✅ Why you are missing out on DeFi (Guide)

The post is a little long, but is not made to be fun.


Lastly Bitcoin did pump hard.

What did happen in the last cycles when the Bitcoin did pump hard, altcoins did pump hard after.

But there are things that are different from the last altcoins.

Here’s my point of view on the state of crypto industry in early 2021 :


1) The whales are here for at least 5 years now and they did take time to study their subject.

It means that pumps will be more rational than the last cycle, it means that only the good fundamentals since July offer a nice ROI/RR.

(RR is the ratio risk(%) / reward(%)), for other vocabulary/technical problems : Google is your friend !

What I mean by more rationale : ¾ of the top 100 market cap will change.

Many of the blockchains rely on a future DeFi ecosysteme to attract their investors. But nobody wants to use them cause nobody uses them, so what did they do ?

They are all building a bridge to Ethereum, and even more, they did make their shitchaines compatible with solidity, the language of ethereum, do you trust in copycats ?

What is the most important thing to have in a blockchain : scalability.

Ethereum announced 2022.

Which Blockchain coins currently have a nice investment RR :

The King : ETH

The Prince : DOT (scalability for 2023)

The Suitor : BNB (Owned by CZ)

The Outsider : HTR (scalability 2023, not the best but market cap is only 30M)

The existing alternatives : ATOM, AVAX, SOL (scalability 20XX, they don’t represent the best RR)

2) This time it’s not the public who is making the price pumping, it’s the banks because the value of fiat is hardly decreasing.

It mean, instead of being like the previous cycles where nobody knew what they were doing and the money was going in every projects, the money will flow from BTC into DeFi, making them pumping like hell (Mcp BTC : 700B, McP DeFI : 20 B) but with more strategy.

If you buy some BSV, sure you will earn some money, but maybe 100 less than peoples that did take only a little bit of time to understand.

In majority they are only invested in BTC and ETH.

But here comes the DeFi for Decentralized Finance who is unstoppable since May with a TVL (Total Value Locked) that went to 200M to 20B.

There are currently two major goals in crypto : store of value and replace the banks.

The first one is on Bitcoin and it can only be one.

And the second is undervalued in the crypto space who is undervalued. The RR is too big to be imaginable.


Why it can only grow ?

  1. When you’ll start using it, you will never come back into the old system.

  2. The banksters will use it at the end, because it’s cost reducing. They will certainly build on it but they’ll cannot compete with the system.


a) How to invest in DeFi :

There is Binance who have some nice opportunities.

And there is Metamask where all the DeFi ecosysteme is open to you (and you got your keys !)

Some people will argue that on Metamask with between 25 and 50 fees per transaction is too high, there is only one way to solve this problem easily, Stop being poor !


b) How find the blue gem ?

You can but there are plenty of people that will invest before you, twitter will be your best weapon if you can understand how the DeFi work and understand the white papers fast enough to invest before others.

Pay attention even the best projects can be hacked, you shouldn’t have every eggs in the same basket.

Beware if ethereum is hacked, everything will be lost, but is it really possible to hack Ethereum ?

Care to not overdiversify, select only 5-8 of your best project and ride them like that :


c) How to manage your investments :

-Take back 50% when x2 or 33% in x3.

  • Ride and when you want to totally take profit keep a 10% moonbag.

  • Care to not be married with a coin, if you have doubts get out before other people take the same decision before you.

  • Stay informed on the project avancement by following devs, official page and some doomer DeFi investors on twitter. ( to search your coin on twitter, type $ and the name of the coin).

  • Keep an eye on the whales addresses, especially dev one’s.

  • Remember that 1 week in DeFi = 1 month in traditional stocks, it’s likely that I’ll won’t have the same investments in 1 month.


d) In what I’m invested :

:warning:This is not investment advice, if there is bad news I will know before you, and if a whale drops her bags I will dump mine automatically with her.

:warning: It’s not because a token is not in the list that I’m not invested in it.

:warning:I don’t explain each protocoles because : Always DYOR :warning:


:white_check_mark: Datas :

$ALBT -> nice parteners

$VXV -> its a company token that can provide nice datas to hedge funds and medical companies.


:white_check_mark: Supply :

$MRPH Partner with coca, and some other in coming. They are reducing the cost of supply chains.

$QNT I did never see intelligent holders as much convinced like hell that QNT belong to the top 10.


:white_check_mark: Layers 2 with small market caps: to resolve the fees problem and have a nice RR :

$STAKE

$MATIC

:warning: DYOR cause I didn’t make mines.


:white_check_mark: Big players that can still snowball : I long them on Binance futures in x50.

$RUNE Blockchain bridge that is the first L2 of BTC.

$AAVE lending is stocks.

$RSR they are developing stable currencies for unstable countries. I didn’t understand anything but it seemed nice.

$SNX Layer 2, for me their synths are bad, they attract to much developers and hype to be a bad investment.

$OCEAN datas marketplace


:heart::heart::heart::heart:

:heart: Private pic :

$DEA -> (Warning I’m not that rational on it because I work with them) It’s a decentralized CFD (first release soon), who provide stocks synthetics in DeFi.

:heart::heart::heart::heart:


Some other types that you should know :

-:speech_balloon: There are the payment processors but I’m not convinced, I did never touch CRO and I won’t start now.

-:speech_balloon: Farming protocoles, it’s more trading than investing. I can’t figure out in time before whales what is the best yield. I did give up on that. (YFI, Pickle, Sushi, “{name of a food}.finance”)

-:speech_balloon: Insurances, UNN seems the best RR, but I’m not convinced yet in that field.

-:speech_balloon: IPO launchers : I did not invest in but I wish I wasn’t stupid.

$POLS Have Polka in the name and provide very nice IPO’s ROI.

$SWAP Seems nice

$ YFL an outsider, it’s more a trade than an investment for me.

-:speech_balloon: Oracles : The only value is hype, it could perform but it’s a huge risk. (LINK, BAND, UMA, TRB,…)

-:speech_balloon: Seigniorage : Stupid (ESD, DSD, ZAI, SHARE, …)

-:speech_balloon: Options protocols: I don’t like it but why not ($HEGIC)

-:speech_balloon: Governance tokens : For me it’s a scam, but I’m not the whales who are heavy in $UNI.

-:speech_balloon: The scams : It’s more for trading but it can still be worth it because market still stupid.

-:speech_balloon: NFT For a majority I don’t find the RR relevant compared to other types of protocols,… because I don’t find that people have a fundamental interest in them, it’s more a speculative interest.

-:speech_balloon: IOT : In this case, fees are the problem. There is nice project but more for 2022.

-:speech_balloon:Copytrading : I did test all of them, they are all shit.


:fire::fire::fire:

To conclude : In my opinion the DeFi market is currently market with the biggest RR.

:fire::fire::fire:

Take care.

11 J'aimes

Wow, thank you so much for this super useful & top quality recap on DeFi !

2 J'aimes

Shrimpy is slick, easy and efficient.

Shrimpy is slick, easy and efficient.

The thread is about DeFi :sweat_smile: -> irrelevant.

You’re gonna get liquidated soon…

I did 2k+ x20-x50 Binance futures trades and got a VIP rank with them :sweat_smile: -> irrelevant

Then, why did you write in the end of your message « Copytrading : I did test all of them, they are all shit. »:thinking:

You wrote you used x50 leverage in Binance Futures and you pretend you are profitable in the long run ? Common, every people who read you message and have some experience in trading will burst out laughing. And to top it all, you mention crypto like RUNE or RSR which are extremely volatile and risky.

Option A : You are the best scalper that ever existed in the planet and you’ve just found a way to become a millionaire in a week.

Option B : You live in a fantasy world.

You’re a trader, you’re a gambler. I’m willing to challenge you in a live broadcast. :trophy:

If you can place an order with x50 leverage and you get 2k€, I will give you personally 2k€. If you get liquidated, you’ll owe me 2k€

You will pick one the « big player » you mentioned : RUNE, AAVE, RSR, SNX or OCEAN.

What do you think ? Shouldn’t be an issue for a VIP Binance trader :slight_smile:

2 J'aimes

:joy:

Option C : I’m doing pair trading

You can’t bet more than a margin of 5k in x50 in these pairs in Binance, it’s why I also use x20 to have a margin up to 25k.

x50 is very usefull to take many positions at the same time, but I don’t put all my accont in x50, why would I do that ?.

You will pick one the « big player » you mentioned : RUNE, AAVE, RSR, SNX or OCEAN

I’m doing well in the volume, so I exactly do like MTT in poker I do 10-20 trades at the same time, so at the end of the trading session I’m regulary in positive.

And as you can see I’m playing only for fun when I have time, so I’m far from being millionaire.

In the screen below I did loss 80% of my account in 1 day so I prefer that you call me a degenerate ape gambler like others do.

Doing that is very exhausting, I can’t keep up for more than an hour, if I would be able to keep up all the day long…

What ?!

  1. You apply crazy x50 leverage
  2. With extreme volatile crypto assets like RUNE
  3. You use pair trading like RUNE/BTC

Pair trading is even more riskier than trading USDT… :no_good_man:

I confirm what all the others tell you.


My goal is not to clash a 18 years old kid but to warn all the others bros from the community to be very cautious about trading crypto : this market is very risky (especially those current days) and you cannot earn 2k with x50 leverage…

5 J'aimes

:white_check_mark: I tottally agree trading is dangerous, just invest in DeFi or stocks the RR is waaayy better.

But isn’t it that 95% of traders are loosers, isn’t it that 95% of facebook marketter are loosers, isn’t it that in many professions only the top 5% get relly rewarded and the others are paying the top 5.

The wrong part is when you didn’t even try to understand how I manage my risk before saying I’m a degenerate ape gambler :sweat:.


For the current risk of the crypto market, in 95% of cryptos the futures market is no longer able to manipulate the price because it’s not worth it for them to liquidate noobs.

Especially in pairs that have the biggest part of their volume on uniswap, because of the AMM’s.

Compare to bear market, it’s the easiest time to play the crypto future markets doing « classic trading », because their will always noobs to be your exit liquidity.


:warning: For pair trading, you should really try understand how it work before saying silly things :

  • It’s nonsense to making pair trading VS BTC

101 Pair trading :

  • You can play stationnary corelated pairs
  • You can play permanent trending pairs
  • For the pairs who are AMM dependant, you have to trade vs ETH to get smooth curves.
  • Pair trading is nice to avoid being anoyed by BTC that goes wild when doing leverage.
2 J'aimes