Cryptocurrencies such as Bitcoin, Ethereum, and XRP will recover… However, the following are the terms and conditions:

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The crypto ecosystem boasts over 4,500 different cryptocurrencies, and selecting a few coins/tokens to trade or hodl may seem to be a challenging challenge, particularly at a time when the crypto market is in a correction phase. Every cryptocurrency exists in a different environment, and it is often necessary to treat each one as a separate asset.

Bitcoin, Ethereum, XRP, and Cardano, to name a few, all use different core technology and have different purposes. Brian Brooks, CEO of Binance US, commented on how to pick the right asset, saying,

“It’s really about “understanding” what is this network going to do. If you believe financial apps are going to go online, the you’ll probably buy the ETH token because you think Ethereum will be the platform to those financial apps. If you believe decentralized cloud storage is the future, you’ll probably buy Filecoin etc. etc.”

“Fungible tangible internet money” is the most common connotation that is attached to cryptocurrencies. But according to Brooks, people need to be educated beyond that because of the “real value” that these assets have. Nonetheless, cryptos have been trading like a “risk asset” over the past few days. Assessing the market situation, the exec said,

“In reality, most cryptos aren’t risk assets. Bitcoin is really “the risk asset” and has risen a lot in the last 12 months because of the inflationary issue.”

Following the pandemic, the whole world, and especially the United States, is in a macro-de-risking situation as a result of inflation and international tensions. The “uncertainty” in the larger world that supports the crypto industry has inevitably caused people to sell their risk assets, which is one of the key reasons for the market’s instability. Brooks commented on the subject, saying,

“Crypto will recover, but you’ll have volatility along the way for sure.”

Brooks went on to say that exchanges like Binance aimed to boost the ecosystem’s long-term acceptance pace. He continued,

“We’re here to incubate the foundational technology of crypto… The adoption rate of cryptos depends on how much confidence people have in the networks that back the value of the tokens. That’s what needs to come next.”

There are currently 1,647 cryptocurrencies that have already been forgotten by this world. Some tokens that are doing well today might cease to exist and become “dead coins” in the future. Cautioning investors, Brooks concluded,

“We have to accept and be comfortable with that. The value of the token is based on your predictions of which ones are going to emerge as the winners [in the long run].”

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