I'm an accountant and crypto lover
I'm an accountant and crypto lover

Subscribe to Amin

Subscribe to Amin
Share Dialog
Share Dialog


Digital currencies are unique assets. Price volatility in the market is a double-edged sword, and because of it, cryptocurrencies have been subject to severe fluctuations since their inception a decade ago. So, just as you can make a significant amount of money quickly in this field, on the other hand, it is also possible to lose this money in the blink of an eye. Therefore, recession and economic prosperity are two inseparable principles of the digital currency market. The average yield of the US stock market since the 1950s has been estimated at about 7%; While prices in the cryptocurrency market can move several times a day, like what happened to Bitcoin in 2017 (2016) and 2021.
Mining, the best investment during the digital currency market downturn Bitcoin's price has halved since hitting $64,500 in April this year. Currently, the price of the BTC cryptocurrency is in the $33,000 range, and other popular currencies have also seen losses of 70-80%.
Based on the overall trend, forecasts indicate a low probability of Bitcoin entering a bull market in the near future, meaning that the king of digital currencies has entered a bear market trend. This is the pure truth. Expecting to create a bull market is nothing more than an illusion and bearish thinking is the basic operating logic of the present. Therefore, it is vital to maintain the principles and survive the current stagnation of the digital currency market.
Bear markets are inevitable, but there are mechanisms to profit by shorting and selling. However, this choice is too risky for many people. Therefore, without a doubt, the best investment during the recession of the digital currency market is mining and extraction.
There is one truth about blockchain investing: speculating in a bullish market and mining in a bearish market. This sentence summarizes what is happening in the market and a logical strategy to avoid risk. The current market is the best time to mine. The slower the market, the lower the investment costs in mining, which in this case will bring more profitability in future bull markets.
However, extraction and mining does not mean only buying equipment and directly mining digital currency. DeFi Mining has been one of the most dazzling stars of the recent bull market. This field has illuminated the whole cycle of cryptocurrencies and decentralized finance. Liquidity mining, also known as yield farming, has replaced traditional mining machines with its high returns and has become the first choice of every digital currency investor.
In the current mining liquidity market, the initial mining of most of the leading DeFi projects is almost finished. Big whales have long ago drained the liquidity of this area and greatly reduced the efficiency of mining. Therefore, profitability from this sector will take time
Digital currencies are unique assets. Price volatility in the market is a double-edged sword, and because of it, cryptocurrencies have been subject to severe fluctuations since their inception a decade ago. So, just as you can make a significant amount of money quickly in this field, on the other hand, it is also possible to lose this money in the blink of an eye. Therefore, recession and economic prosperity are two inseparable principles of the digital currency market. The average yield of the US stock market since the 1950s has been estimated at about 7%; While prices in the cryptocurrency market can move several times a day, like what happened to Bitcoin in 2017 (2016) and 2021.
Mining, the best investment during the digital currency market downturn Bitcoin's price has halved since hitting $64,500 in April this year. Currently, the price of the BTC cryptocurrency is in the $33,000 range, and other popular currencies have also seen losses of 70-80%.
Based on the overall trend, forecasts indicate a low probability of Bitcoin entering a bull market in the near future, meaning that the king of digital currencies has entered a bear market trend. This is the pure truth. Expecting to create a bull market is nothing more than an illusion and bearish thinking is the basic operating logic of the present. Therefore, it is vital to maintain the principles and survive the current stagnation of the digital currency market.
Bear markets are inevitable, but there are mechanisms to profit by shorting and selling. However, this choice is too risky for many people. Therefore, without a doubt, the best investment during the recession of the digital currency market is mining and extraction.
There is one truth about blockchain investing: speculating in a bullish market and mining in a bearish market. This sentence summarizes what is happening in the market and a logical strategy to avoid risk. The current market is the best time to mine. The slower the market, the lower the investment costs in mining, which in this case will bring more profitability in future bull markets.
However, extraction and mining does not mean only buying equipment and directly mining digital currency. DeFi Mining has been one of the most dazzling stars of the recent bull market. This field has illuminated the whole cycle of cryptocurrencies and decentralized finance. Liquidity mining, also known as yield farming, has replaced traditional mining machines with its high returns and has become the first choice of every digital currency investor.
In the current mining liquidity market, the initial mining of most of the leading DeFi projects is almost finished. Big whales have long ago drained the liquidity of this area and greatly reduced the efficiency of mining. Therefore, profitability from this sector will take time
Liquidity mining or liquidity extraction Liquidity mining, also known as yield farming, is the provision of digital currency liquidity to decentralized exchanges (DEX). Since the primary purpose of an exchange is to provide liquidity, DEXs also seek to reward users who provide the necessary liquidity by bringing capital to their platform.
Most DEXs are centralized due to replacing the order book with an automated market maker (AMM). AMM is a smart contract that facilitates transactions. Since the smart contracts themselves are also decentralized, users do not need the order book of an exchange to trade, and instead, trade directly with other users.
Now, for trading, these platforms have introduced Token Swapping or token conversion. By using Token Swap, it is possible to trade one currency with another through the Liquidity Pool. Now, every time a user trades a token, he has to pay a certain amount of fees. For example, this value is 0.3% for UniSwap exchange.
The relevant AMM then collects these fees and pays them as a reward to the liquidity providers. Therefore, the decentralized exchange offers a symbiotic ecosystem where each group of users helps each other. In addition to people paying small fees to swap tokens on decentralized exchanges, liquidity providers also make money by providing liquidity.
Among the liquidity pools in which liquidity mining can be paid are Uniswap, Balancer, Bancor, Compound Finance, Aave and Curve Finance.
Liquidity mining or liquidity extraction Liquidity mining, also known as yield farming, is the provision of digital currency liquidity to decentralized exchanges (DEX). Since the primary purpose of an exchange is to provide liquidity, DEXs also seek to reward users who provide the necessary liquidity by bringing capital to their platform.
Most DEXs are centralized due to replacing the order book with an automated market maker (AMM). AMM is a smart contract that facilitates transactions. Since the smart contracts themselves are also decentralized, users do not need the order book of an exchange to trade, and instead, trade directly with other users.
Now, for trading, these platforms have introduced Token Swapping or token conversion. By using Token Swap, it is possible to trade one currency with another through the Liquidity Pool. Now, every time a user trades a token, he has to pay a certain amount of fees. For example, this value is 0.3% for UniSwap exchange.
The relevant AMM then collects these fees and pays them as a reward to the liquidity providers. Therefore, the decentralized exchange offers a symbiotic ecosystem where each group of users helps each other. In addition to people paying small fees to swap tokens on decentralized exchanges, liquidity providers also make money by providing liquidity.
Among the liquidity pools in which liquidity mining can be paid are Uniswap, Balancer, Bancor, Compound Finance, Aave and Curve Finance.
<100 subscribers
<100 subscribers
No activity yet