What are the types of virtual currencies investing in? ？What are the investment strategies ？

two 、How to maintain stable cryptocurrency investment strategies 1.You must spend time and effort to understand currency information Blockchain technology is actually very difficult ，Related to cryptography and advanced mathematics ，So it's hard for ordinary people to fully understand ，What exactly is blockchain

Before all investments ，We all must understand the nature and type of investment objects ，It is the most important part of the entire investment strategy 。The so-called “Cryptocurrency ”，In fact, it represents the effectiveness and mechanism of blockchain ，And the value projection of the blockchain itself 。When we divide the types of cryptocurrencies ，It means you need to divide different blockchain types ，Define the nature of different cryptocurrencies 。Today I will tell you what types of investments in virtual currencies are available ？What are the investment strategies ？

one 、What are the types of virtual currencies investing in?

1.Large public chain coins

To build a high speed 、Complete decentralization 、Compatible blockchains are actually very difficult ，To endure tests between users and hackers ，In the end, there are actually very few blockchains running without foundation 。The blockchain behind Bitcoin （No name was then ，There are also some sayings that can be called directly Bitcoin）Why is it powerful ，It is precisely because no hackers can defeat them 、There is not even a variety of common technologies for new public chains ／Downtime problem

Governance tokens for large public chains （That is, the virtual currency derived or corresponding to the running of the public chain ），Because of the high scalability ，The most development potential ，The market is often the most popular value ，It's also the easiest to have large updates 、New technological advances have led to stable growth in coin prices 。These include Ethereum 、Avalanche、Solana、Binance Smart Chain （BSC）etc.

2.Stable Coin

Stablecoins are cryptocurrencies created for the convenience of transactions ，Because the value of cryptocurrencies is very fluctuating ，Traditional banks cannot buy cryptocurrencies directly ，Credit card handling fees are also very high ，Therefore, there is a compromise stablecoin 。Stable coins will be ticked with physical currency 、Maintain stable value ，Most of the targets are US dollars 。The most commonly used include USDT、USDC，There are also other physical currency types ，Stable coins such as Euro

New investors must pay attention ，The reason why stablecoins can “Stablize ”，Because the price of the currency must be supported ，like USDT、USDCAll are supported by various US dollar equivalent assets as value ，It can maintain it for a long time under extremely strong selling pressure at any time 1：1USD stable price ，So some people also say that this is actually “Centralized stablecoin ”

In comparison ，Use algorithms and stablecoins to maintain currency prices 、And the stablecoin without physical assets behind it ，As early as UST、USDDetc. ，It is called “Algorithm Stable Coin ”，The risk is much higher than the above-mentioned decentralization 。

3.GameFi currency

GameFi What it refers to “Decentralized Games ”，Mostly not an independent blockchain currency ，most GameFiIt is actually built on Ethereum

GameFi Deemed independent currency ，The reason is that decentralized games have their own ecosystems ，The price of these currencies ，They are very affected by their game ecology ，Easy to rise and fall ，Therefore, if you are a novice investor ，These currencies must be identified before entering the market 。include AXS、SAND、MANA、GALA、YGGetc. ，To avoid taking too much risk to your own funds allocation

4.Layer 2 Apply coins

Layer 2 Actually it's relative Layer 1 Come on ，and Layer 1 That is what we say first “Blockchain ”Public chain ，When the public chain itself has functions that cannot be effectively processed ，Or time-consuming to process ，You can sacrifice it Layer 2 Expand the capacity to handle ，It can be imagined “parent company ”and “Subsidiaries ”The relationship 。

Layer 2It is a relatively emerging concept among cryptocurrencies ，The reason why it is more dominant ，Its functions are often more advanced 、More complex 、More difficult to understand ，The price of the currency is more difficult to analyze and judge its rise and fall ，like EGLD、MATIC、OMG etc. 。

two 、How to maintain stable cryptocurrency investment strategies

1.You must spend time and effort to understand currency information

Blockchain technology is actually very difficult ，Related to cryptography and advanced mathematics ，So it's hard for ordinary people to fully understand ，What exactly is blockchain ？What is “Fault-tolerant mechanism ”？etc.

But ，Most people can still take the time to understand different currencies “difference ”and “nature ”，For example, which blockchain is the currency ，That “Consensus mechanism ”How it works ？Fast or slow ？How many related extension applications are there ？whether GameFiRelated ？Whether or not Layer2Related ？Is it just a copy of meme coins? 。What the currency circle often says DYOR（ Do Your Own Research）

past 2020to 2021Years ，Because the currency market surges ，Many retail investors are afraid of missing the opportunity to enter the market ，Just rashly enter the market 。This is actually a very wrong thinking ，Because as long as you don't invest ，There will definitely be no loss ，But if you buy it first and then study it ，The possibility of loss increases greatly 。Investors would rather miss the rise ，Do your homework first ，Make sure you understand the details of the currency you are buying ，Go to invest again ，Even though it still lost ，At least understand the relevant reasons more deeply 。

2.Establish strict profit stop ／Stop loss position Always maintain a good flow of funds

As mentioned above ，The rise and fall of the currency market is not as good as the traditional stock market ，Can rise and fall in a short period of time 。Assume your capital is USD$1000，After two days it becomes only USD$800，It's very much in the currency circle “usually ”The situation 。For novices' investment ，Pay attention to your own risk tolerance ，Then make a suitable stop-profit ／Stop loss position ，To ensure that you meet your investment expectations 。

in addition ，Don't say anything lightly when investing in the currency market “All-in”，Because of the rapid fluctuation of the currency market ，No one can say that it is upward or downward ，As long as you always maintain a certain amount of capital flow ，There will always be a chance to buy at the bottom 。Keep adequate liquidity anyway ，It's like giving yourself a lesson forever 。

3.Don't invest in various contracts casually ／Derivatives Products

There are also various contracts and derivative products to choose from in the currency market. ，You can defend the ratio through a certain measure ，To increase profit ratio 。but ，Be careful with novices ，Select leverage if you look at the wrong direction ，The losses caused are also calculated in multiples ，Plus margin interest ，It may be worth the loss 。

Currency contract investment has always been more suitable for senior investors ，If a novice user fails to master risk management ，Contract transactions are never recommended 。

three 、Summarize

Have a certain practical experience, market viewing experience and rich knowledge on currency speculation ，Only then will you have a good attitude 。In a market with uncertainty ，Always maintain a peaceful mindset ，Treat the rise and fall in the currency market peacefully ，No wrong judgments and decisions will be made 。Make money you can make ，Do what you can do 。