6 High-Risk, Low-Cap Cryptocurrencies I Bought During The Crash

As a veteran cryptocurrency trader, I’m used to huge market swings, but even this week’s crash has shaken me. Huge losses were seen across the board, with LUNA down almost 99% from its all-time high, and many other cryptocurrencies down 50% or more in a week-long period. Bitcoin (BTC) fared better than most altcoins, with the price hovering between $26,000 and $31,000 depending on the exchange being monitored.

Although it is possible that the market will continue to implode, there is also a high probability that the market will recover. Knowing this, savvy investors took advantage of market conditions to bargain hunt.

Personally, I wanted to take advantage of yesterday’s oversold conditions to start a new “High-Risk, Low-Cap” portfolio. I chose to buy undiscovered tokens from companies that VC funds had invested in over the past year and were now trading at unprecedented discounts. Since these tokens have such a low price and low volume, there is a high probability that each of them will reach zero, due to market forces or other unforeseen reasons.

I chose to look at these investments from a long-term venture capital perspective instead of quick trades for easy profit.

With this mindset it is understood that there is high risk, with the traditional belief being that 9 out of 10 projects will fail or underperform. It’s the 1 in 10 that pays the dividends and that’s the approach that has been taken with this portfolio. The goal is to identify a gem that can grow in size from 10x to 100x.

These are the six tokens that have been purchased. Additional tokens will be added as they are found. This is not trading advice and is shared for educational and entertainment purposes only.

Zebec Protocol (ZBC)

I bought 1,300,000 ZBC tokens at or near $0.01628. This is the largest position in the portfolio.

The Zebec protocol runs on the Solana blockchain and offers a payroll platform that allows workers to get paid per second with USDC or other stablecoins. It solves one of the main problems for companies operating in cryptocurrency, namely transparent and efficient payroll. Investors include Republic Capital, Shima Capital, Breyer Capital, Resolute Ventures, Launchpad Capital, Backend Capital, Meltem Demirors, Gemini Frontier Fund, Infinity Ventures Crypto, Wave 7, Cadenza Ventures, Hack VC, and Joe McCann.

This token trades on Gate.io (Canada and USA prohibited).

Router Protocol (ROUTE)

I bought 20,000 ROUTE tokens at or near $1.02. This is the second largest position in the portfolio.

This project is a bit technical and is one of the newer projects in the portfolio, Router Protocol uses a proprietary search algorithm to find the optimal route for cross-chain exchanges. They recently integrated with Ethereum and the Fantom network. Investors include Coinbase Ventures, QCP Capital, DeFi Capital, Alameda Research, Wintermute, Woodstock, and Shima Capital.

This token trades on Gate.io (Canada and USA prohibited).

Umee (UMEE)

I bought 300,000 UMEE tokens at or near $0.03783. This is the third largest position in the portfolio.

These are the highest risk projects in this portfolio, Umee offers DeFi experience for staking, rates and interoperable solutions across blockchains. It is essentially a layer 1 blockchain for communication and interoperability between chains, built on top of the Cosmos SDK. It is another that is backed by some big players including Coinbase Ventures, Polychain Capital, Alameda Research, Consensys, Tendermint, CMS, BKCM, GSR.

This token trades on Gate.io (Canada and USA prohibited).

NEST Protocol (NEST)

I bought 335,000 NEST tokens at or near $0.02931. This is the fourth largest position in the portfolio.

Nest Protocol is one of the top 400 tokens and is therefore one of the most important tokens on this list. Since it trades on larger exchanges such as Huobi Global, it offers a relative amount of liquidity. It is a decentralized price oracle based on Ethereum, and when analyzing market sentiment, it seems to be gaining traction. Due to its relatively high current valuation, it offers less upside potential than some of the other tokens on this list, but it was included because it is backed by larger venture capital funds, including Coinbase Ventures.

This token trades on Huobi Global. (Canada and USA prohibited).

Cooperative Index (INDEX)

I bought 2,000 INDEX tokens at or near $4.78. This is the fifth largest position in the portfolio.

Index Cooperative is a solution for investors who don’t want to do the hard work of researching investments, but instead offer various crypto investment themes such as an ETH compound interest index, a Metaverse index, and an index DeFi Pulse. Investors can choose the index they prefer and allow more experienced hands to select investments. The venture capital funds investing in this company are arguably some of the best in the world, including Sequoia Capital, Galaxy Digital, DeFiance Capital and Wintermute.

This token is trading on Hoo.

Unlock protocol (UDT)

I bought 360 UDT tokens at or near $22.63. This is the sixth largest position in the portfolio.

This is a free protocol that will allow anyone to effectively create memberships and sell NFTs. This protocol is owned and controlled by the community, and offers unlimited customization. Some of the biggest venture capital funds that have invested include General Catalyst, Consensys Ventures, Kindred Ventures, Betaworks, 122 West Ventures, and Coinbase Ventures.

The market capitalization of this project was around the $900,000 mark when the purchase was made, the lack of liquidity prevented me from buying more tokens. Due to low liquidity and lack of exchanges, it is the highest risk token in this portfolio. For the same reasons described above, it also offers the highest potential reward.

This token is trading on Hoo.


These tokens were not bought for a quick profit, but rather with the intention of holding them for the long term. In other words, there is a high probability that some of them will fail and fall to zero, but one or more of these tokens are also expected to increase significantly in value to perhaps enter the top 200 coins market capitalization.

Securities.io will publish investment guides for each of these projects in the coming weeks.

Please note that this is not investment advice, the information is shared for entertainment and educational purposes only, and to share the mindset behind my trading strategies. Securities.io is not an investment adviser, cryptocurrency trading is high risk and may result in the loss of 100% of your investment. Always perform your own due diligence.

#HighRisk #LowCap #Cryptocurrencies #Bought #Crash

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