Crypto Corner: Five important things to know about Crypto

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IN this week’s Moneybrain Crypto Corner, we’re sharing our top five tips to help you navigate the world of crypto and keep you updated with the latest crypto know-how.

Check your addresses: Always verify the digital wallet address you’re sending cryptocurrency to. Each type of cryptocurrency has its own unique wallet address. For example, you cannot send Bitcoin to an Ethereum wallet address.
In your digital wallet, you’ll find different addresses for each type of cryptocurrency you hold. To transfer funds, locate the specific cryptocurrency, click “receive” to get the correct address, and check it, then double-check it again.
Understand the difference between hot and cold wallets: A non-regulated, internet digital wallet on your computer can be deemed dangerous and is known as a hot digital wallet.
A cold digital wallet is held offline and is therefore the most secure, but it takes a great deal of technical know-how.
Ensure crypto wallet literacy before using: Many crypto wallets have different user interfaces, which can lead to errors and loss of your crypto if not well understood. Check out guides, take the tutorial some apps offer, or use Moneybrain, a user interface designed to limit these errors.
Understand gas/network fee: Gas fees are the costs associated with sending or exchanging cryptocurrencies over the various blockchain networks. These fees can vary depending on global network demand. For example, the flat fee for withdrawing Bitcoin from the Moneybrain wallets is currently 0.0005 BTC, approximately £46.22. However, the fee to transfer BIPS or Moneybrain stablecoins peer-to-peer is £0.01.
Always factor in gas fees when planning transactions to avoid unexpected costs.
Make sure to verify your identity before holding vast sums in a wallet: Moneybrain, being a regulated digital wallet, requires verification and a KYC process before you can buy and sell crypto. However, decentralised or non-regulated digital wallets often let you hold and exchange crypto before verifying your identity, therefore putting your crypto at unknown risks should you lose access to your account.