Mastering Secondary Market Investments in Crypto: Asset Allocation Strategies and 2024 Opportunities

Published by: Mint Ventures
Original Title: EP20: Crypto Secondary Market Investment Strategies – 2024 Outlook

Participants:

Host: Alex (Research Partner, Mint Ventures)
Guests:
- Lao Lu (Author, "Lao Lu’s Blockchain Notes" TG Channel)
- Moke (Research Partner, ArkStream Capital)
- Lawrence (Researcher, Mint Ventures)

Key Discussion Points

Lao Lu: Focuses on outperforming BTC, emphasizing self-comparison over peer benchmarks.
Moke: Prioritizes catching market trends (e.g., meme coins, inscriptions) and staying resilient.
Lawrence: Aims to exceed BTC/ETH performance metrics, leveraging quantifiable targets.

Consensus: Minimal allocation outside crypto due to higher yields and familiarity.
- Lawrence reduced external investments after 2021 (e.g., HK stocks, real estate).
- Moke avoids traditional assets unless for defensive purposes (e.g., gold, USD).
- Lao Lu advises sticking to known domains to avoid pitfalls.

Lao Lu’s Left-Leaning Approach:
- Favors undervalued projects with 60%+ circulating supply.
- Uses metrics like trading volume/FDV and contract OI to time exits.
Moke’s Trend-Riding:
- Embraces market narratives (e.g., ordi as Bitcoin’s first meme coin).
- Stresses respect for fundamentals and散户 (retail investor) psychology.
Lawrence’s Dual Strategy:
- Main trades: Value/consensus assets (left side).
- Side bets: Non-consensus assets (right side), e.g., high-IQ50 plays.

Common Practices:
- Scouring news (Twitter, TG, Coingecko).
- Tracking portfolio/competitor updates.
- Analyzing on-chain/OI data (e.g., Birdeye, DexScreener).
Time Commitment:
- Bear Market: 1–2 hours/day.
- Bull Market: 6–8+ hours/day ("eating/sleeping feels excessive").

Top Picks:
1. GameFi: Complex economies capture user time (e.g., Solana-based games).
2. L1/L2: Post-Cancun upgrades, ZK-rollups (e.g., Sei, TIA).
3. BTC Layer 2: Emerging infrastructures (e.g., BRC420).
4. AI: Narrative-driven, despite weak crypto-native use cases.
5. DePIN: Skepticism but monitoring Solana’s outperforming tokens.
Wildcards: Meme coins (e.g., ordi, people) and attention-driven trades.

Moke: Avoid overusing contracts; prioritize project research.
Lao Lu: Liquidity risks and cyclicality > emotional baggage (e.g., holding 2021 DeFi bags).
Lawrence: No "marrying" coins; overcome biases (e.g., missed OHM IDO).

Challenges: Physical/mental fatigue from 24/7 market engagement.
Solutions:
- Delegate tasks (e.g., inscription operations).
- Preserve health (sleep, exercise, vitamin D).
- Postpone major life events (e.g., family planning).

FAQ Section

Q: How to identify undervalued projects?
A: Focus on low-circulating supply (60%+), strong depth, and rising OI/market cap ratios.

Q: Best strategy for bull markets?
A: Trade narratives (e.g., AI, inscriptions) over fundamentals; stay agile.

Q: Handling FOMO?
A: Set Twap-based exit plans (e.g., sell 10% daily over 10 days).