Happy Halloween and Happy Diwali to those that celebrated this week.
NFT.NYC is winding down and from all of the tweets, it looks like people were having a really great time at all of the parties and also testing out how digital tokens translate into IRL value. Bored Ape Yacht Club held a number of events for owners of the NFT.
Crypto Custody and Wallets
How and where you store your crypto assets is incredibly important. Most people new to the crypto world will setup an account on an exchange, transfer fiat to that exchange, buy the asset of their choice and leave it on the exchange. It’s like buying a stock using your online brokerage account and the broker holding it for you. Actually, it’s not though. I won't get into technicals about how stock is custodied for people but I do want to get into the concept of “self-custody”. Self-Custody is the idea that as a sovereign individual, you hold your assets and control them. You take responsibility for your financial decisions and their outcomes when you self-custody. A very important cornerstone of the crypto movement is to be self-reliant, self-sovereign by holding your assets. They way you do this is to setup your own wallet and transfer your assets off the exchange into a wallet where you control the keys.
What are some Bitcoin wallets? For newcomers to Bitcoin with a very small amount of bitcoin, I suggest Electrum. It’s not the prettiest app out there but it runs on Windows, Linux and Mac. If you’re holding a good amount of bitcoin and multiple currencies then a hardware wallet like the Ledger Nano S or Ledger Nano X are great. Ledger also has a lot of educational videos to help you get comfortable with using a hardware wallet.
Anytime you’e using a wallet, please make sure to write down your secret passphrase (which can be 12, 18 or 24 words depending on the wallet). These words are like writing down the combination to your safe and leaving the keys and location of the safe on that piece of paper. Thus, guard it with your life. Some people write it down and store it in a safety deposit box that’s geographically separated from where they are, in case of a natural disaster (we will leave that for another day).
For now, I just hope you don’t leave your crypto assets on an exchange that you could lose access to or that can be hacked. When you have your own wallet and self-custody your assets, learn how to secure them.
Have more questions on crypto wallets? Shoot them over or leave them in the comments and I’ll try to answer them.
House Sends Infrastructure Bill With Crypto Tax Provision to US President
The crypto industry was concerned about a tax reporting requirement within the bill that sought to expand the definition of a broker for IRS purposes. The reporting requirement would see all brokers report transactions under the current tax code.
EA says NFTs are part of the future of games industry
Game publisher Electronic Arts (EA) has told investors that collectible NFTs are "an important part of the future of our industry". NFTs have erupted in popularity in recent months as a way to buy and sell digital-only art and collectible items.
Even politicians can’t stay away from bitcoin. Francis Suarez – the pro-crypto mayor of Miami – vowed to receive his next paycheck entirely in bitcoin. Thus, he can become the first American politician to be paid in the primary cryptocurrency. Soon after this, the Mayor-elect of NYC, Eric Adams said he wants his first 3 paychecks in bitcoin.
Bitcoin (BTC) may be over seven times higher than at its last halving, but if history repeats, that number could grow another 300% and more.
As tracked by on-chain data source Ecoinometrics this month, BTC/USD has the potential to eclipse estimates simply by following historical precedent.
Tweet of the Week
Are you a data geek? Check out this fabulous Tweet thread from @Delphi_Digital about NFT volumes, sales, buyers and more.
Meme of the Week
How Can I Help You?
If you’re still with me and you’re new to the cryptoverse, what’s one of the most challenging things you’ve come across and how can I help you?