I've been following a few Telegram conversations recently and I've seen a new project type that involves people hanging on to their tokens or coins and then passively earning BNB or another coin. Of course, this might be a wonderful marketing effort to get people to buy the primary token being promoted...after all, who wouldn't want to have passive income?
But, of course, we are always skeptical...do you believe that a programme like this can truly succeed and last? Or is this just another avalanche of meme token metamorphosis?
Maybe this is the effect of the increasingly expensive price of BTC, so people are looking for ways to keep investing, even though the investment does not get the maximum profit, but to just invest and have a profit, people must still do it.
We understand that the right investment involves a process of market analysis and monitoring, meaning that we cannot make any investment in a hurry, but the right choice for now is to think about how the investment should grow and develop for each of us who have the confidence to invest. .
This pattern is what we are doing in order to stay at the point where we need to invest properly and be able to minimize any possible losses.
I am not sure if you are discussing things like liquidity provision in order to earn passive income, but liquidity provision doesn't go without risk either. That is also the problem with staking unless you are absolutely certain that the coin won't dump more than it generates in staking revenue value. I guess not too many would lock their coins for staking for a year or so. Too much can happen in the meantime that destroys your staking rewards. In the end the decision for passive income is also a bet that the underlying at least keeps its value.