Hello everyone, this is the currency circle power station

Primary market prices are often lower than secondary market prices, and each distribution process often generates a premium

This is why it is relatively easier to make money in original stocks and Hong Kong stocks.

Why do retail investors rarely participate in the primary market?

As a superstructure, the primary market also has some prerequisites.

First of all, the threshold for participating in the primary market is higher than that of the secondary market, including funds and resource relations.

Most retail investors, as people with limited financial resources, can only participate in the secondary market, and the secondary market is a negative-sum game (because of transaction fees). If you want the secondary market to last for a long time, you have to attract more funds to enter.

The relationship between the interests of the two.

If the secondary market performs well, the primary market can make stable profits.

If even the primary market is not profitable, the secondary market is basically bruised and battered.

The seed price of the primary market is generally relatively low, but many coin friends cannot find channels in this regard to participate in primary market projects.

Compared with the secondary market, there are more opportunities to participate in the primary market, and the price obtained is much lower than that of the secondary market. The primary market has a famous saying: people with ideas participate in the primary market, and those who do not understand take over the primary market.

Taking over the primary market means waiting for the new currency to be listed on the exchange for subscription. At this time, most of the currencies should have a high premium.

For us who play with coins, the lower the subscription price, the greater the guarantee for us. Take the IO that was launched during this period. The private placement price of this coin was 1u at the time. After it was launched, it directly reached 6.5u. It can be said that it won directly at the starting line. Maybe this is the charm of the primary market.

However, the primary market is not 100% of the time. There will also be times when it breaks. Generally, during the bull market, the primary market currency is not easy to break. Even so, everyone who plays coins should be more cautious. Investment is risky. Be cautious when entering the circle and operate reasonably!

Friends who want to participate in the primary market can see my personal concise!