coins but they can also be a huge mistake when it comes to investing your money the issue with meme coins is that they're often created with the only purpose to generate quick profits for the founders rather than providing real value to investors and I would say about 99% of meme coins are created without any real world use case or any significant technological advancements and they're highly speculative in nature the value of these coins is usually dependent on its popularity which can be highly volatile and pretty much impossible to predict additionally a lot of these meme coins are usually pumps and dumps where these early investors by a large amount artificially inflate the price and hype it up and then sell right in your face so instead of investing in these meme coins I would say in 2023 let's focus more on established projects with solid technology a strong development team and of course a clear use case do not fall for the hype always do your research and be careful of projects that seem too good to be true so this ties in directly with our next mistake which is mistake number six that we want to avoid in 2023 and that is investing in projects with no clear use case these projects usually don't have real world application or potential for growth and their value is usually dependent on speculation versus actual fundamentals when investing crypto the value of the coin is usually tied directly to its utility or potential use case without a clear use case a project is probably not going to have the ability to generate long-term profits revenue or growth so before investing in any projects I recommend that you pull up the white paper and really go through it and research this project make sure to evaluate its use case see if it makes sense to you see if it's something that you think could work for the long term in the future then you need to make sure to research the team behind it and the technology that they're using I personally am looking for a use case strong partnerships and a strong development team as these are more likely to have potential for growth and generate some long-term value mistake number seven that we're going to be avoiding this year is investing in celebrity backed projects or NFTs guys investing in a project simply because it's endorsed by a certain person a certain celebrity a certain influencer can be a huge mistake while there's some exceptions to this rule and there are some celebrity backed projects that have some strong use case and a strong team behind them the majority do not the issue with celebrity backed projects is that they're usually marketed as a way to get in on the ground floor for a potentially lucrative investment rather than because of their use case and fundamental value additionally many of these celebrities have zero experience and no expertise in the crypto space which means that 99% of these projects that they're backing they have zero idea about what it actually is what its value actually is I highly doubt they did any research behind it they're just doing it for the paycheck the same goals for NFTs while it's true that there have been a surge in value of some NFTs many are of a low quality and without any real use case a celebrity support of an NFT does not mean it has actual value and many of them are created in a quick succession with low quality content so instead of investing in a project simply because it's backed by a celebrity or influencer be sure to always do your own research and evaluate the project based on its use case the team behind it and what their plans for the future are finally we have got to the last mistake that probably this is the biggest mistake of all of them that the majority of people are probably going to be making but if you've made it this far make sure to smash that like button on this video if you enjoyed it if you have any questions drop it in the comments and if you guys aren't subscribed I don't know what you guys are doing make sure to smash that subscribe button turn on the notification bell so that you're notified every time that we post new videos up we're gonna be posting tons and tons of content in 2023 and really bringing you guys some quality so the final mistake that the majority of people are going to be making in 2023 is not accumulating crypto now I know that crypto can be a tricky and volatile market but not accumulating this year is going to be a major major mistake their crypto market has come a extremely long way and its use case and adoption has grown exponentially this year I'm expecting crypto to become even more mainstream with more businesses institutions adopting it as a form of payment and investment in fact yesterday was announced that amazon is partnering with avalanche to scale blockchain solutions for enterprises and governments this is big if you guys want to check out the video that I did last week this one right here my 2023 predictions for crypto why cover everything that we're expected to see this year including inflation going down interest rate heights eventually stopping plus the halving that we have in 2024 I go into depth on all of these things that are happening this year and why I believe this is the key year to accumulate crypto so instead of sitting on the sidelines because you're afraid consider at least investing small amounts in different projects that you believe in and that you researched starting with bitcoin and ethereum because I think that these investments that you make this year are going to pay off huge in 2024 and 2025 also I don't think we will ever see these prices these low again at least for the next two to three years remember that crypto is a long-term game and it's important to be patient and not get caught up on the day-to-day short-term volatility so in summary the mistakes that you want to be avoiding this year because we're learning from our past mistakes from 2022 trusting centralized exchanges keeping all your funds in one wallet investing in the player earned sector investing in high yielding projects investing in meme points investing in projects with no use cases investing in celebrity backed projects for nfts and last but not least not accumulating crypto in 2023 avoiding these mistakes and doing your own research you can make informed decisions and potentially see long-term growth for your portfolios remember guys this video is just a starting point and crypto is an ever-evolving field with the crypto market being so unpredictable it can be hard to know exactly what the future holds so if you're thinking what's the next step or what should you be expecting in 2023 share or check out my latest video here where I tell you guys my exact predictions for the crypto market and not just crypto but the overall macro economy in 2023 it's loaded with all the information that you're going to need to know going into this year as well as my personal predictions so don't waste any more time i'll throw that video up for you guys right now on the screen so that you guys get the inside school for 2023 trust me it's worth it i'll see you guys on the next one as always peace and love