What strategies can be used to improve the 10 year average return for digital currencies according to Lipper?

3 answers

• Nov 26, 2021 · 3 years ago
  According to Lipper, one strategy to improve the 10 year average return for digital currencies is to diversify your portfolio. By investing in a variety of different cryptocurrencies, you can spread out your risk and potentially increase your overall returns. Additionally, Lipper suggests conducting thorough research and analysis before investing in any digital currency. This includes studying the market trends, evaluating the technology behind the currency, and considering the team and community supporting it. By making informed investment decisions, you can increase your chances of achieving higher returns.
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• Nov 26, 2021 · 3 years ago
  Lipper recommends taking a long-term approach when investing in digital currencies. The cryptocurrency market can be highly volatile in the short term, but over a 10-year period, it has shown significant growth. By staying invested and not succumbing to short-term market fluctuations, you can potentially benefit from the overall upward trend of digital currencies. It's important to have patience and not panic sell during periods of market downturns. Lipper also suggests regularly reviewing and rebalancing your portfolio to ensure it aligns with your investment goals and risk tolerance.
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• Nov 26, 2021 · 3 years ago
  According to Lipper, one effective strategy to improve the 10 year average return for digital currencies is to utilize decentralized finance (DeFi) platforms. These platforms offer various opportunities for earning passive income through activities such as staking, liquidity mining, and yield farming. By participating in these DeFi activities, investors can potentially earn additional returns on their digital currency holdings. However, it's important to note that DeFi platforms come with their own risks, such as smart contract vulnerabilities and market volatility. Therefore, thorough research and caution are advised before engaging in DeFi activities.
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