Most gamers have deployed the term “rekt” as a crushing blow to a player who’s been completely obliterated by their opponent. But what does “rekt” mean in cryptocurrency slang? Read on to find out how the gamer slang has transformed into one of the most popular crypto terms.

What Does “Rekt” Mean?

The term “rekt” is a misspelled version of the word “wrecked”. Getting “rekt” in the crypto world means pretty much the same thing as getting rekt in a video game. 

A crypto trader may be described as “rekt” if they suffer massive financial losses after experiencing unexpected price crashes, falling for pump-and-dump schemes, or simply making bad investment decisions.

In the volatile crypto market, it’s easy to get rekt. Traders who can’t get over their FOMO can fall prey to schemes where investors hype up coins that are supposedly mooning, only to sell all their holdings right before the price drops. 

Rekt can also describe a cryptocurrency, asset, or market that has dropped too much of its value. Your crypto tokens can get rekt, a Bitcoin crash can lead to a rekt market, and someone who just invested a ton of money in a new cryptocurrency can get rekt if prices drop significantly. 

Where Did The Term “Rekt” Come From?

As mentioned, the term “rekt” gained popularity among online gamers, especially those who are into first-person shooter games, who would use the slang term to describe someone who experienced an embarrassing defeat. It’s a way of trash-talking your opponent, psyching them out so they can’t recover from the wreckage.

However, the term has actually been around far longer. According to a 2011 entry on Urban Dictionary, the term “rekt” could also be used to describe someone who is “so drunk they’ve forgotten their own name”. 

How To Avoid Getting “Rekt”

A few years ago, a now-suspended Twitter bot called @bitmexrekt tracked losses on the Bitmex cryptocurrency exchange. Sometimes, it’d even add short captions like “ULTRA KILL” and “GODLIKE” just to add insult to injury. 

More than just a source of entertainment and frustration from those who got rekt, the short existence of this Twitter bot actually highlights a key lesson for anyone looking to become a cryptocurrency investor. Trading crypto is a highly risky business, and you can easily lose a ton of money from it if you’re not careful. 

So, how can crypto investors avoid getting “rekt”? Here are a few tips that all crypto enthusiasts should keep in mind:

Don’t Sacrifice Your Life’s Savings

It cannot be stressed enough: crypto is very volatile. You should be prepared to lose any money you put into crypto. Don’t gamble money you need for your kid’s tuition, mortgage payments, or medical emergency fund – only put in money that you don’t need, and always go in with a long-term mindset.

Don’t Fall In Love With Your Assets

It can be easy to “fall in love” with your digital assets, and this is especially true with NFTs. Many amateur crypto traders often choose assets not just based on rarity or whether they come from a good project but also because it’s something they connect with. 

However, becoming too attached to your assets can (literally) cost you in the long run, especially if you refuse to sell a token for purely sentimental reasons, even when its value reaches its peak. 

Don’t Give In To FOMO

FOMO, or the Fear of Missing Out, is what happens when you buy into a project without doing your due diligence first. Most people who give in to FOMO do so because they’re afraid of “missing out” on a supposedly good opportunity. 

If you want to avoid making a bad trade on impulse, you have to leave your emotions at the door. Before logging into a crypto exchange, always have an entry point and price target in mind. 

DYOR

Do your own research. In the crypto community, you’ll get (often unsolicited) advice from all sorts of people, but you can’t just rely on hearsay. Before investing in a new currency or NFT, make sure to:

• Look up the project’s website, social media handles, and roadmap
• Research on the founders. Doxxed people will always be more reliable than anonymous ones.
• Jump in on a project’s Discord to get a feel of the community and see whether they care more about just mooning or if they’re actually invested in the long-term success of the project.
• Remain skeptical at all times. Consider whether the person you’re listening to has a vested interest in a particular project or coin.

Don’t Leverage

Leveraging is defined as borrowing crypto to invest in another type of crypto. However, the higher your leverage, the higher your chances are of experiencing liquidation. Even a price movement of 1 percent could result in catastrophic losses.

Final Thoughts

Crypto is incredibly volatile. If you don’t know what you’re doing, you can easily get rekt. Follow our advice to save yourself from the pitfalls of crypto trading.

If you’d like to start your own NFT collection, Tokenfy can help. Check out our site today and learn how our NFT launchpad can help you kickstart your own NFT project today!