In my earlier post, I mentioned a few bad habits every crypto trader aspiring to be a successful trader must avoid, and one of them is "lack of risk management." Before we proceed, follow me at #Ernestacademy

What's risk management?

Risk management is a systematic approach to identifying, assessing, and mitigating potential risks in order to protect capital and minimize losses in trading.

Importance of risk management:

1. Consistency in Performance: Effective risk management promotes consistency in trading performance. By controlling risk and managing position sizes, you can maintain a more stable and predictable trading approach.

2. Capital Preservation: Risk management is crucial for protecting your capital. By implementing risk management strategies such as setting stop-loss orders and managing position sizes, you can limit potential losses.

3. Controlling Emotional Responses: Risk management plays a vital role in controlling emotional responses to trading outcomes. It helps traders avoid impulsive decisions driven by fear or greed.

4. Improved Decision-Making: Implementing risk management strategies encourages disciplined and logical decision-making. It helps traders view markets without emotion.

In conclusion, risk management is a necessity that every crypto trader must observe and follow to remain successful in this volatile market.

How do you carry out risk management?

Do you gain value? Hit the like and share buttons.

#crypto2023 #BNB

As a professional crypto trader or even a beginner in this industry, you must have heard a lot about centralized and decentralized exchanges. In this article, I will expose you to the beauty of using a centralized exchange for your trading and coin custody.

Follow me at #Ernestacademy to stay updated on the crypto industry.

Let's start by explaining in detail what centralized exchanges are.

A centralized exchange (CEX) refers to any cryptocurrency exchange platform that operates with a centralized authority. In this type of exchange, a central entity, typically a company or organization, manages the trading process and holds custody of the user's funds. An example of a centralized exchange is Binance.

What are the advantages of using this type of platform?

1. Liquidity: Centralized exchanges generally have higher trading volumes and liquidity compared to decentralized exchanges. This helps users buy and sell cryptocurrencies easily and without significant price impact.

2. Customer Support: I have seen several cases of individuals being scammed in the attempt to contact customer care to resolve a challenge, but on CEX, you can easily do that by logging in to your app and clicking Customer Support.

3. Fiat On-Ramp: No matter the amount of FUD being spread about CEX, you will surely need them when you want to convert your crypto to your local currency. Easy deposit and withdrawal.

4. User-friendly interface: Not many people can trade on DEX due to the complexity, but on Binance everything is simplified. With just one click, you can buy and sell instantly.

5. Anti-Money Laundering (AML): CEX, like Binance, is known for its strict compliance with the law. This helps mitigate the risk of fraudulent activities and promotes a safer trading environment.

In conclusion, Centralized exchanges offer a great service to this industry, and we surely need them.

What do you think about CEX?

Where do you trade frequently, DEX or CEX?

Share your answers in the comment section.

#Binance

$1OO TO $1000 IS POSSIBLE: HOW TO MAKE THE

MOST OUT OF BINANCE LAUNCH POOL

Do you know that the cryptocurrency industry is one

of the most promising markets in which everyone

with the right information and funds can easily make

more money? I guess you don't really know.

In this post, I will show you how to benefit the most

from #Binance products like Launch Pool. Follow me

at #Ernestacademy

If you're looking to make the most of Launch Pool,

then your best bet is to have as many BNB as

possible; 10-100 is good.

Most of Binance's launch pool farming percentage is

being allocated to BNB stakers, while 20% goes to

stable coin stakers.

To make $100-1000, you will have to stake a

substantial amount of BNB in the BNB pool. At th

end of every farming season, your #BNB and Reward

will be returned to you.

Try this strategy.

In the cryptocurrency industry, coins that solve or tend to solve a particular problem are grouped into the same category. For instance, coins that offer a solution for Decentralized trading are grouped under DEFI (decentralized finance), while those that aid in games are under the gaming category.

Follow me at #Ernestacademy to stay updated.

In this article, we will discuss centralized (CEX) coins, otherwise known as exchange coins, they are coins issued by a specific cryptocurrency exchange. These coins are designed to serve a specific purpose within the exchange's ecosystem and provide various benefits to users.

These are the purposes they serve:

1. Fee discounts: Holding exchange coins can provide users with fee discounts on trading fees, withdrawal fees, or other transactional costs within the exchange.

2. Rewards Programs: Some exchanges offer loyalty programs or reward systems for users who hold and use their native tokens. These rewards can include a share of the exchange's revenue, airdrops of new tokens, exclusive access to certain features or events, or other benefits. For example, people holding Binance native tokens can easily participate in Launchpad.

3. Governance and Voting Rights: In certain cases, exchange coins may grant holders voting rights or influence in decision-making processes related to the exchange's operations, such as listing new tokens or implementing platform upgrades. This gives token holders a voice in the direction of the exchange.

There are many other benefits to holding the native token of a big centralized exchange like Binance that you wouldn't want to miss.

Plan to accumulate exchange tokens from substantial exchanges.