Most people invest and trade crypto on a public exchange. But fund manager Matthew Le Merle says the opposite should be done. According to him, most of the gains dry up when a project’s token goes public. Therefore, the manager shared 5 unknown altcoin projects and said that he is excited for them.
What about Bitcoin and altcoins?
According to Merle, betting on Altcoins is also quite risky. The last quarter of 2021 saw the crypto market take some steep hits with heavy losses overall. Additionally, these declines continued through most of 2022. Bitcoin is now down about 67% from its all-time high in November. Ethereum, the second largest cryptocurrency, has lost about 63% in a similar period.
However, other altcoin projects dived even deeper and took losses of up to 90%. It is possible that many projects will never recover after that. This is one of the classic cycles of the highly volatile nature of digital assets. Le Merle is well aware of this. Name is quite experienced in the crypto space. He is the co-founder of a successful fund called Blockchain Coinvestors. According to him, the crypto space is quite new and investing in early tech startups can be quite profitable.
“Excited for these 5 altcoins”
According to Le Merle, investors should not trade in public markets if they care about blockchain and crypto projects. Instead, they should invest in the early rounds. For the average investor, Le Merle recommends sticking with the top 10 listed cryptocurrencies for market cap. Because even though the returns are quieter, you are managing your downside risk. Small projects that are in the innovation stage carry risks. However, Merle says that some of these altcoin projects excite him.
C2X
Altcoin project C2X, which is leading the digital content space, is one of them. C2X is a blockchain gaming platform that uses NFTs, allowing you to earn money by playing games. Le Merle points out that the gaming industry has surpassed the Film and TV industry. However, many admit that video games fail. According to him, there is extraordinary growth potential when the best teams come together. And he believes C2X was built by a great team.
delysium
Le Merle talked about the second game-based altcoin project Delysium. For the project, the executive is “another blockchain-based gaming company with a very talented development team, many of whom have worked on top-of-the-line, big games in the past.” One thing that stands out most about this project is applying AI to characters in the Metaverse to create deeper interactions. So even the NPCs in the game will provide users with a deeper experience.
Composable
Composable aims to facilitate interoperability between different DeFi protocols. To this end, Polkadot works as a platform built on Blockchain. “This is extremely important,” Le Merge added. Because while altcoin projects continue to evolve, DeFi projects cannot remain unconnected.
on the flip side
In the Web2 world, many companies rely on Google Analytics to decide what ads to advertise, what traffic to buy, and how to monetize that traffic. “There is limited insight in Web3 because data analytics tools are not that easily accessible,” Le Merle said. That’s why he’s excited for an altcoin project called “Flipside” that brings big data analytics to the crypto and Blockchain world. Flipside is powered by the community. Because users share various data about themselves in exchange for crypto rewards.
kyve
Kyve is a mid-stage altcoin project that provides scalability in data storage. Traditional companies in the Web2 space may turn to cloud storage, such as Oracle or Microsoft, to upload and analyze their data. In fact, Kyve is building something similar to this cloud storage. But it aims to store data streams for projects in the Web3 space. Using Arweave Blockchain, it authenticates data streams and then stores them permanently and immutably. These features of Kyve excite Le Merle.
