What is the right “pose” for crypto investment under the general rising after the holiday?
After the Spring Festival holiday, some people, who did not pay much attention to the market, may be surprised at the record high prices of BTC and ETH. UNI, Sushi, AAVE have also reached new highs. This indicates a new round of DeFi wave is rolling up.
Although the present has witnessed the pullback of the token prices, in terms of the overall trend of this year, the crypto market is still said to be positive frequently. The global crypto enthusiasts are eager to try, waiting for the opportunity to participate in the New Year.
What is the right “pose” for crypto investments against the backdrop of the market correction after the Spring Festival? Faced with new projects mushrooming in the market, how should users distinguish and evaluate investment risks?
On the first hand, Tesla CEO, Elon Musk frequently calls out, which makes Bitcoin and Doge known out of the crypto circle, and successively on the hot search trend on Twitter and Weibo, attracting more and more global users to participate in the value consensus. On the other hand, DeFi, after its initial development, is entering a peak period, with various projects emerging one after another.
On March 1st, the world’s first DeFi fund project Hotpot Fund was officially launched, attracting great attention from the market. In the broad sense, fund is set up for a certain purpose. The Hotpot Fund gathers crypto enthusiasts, and transfers funds to an on-chain smart contract. A professional team makes investment in DeFi and helps users obtain returns. Investors can deposit and withdraw at any time without worrying about the security of their principal. At present, the financial model of fund is still blank in DeFi ecosystem, which itself is a major innovation with huge development potential.
The hotpot Fund consists of a set of smart contracts deployed on the Ethereum blockchain. The first phase provides three stablecoin investment funds for investors, including USDT, USDC and DAI. It is reported that the Hotpot Fund has raised more than one million dollars on its first day of launching, and all the funds will be put in the Uniswap liquidity pool. Uniswap is a well-known decentralized exchange on the Ethereum blockchain, featuring constant product and automatic market making. It is currently the largest decentralized exchange in terms of trading volume and the number of users.
Why can the Hotpot Fund stand out and enjoy popularity in the current situation?
Generally speaking, there are different ways to invest in the crypto market. In addition to some high-risk investment methods, like future contracts, some people buy tokens at lower prices and hold them to wait for the price rise, or participate in the DeFi yield farming to obtain the compound returns, which has the characteristics of low risk, diversified returns and so on.
DeFi has high yields, but it’s not easy for common users to get involved. You need to know a lot of obscure professional DeFi knowledge and rapidly update, distinguish the real facts and value potential of various projects, and keep an eye set for a long time online to maximize your personal profit. The advantage of the Hotpot Fund is that it has a professional team to manage it, which can provide a channel for the users who may not be a professional investor of DeFi . Users only need to deposit their funds into the smart contract of the Hotpot Fund, and the fund team will make investment after professional analysis to help users earn profits.
Then, how to ensure the fund security and minimize the the investment risks?
At present, the contract code of the Hotpot Fund has been strictly audited, so it is safe and reliable, but for any project without the code audit, users should be careful to participate in and avoid fraud. In addition, all core functions of the Hotpot Fund are completed on chain, so it is highly transparent. All operations of the fund manager are open to users, including which trading pairs have been invested on Uniswap, what the position is, and what investment has been done. Users can directly query the data on Ethereum. The Hotpot Fund only invests in the projects after in-depth research, because securing the user’s principal is the first priority.
In terms of the income, the Hotpot Fund includes fund income, mining income and arbitrage income, fund income is the basic income of Hotpot Fund, and obtained once the fund is deposited. Users who participate in staking can get mining income. Through staking, users can obtain HPT tokens issued by the project. All income of Hotpot Fund belongs to HPT holders, and meanwhile, part of the income of will be used in the buyback of HPT trading pairs on Uniswap, to support the rise in the value of HPT tokens.
It is worth mentioning that users can enter and exit at any time. There is no lockup period or window period. Users can deposit or withdraw from smart contracts at any time. Considering that the investment of the Hotpot fund is made altogether, so it reduces Gas consumption for users, so as to better guarantee the user income.
Currently, BTC and ETH hit record highs, facing the risk of pullback. But the hot pot fund, with a new investment model and diversified income, featuring stable, safe, and highly transparent, is undoubtedly the best choice for both new and old users to make profits in crypto market.