Learning from recent Events

I've been dealing with crypto for close to 8 years and @ph1102 is also pretty experienced in the crypto field. We both had to admit however that we hadn't anticipated what happened with Luna. It has been quite a chock and not only for us I believe.

I've seen plenty of things going on in the crypto world and I always try to learn from it, to get better and to avoid mistakes in the future. That doesn't mean that I won't fall into any trap, far from it, but I believe I would make more mistakes if I didn't do that. Over time, I've set some basic standards for myself:

Understand what you invest in

For my personal assets but also for Liotes, I always try to make sure that I understand how a project works before I buy a token or asset. Also, I try to figure out how value is created, how it's financed and how sustainable it is. If I don't understand how things work, I try to avoid it.

Never leverage an investment by borrowing money

The way things were going with Luna, people borrowed money to leverage their investment. That's a recipe for crashes. This is what fueled many crises in the normal economy in the past. Why should this be different for crypto?

Are the tokenomics sound ?

With Luna, there were some flaws in the tokenomics. Nowadays, it's so easy to create a token and a project and not every creator foresees the risks attached to it. A project should work in growth times and also when courses crash.

I see in a lot of projects where the supply of a token can explode or is not under control. This should rise question marks because the supply growth is the one parameter that the creators of a project can control. Unfortunately, plenty of hive-engine projects don't really have a strategy regarding supply growth control. If the supply grows endlessly, is the demand growing in the same fashion?

Making choices for Liotes

For the secondary income sources of the Liotes project, we have decided to go through our assets with a critical eye. While doing that, we have discovered some things that arise questions and we will take some decisions accordingly. It's often difficult to find assets that give a nice return and also look healthy from a tokenomics point of view. I believe that the zero risk investment doesn't exist in the crypto world. We try however to come up with what we consider the best solutions even if we know that there are some risks involved.

Learning from recent Events

Understand what you invest in

Never leverage an investment by borrowing money

Are the tokenomics sound ?

Making choices for Liotes

The numbers of this week

Liotes

Resources