Is it really effective to choose the leader of the sector without thinking about value coins❓

Tasteless and a pity to throw away may be the true psychological portrayal of the current holdings of various ETH L2 and DEX track targets

These two tracks have one thing in common: everyone knows which leaders are, but it is difficult to realize that the market share of the leader at the market value level is constantly being diluted by new projects

It can be said that these two tracks are: business model convergence + project homogeneity

While both are relatively mature oracle/fan token tracks, the market share of the leader target is completely incomparable to the first two, for this reason I also made a comparison pie chart

📍Back to the question at the beginning, the strategy of buying value coins and choosing the leader without thinking may not work, and it is also necessary to comprehensively consider the competition situation of the track and whether the target has long-term competitiveness

Then go to $ARB Above, the king of L2 ecology is well known, but an interesting thing is: ARB's market value in L2 is now almost in the same echelon as OP, IMX, and MNT

Friends who follow my previous account may remember that I said we should not make choices in tracks that make you feel difficult to choose. Even if you really want to do value investment, you have to analyze multiple projects in the same echelon, which will dissipate a lot of your energy

At the same time, this only brings you similar odds, because these targets, if you study them carefully, you will find that the business results are similar, and each has its own field differentiation, this It is still difficult to make horizontal comparisons of this kind of differentiation

If you copy low market value in this sector, you will have to continue to benchmark other projects tomorrow after benchmarking ARB today, and a more cruel fact is: it is difficult for new L2 to compete with first-mover projects, and the market is almost full of competition

If you switch to the oracle or fan token track, you can choose $LINK and $CHZ without thinking if you do value investment. If you copy low market value, you only need to consider: how much market share can my target take from LINK/CHZ?

At the end of this article, I would like to explain that the above logic is only suitable for sectors that have experienced a certain market cycle. For new sectors and new tracks, certainty is undoubtedly a response reduction and a corresponding increase in odds

And in the current industry background of dispersed liquidity, the more choices in the same sector, the greater the possibility of dilution of a single target