Liquid Capital founder Yi Lihua: The choice of direction is crucial for long-term returns

Liquid Capital founder Yi Lihua stated that, reflecting on his observations since entering the cryptocurrency industry at the end of 2015, the choice of direction is crucial aside from personal efforts. He believes that the groups that can achieve long-term results more easily in the cryptocurrency industry mainly include three categories.

One category is the holders of BTC / ETH / BNB, including mining, holding coins, and mining pools, which is a time compound interest return. Another category is those involved in trading infrastructure, including quantitative arbitrage, trading platforms, and stablecoins. The last category is projects and market makers, which belong to asset issuance and asset control.

Yi Lihua also mentioned that investors and contract players overall experience more failures than successes; the model is similar to that of hunters, where one must go out to hunt every day to have something to eat, with low compound returns amidst high risks.