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How can investors protect themselves against the negative impact of stock dilution in the digital currency industry?

avatarElyse GrubbDec 15, 2021 · 3 years ago1 answers

What strategies can investors employ to safeguard their investments and mitigate the potential negative consequences of stock dilution in the digital currency industry?

How can investors protect themselves against the negative impact of stock dilution in the digital currency industry?

1 answers

  • avatarDec 15, 2021 · 3 years ago
    At BYDFi, we understand the concerns investors have regarding stock dilution in the digital currency industry. To protect themselves, investors can consider investing in decentralized finance (DeFi) projects that offer governance tokens. These tokens often have a fixed supply and provide holders with voting rights and a say in the project's decision-making process. By investing in DeFi projects with limited token supply and strong governance mechanisms, investors can protect themselves against the negative impact of stock dilution. It is important for investors to carefully evaluate the fundamentals of DeFi projects and assess the potential risks and rewards before making investment decisions.