So, you just downloaded your fancy new wallet full of CLU. Maybe some others because crypto is fun and you’re thankful you found me. And after you’ve petted it, named it something super cool and fancy, then called it your precious, you’re not sure what’s next or what you should watch out for.
Not to worry. Your awesome crypto-basic-but-knows-people chick is here to break it down for you.
But just remember I’m not an accountant or a financial advisor. Your coins are your own, and you’re an independent CLU holder!
First, here are some terms that will become familiar to you now that you’re in the world of CLU, and I’ll explain how they relate to the security of your coins.
Whose wallet? Yours. This is where you can find what coins and how much of them you have. There are a few different wallets out there, most common being TrustWallet and MetaMask, but do your research to figure out which one works best for you and your situation.
(As awesome of a friend as I may be, I won’t do it for you, so don’t give me those puppy-dog eyes!)
It’s your life and your seed phrase. When you set up a wallet, you’ll be given what’s called a seed phrase or secret recovery phrase, which amounts to a specific-to-wallet set of words required if ever the wallet needs to be recovered.
This phrase should NEVER be given to anyone. It could be used to steal every last coin in your account. Meaning, if you write it down and lose it, it’s gone. Or, if you put it anywhere that can be hacked or accessed, it’d be the equivalent of giving a random stranger everything they need in order to steal all the money in your bank account.
Rude. I know. This is the biggest safety lesson you’ll learn in the crypto world. Never give this information to anyone. Legitimate people like DNP3 and staff will never ask you for it.
SCAM ALERT! If you see this face and it’s being used to get money, private information, or a seed phrase out of you, it’s not the real DNP3!
What’s that over there? It’s a rug pull. This phrase gets used a lot, especially in relation to smaller coins. Like it sounds, it’s the event of pulling the coin’s contracted liquidity, often very early on, and leaving the rest of the shareholders with what ultimately amounts to a worthless coin.
It’s not a pretty sight, and it happens far more than it should. So the most important thing to remember is always to do your due diligence when you research a coin. Research everything, from its conception to who stands behind it.
Coins are an investment of the money you’re wishing to grow, so you wouldn’t invest in a business you knew nothing about. View crypto along the same lines.
Did someone say honey? Oh, no, that’s a honey pot. I know what you’re thinking. I’m clearly very adorable and this might be a honey trap. But it’s not. I’m just adorable. Honey pots are very difficult to spot, even for seasoned crypto experts.
You put money in and see it steadily rise. So, you think to yourself, “Great! It’s legitimate!” So, you keep your money in because you want to sell at the best possible price. But when you decide to pull your money out, you realize you can’t. You’ve been HAD! Essentially, the contract for the coin only permits certain wallets to pull money from it—and that’s how it gets ya.
It’s dirty and evil, so always read the white paper (Check out CluCoin’s white paper here). If you don’t understand, because often white papers are written in confusing jargon and difficult for new crypto investors to understand, then make sure to find someone you trust (source or otherwise) to help translate.
Our CLUmmunity Discord is an amazing place to find crypto savvy, jargon-translating types who love to lend a helping hand. Many of them helped me when I was confused, lost, and just outright CLU-less!
Not your regular, everyday kind of dusting. And no, I’m not asking you to clean right now even though you and I both know you probably should. Dusting refers to a coin you didn’t buy or expect showing up in your wallet.
Typically, scammers do it to get access to your wallet information. If you don’t recognize the coin, don’t touch it. Hide it and leave it alone! It’s the easiest thing to avoid once you know what to look for.
So, what can you do? Because CLU is part of the Binance Smart Chain, there’s such a tool as BscScan, which helps with detecting red flags.
Nothing is ever foolproof in the crypto world, as with anything in the real world, but protecting yourself in whatever way possible will never be a waste.
On this note, not only has CLU’s contract been audited, and subsequently passed, but its wallets have been vested so its contract liquidity is locked for a full year to ensure rug pull an impossibility. Additionally, shareholders have been able to buy and sell at their discretion, proving, despite claims of rug pull and honey pot, CLU is neither.
Communities like the one surrounding CLU are difficult to find, especially in smaller coins. If that’s not enough to convince you (call me impressed by your necessary caution), then it’s carefully crafted white paper detailed on CLU’s website will leave you confident with buying and holding it.
*The opinions in this blog post are my own and are in no way, shape, or form the opinions of CluCoin or its affiliated parties*