How to Discover A Cash Cow in Crypto?

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26 Nov 2023
149

Recently many signs showing that the next bull run is coming. For example, the price of Bitcoin hits $38,000, in the meanwhile, the total market capitalization of cryptocurrency has returned to $1.44 Trillionsthe. In addition, main stablecoin-USDT's market capitalization hit record high with reaching up to $88.439B last week. Which means some capitals or crypto giants have taken entries for maximum gains. As an average investor, what should we do and what can we do to embrace the next upcoming bull run? In this article, let's discuss what is a cash cow in crypto and how to discover a cash cow.


What's a cash cow?


According to dictionary, a cash cow is a product or investment that steadily continues to be profitable. In other words, an investment that can maintain a sustainable passive income, we can call it a cash cow. If you are a content creator, what you need to do is find a huge potential platform that can increase your influence and income, and establish your passive income system continually. If you are an average investor, you need to do your own research and figure out some products or projects with a lot of potentials and then engaging in, the reward should be substantial enough to motivate the content creators.


However, timing and luck are equally important in this process. When comparing with traditional financial industry, there is no doubt that cryptocurrency is a gold mine, and in the long-term it can also be considered a cash cow. Which means we are all on the fast track to wealth. So, guys, take advantage of it, I mean spend your time, spend your energy on this field.

How to discover a cash cow


After knowing the definition of cash cow, you will ask "How to discover?". The first step is learn much more enough to know the basic framework of crypto world. And then trying your best to learn a lot of technical terms in this field because new words and modles are produced constantly, if you stop learning, you will fall behind. The third one is to do in-depth research.


For example, when you wanna learn the field of staking, you need to gather the related information and analyze the key indicators such as Annual Percentage Rate, inflation rate, and the spercific steps on operation, the potential income and even the risks. By doing above work, you can make your investment more accurate, and then finding potential cash cows in the huge amount of information. In this process, tool websites like CMC, DefiLlama, CoinDesk, Coingecko are necessary.

  • CMC-for Checking a potential project or coin, track and understand its basics info.
  • DefiLlama-Figure out its blockchain and track the information on chain.
  • CoinDesk-Keep abreast of the latest updates on the target project.
  • Coingecko-The usage just like CMC.



5 crucial tips for a successful cash cow


  1. Don't be anxious when someone tells you a huge potential coin, project or even high profits, do your own researching and focus on your familiar fields.
  2. Try a project with low market capitalization and low supply amount that not many investors paying attention to.
  3. Never all in, eventhough you are 100% sure what you choose, you also realize that the market is cruel and can change at any time.
  4. High profits mean high risks at any time.
  5. Timing is the key to investment, therefore, taking an early entry for maximum gains.


Disclaimer: And as a final reminder, this is not financial advice and it’s just for educational purposes only. Please do your own research and find out what investments are best for you. Cheers everyone! In the crypto world.

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