Taking over from Balancer, DeFi insurance Nexus Mutual (NXM) rose 4 times in 2 days

This is not to share NXM, but to use NXM to share some views on DeFi, which may not be right. Welcome to exchange and discuss.

The point of view is as follows:

1) Focus on leaders and products that may become leaders;

2) Pay attention to the growth of DeFi data, which has the most spreading power;

3) Don't be bound by past cognition, pay attention to the innovative gameplay on DeFi.

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1. Straighten out products and focus on leaders

If a track or industry has development prospects, leading products and companies that may become leading will have good returns.

Regarding the track of insurance, in "The carnival of DeFi, how can there be no derivatives, a track full of imagination"has been sorted out and analyzed. There are 3 points mentioned for insurance:

1. Decentralized insurance starts from the original scenario, which is to serve the DeFi ecosystem and provide guarantee services for DeFi products and lending scenarios.

2. Several common attacks in the currency circle include: theft of private keys, attacks on exchanges, stolen wallets, vulnerabilities in smart contracts and manipulation, etc. Decentralized insurance protocols often provide some options for users to use in these scenarios. insurance business.

3. With the development of DeFi products and the growth of locked assets, the demand for smart contract insurance, exchange insurance, wallet insurance and other DeFi insurance will continue to increase, so insurance may become the next focus of blockchain investors .

If DeFi is a cash machine for hackers, then decentralized insurance is the patron saint of DeFi.

So who might be the leader in the DeFi insurance track? According to the data website defipulse.com, NXM ranks first in terms of lock-up volume in the insurance sector.

Of course, it doesn't mean that whoever is in front of the leaderboard is the leader, it just means that it is more likely to become the leader.

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exist"

exist"Grasp the rotation rules of the DeFi sector and keep up with the pace of the main force"In the article, it is mentioned that in the current encryption field, there are not many projects that can generate cash flow. Except for centralized exchanges and mainstream public chains, it is mainly some DeFi projects that can generate substantial cash flow.

If the price-earnings ratio is used to estimate DeFi projects, it is very high. DeFi products are still in their early stages, so we should pay attention to the user growth rate and capital growth of DeFi products.

So I often go to defipulse.com to see the ranking of each protocol asset and the growth of locked-up funds. If the data is good, it is worth paying attention to, and there is a logic for its rise.

It is often seen that NXM's lock-up funds maintain a rapid growth, as shown in the figure below.

But I have never known where to buy NXM. My personal habit is to go to various data platforms to check the exchange status of a certain currency, such as coingecko, Feixiaohao, etc., but NXM was not included at that time. So I went to Uniswap to look for it, but I couldn't find it, so I chose to give up.

But later I saw the information released by "DeFi He Taiji". Only then did I know that NXM can be directly exchanged for purchase or sale on the official website, so I started decisively.

The growth of DeFi protocol data is based on actual on-chain data statistics, which is convincing and very conducive to dissemination.

When exchanging NXM with friends, I shared 4 points:

1. The investor is very powerful, 1kz investment;

2. All mainstream DeFi are buying their insurance;

3. The business data volume of NXM is growing rapidly, which is very important;

4. Insurance is indispensable for the development of DeFi, and NXM has the strength to become the leader in insurance.

On defipulse, protocols with fast data growth are worth digging into their logic, which may be an opportunity.

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3. Don’t be bound by past cognition, pay attention to the innovative gameplay on DeFi

DeFi has been very hot recently, and DeFi has gradually shown many advantages.

For example, Uniswap’s free currency listing mechanism is used by some people for gambling and the myth of turning a bicycle into a motorcycle, and it is also called a big casino. But there are also people who can earn several times their income through data analysis. However, many high-quality currencies have also appeared on Uniswap.

For example, Ampl’s algorithmic stable currency, simply put, is that if the ampl is higher than 1 US dollar, you will be issued additional ampl tokens, and if it is less than 1 US dollar, you will be deducted from your ampl coins. If you are interested, you can learn more. The current price is above $3, and the airdrops every day have set off a wave in the market, and many early participants have earned several times their income.

Of course, because I couldn't understand the gameplay of ampl, I missed the early stage of ampl and was bound by experience.