Exchange Tokens + DeFi Tokens for a Killer Portfolio?

By agr8buzz | All Crypto, All The Time. | 22 Feb 2021

While some of these DeFi platforms may not stand the test of time, the exchanges likely will.

This is more of a stream of consciousness post about various realizations that I come to. A lot of DeFi platforms have popped up and I'm pretty sure some of them won't be around in a years time, and there will be new payers entering the space in the coming DeFi second wave.

DeFi Second Wave

Summer 2020 saw a boom of new projects launching into alpha and beta but offering products out of the gate non the less, along with a native token.

Obviously DeFi has caught fire and the attention of most people in the crypto sphere.

But when will the second wave come? If I was to guess I would say the interest and momentum we see now is spawning a new wave of project that will emerge later this year, Q4 2021.

Hodl Exchange Tokens For The Win

I hope that I look back in 2024 and thank myself for loading up bags of exchange tokens. As of right now I don't own any in my long hodl bags. When I rebuilt my portfolio for the bull run I didn't really have room for exchange tokens but I probably should have made room.

In all of the "well diversified" portfolios that I build on paper or suggest to friends, I include exchange tokens within the DeFi portion of the portfolio.

Even the most basic portfolio I have put together includes in the DeFi bag: UNI & CAKE

Then the level 2 portfolio I've built on paper adds BNB. Personally I've missed the boat on holding this asset this bull run but I won't make the same mistake twice.

Exchange + DeFi Tokens

Options options options! I sent a friend down the rabbit hole last night when he asked for tokens to look into.

Exchange Tokens:

Large Cap(>1B): BNB, HT, UNI, CAKE, SUSHI
Medium Cap(100M-1B): 1INCH, SRM

Why hold exchange tokens? These tokens have very high utility and some are even deflationary, and are used in Liquidity Pools which means they are staked, resulting in fewer liquid tokens that can hit the exchange.

Less supply on the exchange means paying a premium on the market.

I made a post once upon a time about how [I travelled into the future and Binance was killing it]( Think a $300 token is expensive now, this token will probably be 3,000 at some point in the next 10 years, at least it wouldn't surprise me.

Thinking long terms here, exchanges are here to stay, they're billions of users to onboard over the coming decade, and trillions of dollars of value to transact. I believe exchange tokens should be a staple in most portfolios when possible.

Ciao for now,


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