1. Team background and strength: Does the core team of the project have rich industry experience and successful project background?

2. Technological innovation and practicality: Is the project’s technical solution innovative and does it solve actual problems?

3. Market demand and competitive advantage: Is there market demand for the project’s solution and does it have unique advantages over the competition?

4. Community and governance mechanism: Is the project’s community active and is the governance mechanism transparent and effective?

5. Financial health and sustainability: Is the project financially healthy and how sustainable is it in the future?


Taking all the above factors into consideration, it is possible to assess which project has greater profit potential.
1. In terms of fund management:

High-risk funds: refers to funds allocated to high-risk, high-return projects. It is usually recommended that no more than 10% of the total funds.

2. Minimum living security funds: refers to assets with lower risks and stable returns, such as stablecoins or low-volatility assets, which can account for the majority of total funds.

3. Single account allocation: It is usually recommended to determine based on personal risk preferences and investment goals, but the amount of funds should not be too high to avoid excessive risk exposure.


4. Crossing the minimum threshold means that you can participate in more types of projects, but you need to carefully evaluate the risk and return ratio.

Different protocols and projects have different focuses:

1. Liquidity protocol: focuses on providing liquidity of funds, which may bring transaction fees and liquidity mining rewards.

2. Activity protocol: focuses on user activity and engagement, and may have incentives such as community rewards or governance voting.

3. Sedimentation Funds Agreement: Focuses on the sedimentation and stability of long-term funds, usually involving pledge and stablecoin issuance.

4. Balance the focus of different projects and adjust capital allocation and participation strategies according to your own investment goals and risk tolerance.


Ways to not miss important information:

1. Obtain information through multiple channels: pay attention to official social media, industry news websites, professional investment forums and other channels.
2. Regular update strategy: Set daily or weekly information screening and update time to maintain sensitivity to market dynamics.
3. Community participation and networking: Join communities and networks related to relevant projects to stay connected with experts and practitioners in the industry and get first-hand information and insights.

In summary, through systematic analysis and careful fund management, you can participate in the cryptocurrency market more effectively and maximize potential gains.