【Woody's Column】Create Your Own Cryptocurrency ETF!

(This article is reprinted with the author's permission. The original title is "Build Your Own Cryptocurrency ETF! Mainstream Coins, Platform Coins, BNB, OKB, HT, FTT, MX, CRO, MCO, BCH, ETH, BTC." For the original article, please visit link).

If you have invested in stocks, you may have noticed that most people cannot beat the market. Even if you are profitable, you may not be able to outperform the market every year. The same principle applies to the cryptocurrency market. Going all-in on one cryptocurrency versus holding multiple mainstream coins, I believe most people would lose to holding multiple mainstream coins.

This article will briefly introduce some mainstream coins that I hold or believe are worth holding. If you are a beginner, you can take a look for reference. This is just personal investment sharing and does not constitute investment advice. If you consider yourself a prodigy, you can skip this article. This article is written for the general public.

I am not a genius. The real geniuses are very low-key. I often make mistakes in trading and incur losses frequently. In simple terms, I am also a "leek" (slang for inexperienced investor). However, I like to share and hope that everyone can join this blockchain revolution. In our era, we missed the post-war baby boom, and we also missed the stock and housing markets. Apart from the cryptocurrency market, I really can't think of any better opportunity for social mobility in the short term.

Why Build Your Own ETF?

It's simple. Chasing highs and lows has always been the fate of retail investors. In a healthy bull market, various types of coins rotate, and if you just chase whichever is rising, it's easy to end up losing money at the peak. So why not diversify and hold every type of token?

Personal Investment Logic

The priority is projects with profits. I don't hold too many consensus-based tokens because ultimately, only profitable projects can survive. The crypto space needs to progress, and eventually revenue will matter. Just like in the stock market where concept stocks with high PE ratios could still be valued highly, in the end, it's about how much money they can make. This theory was criticized by many veterans in the crypto space, as they mostly believe in Bitcoin, which relies heavily on consensus. The consensus may be stupid, but it's still consensus. However, as a latecomer who only entered the market in 2017, how many times can I double my money by holding their bags? So why not participate in some financial tokens that have real profits and future prospects, which can truly be valued by the market, not just for profits but also for consensus. Essentially, it's like a new dual-engine system. Based on the past three years, platform tokens have outperformed Bitcoin. I believe there is a high probability that they will continue to do so in the future. In 2017, BNB saw a hundredfold increase, in 2018, FT's trading mining was all the rage, and in 2019, IEOs that could make people crazy with 10x returns also required platform tokens to participate. You may not believe it, but the past three years have proven that platform tokens can outperform the overall market.

Old Article on Participating in IEOs

Below is a brief introduction of the tokens I hold

Platform Token Series

Currently, platform tokens account for over 60% of my total holdings.

I currently hold BNB, OKB, HT, FTT, MX, CRO, MCO, NEXO.

BNB is the most, followed by OKB, in order of holdings.

BNB

Market leader, with the largest consensus community for a platform token. BNB's decision to relaunch IEOs last year ushered in a bull market for the crypto space. It can be said that a single person carried the entire market. Binance's decisions have always been ahead of other exchanges, so my largest holding is BNB.

OKB

Last year, everyone was saying: "Stupid OKB, your whole family should buy OKB." However, OKB changed its trading strategy last year, and it has transformed, making this year's catchphrase "your whole family should buy OKB." Destroying their team token can be seen as a big move to benefit investors. Additionally, OKB is the battlefield for contracts, a top-tier reaper in the crypto space. In the short term, Huobi and Binance probably won't destroy their team tokens, leading to OKB's recent price spikes resembling a Tesla. I've written an article last year detailing some findings about OKB, which you might find interesting. OKB Introduction Article

HT

It's a bit embarrassing, as originally my second largest holding was HT, as it performed very well last year. However, this year, its market value was overtaken by OKB. But when OKB rises, HT still benefits, as Huobi is also a gateway for many newcomers in mainland China. If the market is good, I believe HT will still perform well. Many of the good news that OKB has announced, HT and BNB have not yet, making it a good choice to wait and see.

FTT

I think I don't need to say much about FTT. I believe many people in the Taiwanese community are familiar with this token. In simple terms, it is an emerging contract platform token, and I still believe in its future development. However, it is currently in a bull market phase, so don't expect it to skyrocket too much. It can be used as collateral, and if there are sharp rises and falls that are not conducive to platform development, the market-making team's strategy is to steadily increase its value. As a trader myself, I also believe that FTX's tactics have a chance of success in the future. If you still don't know what FTT is, you can read an article I wrote in the past. FTT Introduction Article

MX

The crypto space has not always been a clean place, with coins being issued to deceive people, run Ponzi schemes, or operate MLM coins. The top platform for MLM coins is the Matcha MX exchange. It was one of the few platform tokens last year that saw over a 100-fold increase within a year. Many people in the crypto space in mainland China trade with a speculative mentality, which allows platforms like these to survive and potentially offer even greater appreciation. Initially, I didn't plan to introduce this token, but later I thought it's better to let everyone know about MLM exchanges, so they won't be fooled in the future. However, this doesn't mean I encourage everyone to buy MLM coins. I see potential in the profit momentum of their platform tokens.

CRO, MCO

When I first saw them, I found it strange that their market value was so high yet I didn't recognize them. Later, I found out they are also types of platform tokens. I have locked positions in CRO and MCO, and I also have an MCO blue card. I see potential for them to develop better in payments and lending in the future.

NEXO

I remember NEXO's ICO opened with a multiple increase, but then it kept declining. However, they are a team that actually does things, and their partnership with BITGO has strengthened market confidence, making people believe that their money won't disappear. I have also invested some NEXO to see how much dividend I can receive, but I have not yet experienced their lending services, so it's my smallest position at the moment.

Mainstream Coin Series

I currently hold BCH, BTC, ETH.

Mostly BCH, followed by ETH, with BTC being the smallest, making up 30% of the total portfolio.

BCH

The darling of Bitmain, BCH has seen violent price swings during bull markets. Personally, I hope its performance in a bull market can reach 1/10 of Bitcoin's price. However, this token can also experience significant declines in bear markets since its consensus is not as strong as Bitcoin's. Retrospective Analysis of BCH

ETH

Holding onto ETH since 2017 has been quite challenging, as it kept talking about transitioning to POS and then delaying it. Can't you just learn from EOS and implement DPOS? Enough with the digression, let's talk about my views. ETH is currently the most successful financial chain, with most DeFi products on its chain, and it is currently the best worker for USDT. The ETH mainnet moves so much USDT daily that it's uncountable. This shows that it's currently the most accepted new financial public chain, which is why I'm optimistic about its future development. How many DeFi projects are on other chains? No matter how strong the consensus or market manipulation, it all comes back to the fundamentals.

BTC

Contrary to most people, BTC is actually my smallest holding among mainstream coins. I don't have much faith in it, as mentioned earlier. Holding it is just to avoid missing out and to show respect to the big brother of the crypto space.

Apart from the mentioned tokens, there are many other high-quality tokens in the crypto space, offering plenty of choices. If you really like a certain token, you can pick some that you understand from different categories for investment. Remember, prioritize tokens with the highest market cap.