Swapping cryptocurrency can be risky territory, especially for those new to the space. In this article, we highlight key expert advice on the most frequent missteps traders make when exchanging digital currencies. By recognizing and avoiding these major errors, you can better protect your assets and navigate the crypto market with greater confidence.

Key Mistakes to Watch Out For:

• Falling for Fake Swap Platforms
  
  

• Failing to Verify Wallet Addresses
  
  

• Letting Social Media Hype Influence Decisions
  
  

• Misconfiguring Slippage Tolerance Settings
  
  

Beware of Fake Swap Platforms

You have to be extremely careful on the app or the website where you are performing the swap. Sometimes scammers can use fake websites or apps that look identical to trick you. It may appear like a legitimate swap, but in reality, your funds will be sent to a scammer's wallet.

Matas Cepulis, CEO, Luvkaizen.com

Verify Wallet Addresses Before Transactions

One critical mistake to avoid when swapping cryptocurrency is not double-checking the destination wallet address before confirming a transaction. Unlike traditional banking, crypto transactions are irreversible—once you send coins to the wrong address, there's no way to retrieve them.

This mistake is particularly dangerous because even a small typo or copying the wrong address can result in the permanent loss of your assets. Given how rapidly crypto markets move, this can be financially devastating, especially if large amounts are involved. To protect yourself, always verify addresses carefully, use QR codes where possible to reduce manual entry errors, and consider sending a small test transaction before moving larger sums.

Being meticulous with these details isn't just a best practice—it's essential for safeguarding your digital assets.

Andrew Izrailo, Senior Corporate and Fiduciary Manager, Astra Trust

Avoid Social Media Hype-Driven Swaps

The most critical mistake is treating social media hype as a substitute for real due diligence. People see a token trending or a dozen influencers posting about it, and they get a powerful sense of FOMO. They feel like they're getting in early on the next big thing, but they're actually falling for a classic marketing ploy.

From my experience in paid media, I can tell you that manufacturing that kind of buzz is trivial. It's easy to fake trends and pay for coordinated promotion. In the unregulated crypto market, this isn't just marketing. It's often a setup. The danger is that you're not investing in a project's potential. You're providing the exit liquidity for the creators and their early backers. You're the final customer in their acquisition funnel, and your swap is their payday.

Maxwell Finn, Founder, Unicorn Innovations

Set Appropriate Slippage Tolerance

A critical mistake to avoid when swapping cryptocurrency is neglecting your "slippage tolerance". This setting dictates the maximum percentage deviation you're willing to accept between your expected trade price and the actual execution price.

It's particularly dangerous because high volatility and low liquidity, common in crypto, can cause significant price shifts in milliseconds. If your tolerance is too high, you might unknowingly execute a trade at a far worse price than intended, leading to substantial, unexpected losses. Conversely, setting it too low could cause your transaction to fail entirely, wasting gas fees and missing prime trading opportunities. Always adjust your slippage tolerance carefully, balancing execution certainty with price protection.

Dhari Alabdulhadi, CTO and Founder, Ubuy Peru