Frequently Asked Questions
Q1. “What is DipsandSticksDaily.com?”
A: DipsandSticksDaily.com is the #1 destination for the new DeFi, NFT, and Metaverse investors. Everything you need to get started in DeFi (Decentralized Finance) all in one place. We deliver fresh tips, talks, and strategies to your inbox daily via our free newsletter and educate on how to buy, hold, sell, swap, stake, play to earn, liquidity pool NFT’s, DeFi, and other crypto projects. For those who wish to take their crypto education to the next level, we also provide a private, invite-only group with seasoned DeFi investors you can join to learn from. You must already be subscribed to our newsletter, be active in our online communities and be recommended by someone already inside the group.
Q2. “How did DipsandSticksDaily.com get its start?”
A: Our founder got his start in cryptocurrency when someone (unknowingly) gifted him $50 worth of Bitcoin on his birthday. Just like you, he was a newbie. When he started looking for answers to ‘What is Bitcoin?’ cryptocurrency, he couldn’t find no real central point, one destination, to go to, to learn about Cryptocurrency. With the lack of leadership in the crypto learning space, he decided to learn as much about Bitcoin and become one.
Q3: “What is Cryptocurrency?”
A: Cryptocurrency is a virtual currency that is a digital alternative to the established *fiat system. Most Cryptocurrencies are unregulated by governments and exist beyond traditional monetary policies.
* Fiat money is a government-issued currency that is not backed by a commodity such as gold. Fiat money gives central banks greater control over the economy because they can control how much money is printed. Most modern paper currencies, such as the U.S. dollar, are fiat currencies.
Crypto fun facts:
- US Based Commodity Futures Trading Commission classified Cryptocurrencies as a commodity in 2015 in the USA.
- Cryptocurrency can be purchased with major fiat currencies.
- Cryptocurrency is based off ‘Cryptography.’ This concept is based off confidentiality, integrity, and authenticity.
- Cryptocurrency lives on blockchain, a digital technology that authenticates (records) transactions between one party to another when giving and receiving cryptocurrency.
- Crypto is virtually impossible to break, duplicate, or counterfeit.
- Value is based on demand.
- Most (but not all) Cryptocurrencies are defined by a finite supply.
Q4: “How did Cryptocurrency get started?”
A: “Many investors consider bitcoin to be the original cryptocurrency. Founded in 2009 by a programmer (or, possibly, a group of programmers) under the pseudonym Satoshi Nakamoto and even though no one truly knows who started Cryptocurrency, we do know that the earliest use of ‘Krypto’ was used by the Egyptians in the form of hieroglyphics which originated shortly before 3100 B.C.”
Crypto fun facts:
- It is said that Julius Caesar used cryptography ciphers to keep his correspondence private.
- Bitcoin was originally designed to be a decentralized ‘peer to peer electronic cash network.’
- Namecoin, Peercoin, Litecoin, Ethereum, and Tether, are examples of the underlying technology and vision that helps to define its assets’ significance.
- Cryptocurrency is stored on a digital database (blockchain) that no one can change without successfully fulfilling specific conditions.
- Currently, there are more than 4,000 cryptocurrencies in existence as of January 2021. While many of these cryptos have little to no following or trading volume, some enjoy immense popularity among dedicated communities of backers and investors.
Q5: “What is a Crypto Wallet?”
A: A crypto wallet is a tool that lets you buy, sell, store, and spend your Cryptocurrency funds. Crypto wallets also safeguard the private keys (think like the key to your house) to your Cryptocurrency funds that are stored on the blockchain. Crypto wallets are broadly classified as ‘hot wallets’ and ‘cold wallets.’ Hot wallets are defined as a place to store the keys to your Cryptocurrencies on an internet-connected device while cold wallets keep them offline, disconnected for a internet-connected device.
Q6: “How many Cryptocurrencies are there?”
A: Currently, there are more than 14,000 cryptocurrencies in exis
Q7: “What is Proof of Work?”
Proof of work is a common concept used by miners to successfully validate blocks onto the public Blockchain. Proof is difficult to create but is easy to verify.
Q8: “What is Proof of Stake?”
Proof of stake is an entirely different protocol. Proof of stake requires you to show proof of ownership of a Cryptocurrency. The more you have collected the more of your network you own. If you own 1% of the Cryptocurrency, then you own 1% of the network.
Q9: “What is an NFT?”
A non-fungible token is a unique and non-interchangeable unit of data stored on a digital ledger. NFTs can be associated with easily-reproducible items such as photos, videos, audio, and other types of digital files as unique items, and use blockchain technology to give the NFT a public proof of ownership
Q10: “What is ‘the Metaverse’, Exactly?”
An virtual place that’s made available to the public over the internet. The metaverse is a hybrid interaction online, with real people in 3-D virtual and augmented reality environments. Metaverses, in some limited form, are already present on platforms like VRChat or video games like Second Life.
Q11: “What is DeFi (Decentralized Finance)?”
Decentralized Finance is the blockchains answer to the Centralized traditional Finance (TradFi) we see today. Usually Ethereum based, DeFi (Decentralized Finance for short), is a blockchain-based form of finance that does not rely on centralized financial third parties such as banks, brokerages, or exchanges, to offer traditional financial services. Instead DeFi utilizes smart contracts on blockchains, to provide a ‘trustless’ experience for it’s users. “Trustless” means that you don’t have to trust a third party: a bank, a person, or any intermediary to operate between you and your cryptocurrency transactions or holdings.
Q12: “Why is a Cryptocurrency White Paper?”
The purpose of a Cryptocurrency White Paper is to give potential investors technical information about a crypto concept, it’s utility and a roadmap for how the team plans to grow and succeed in crypto with their new project.
Their White Paper is important to read because it will give you an opportunity to see if the project has any legitimate usability and it will give you a good indication if there is any key information being left out. The White Paper is also good practice of cross verifying the team members credentials and their involvement with the project/coin’s potential success.
Q13. “How do I know if I am looking at a credible Coin’s White Paper?”
A: Good rule of thumb, be aware of any ‘white paper’ that asks for the following: in most cases they will not be a legit coin or company’s white paper.
- Any White Papers that ask for Credit Card information.
- Any project making claims of high guaranteed returns.
- Social media influencer or Celebrity endorsements (in most cases.)
- SEC Compliance.
- If it is a ‘Pump and Dump’ style of offering.
The Government is doing their best to help investors to avoid potential fraud. To see additional potential warning signs of what to look out for when it comes to project/coin White Papers? Go to the following website for the most up-to-date investor protection information:
Q14. “How do I buy Cryptocurrency?”
A: To buy Bitcoin or any Cryptocurrency, you will need to buy into a crypto exchange where buyers and sellers meet to exchange dollars for coins.
As a beginner, you will want to opt for one that balances ease of use with low fees and high security. In our opinion, it is best to start with exchanges that are user friendly for beginners. Great examples to get started with would be Coinbase, Gemini and Binance.US.
Make sure, no matter which exchange you decide to begin with, that you check if your exchange has a Bitcoin Wallet built into its platform; if not, you will need to find one on your own. You may also choose to buy your crypto on a platform.
Make sure, no matter which exchange you decide to begin with, that you check if your exchange has a Bitcoin wallet built into its platform; if not, you’ll need to find one of your own. If your plan is to hold your Bitcoin versus trade, or sell it, you will want to look into ‘cold wallets’ such as the Ledger Nano or the Trezor. Of course, we recommend that when it is time to purchase your cold wallet that you purchase either the Ledger or the Trezor from the actual manufacturer website.
Q15. “How do I find out more about Cryptocurrency, White Papers, DeFi, and Wallets?”
A: Get started by subscribing to the DipsandSticksDaily.com free email newsletter on our home page. Subscribe to our social media channels, get the updates in Cryptocurrency by checking out our blogs. You can also alert us if you need help by pressing the HELP NOW button on the top right hand corner of our website. One of our crypto consultants will get with you shortly after.
Disclaimer: DipsandSticksDaily.com does not accept any responsibility for any errors on this website (including omissions or inaccurate material). Dips & Sticks Daily does not accept any responsibility for any trading or investment related losses incurred by DipsandSticksDaily.com