Due to constantly floating rates, the use of cryptocurrency portfolios is a more reliable way of investment than trusting one asset. We have collected useful information about cryptocurrency portfolios for you here: what portfolio is and 5 types of cryptocurrency portfolios for long-term profit.

What is cryptocurrency portfolio?

Cryptocurrency portfolio (further: crypto portfolio) is a set of cryptocurrency assets, which the trader collected to get some profit on a change in the rates of cryptocurrency.

Crypto portfolios are needed for effective investment.

Example:

You decided to invest with a friend: you chose Ethereum and invested all in it, and your partner bet on Ethereum + 5 other cryptocurrencies from the top-30. After a while, Ethereum (God forbid) crashed and you got zero, or even go into the red, but the friend is fine – the rate of 5 additional assets increased and not only protected against losses due to the Ethereum crash, but also brought some profit .

How to collect cryptocurrency portfolios?

  • Before collecting a portfolio, it is a must to look at the liquidity and capitalization of the cryptocurrency – will you make a profit from it?
  • An important point – how is the token used in the blockchain? For example, ether is a “fuel” Ethereum that feeds smart contracts. Based on the purpose of the cryptocurrency, we can assume its value in the future.
  • The popularity of “digital gold”: on which exchanges tokens are in demand? burning or buyback? What wallets are suitable? Answers to these questions should be given before filling the crypto portfolio

Types of crypto portfolios

Types of crypto portfolios

Traders distinguish cryptocurrency portfolios by their structure. There are three main types:

Conservative portfolio: 3-5 currencies, Bitcoin and Ethereum are necessary.

The rest are less popular, but at least in the top 10. This crypto pack is suitable for those for whom peace and stability are the most important. Selected cryptocurrencies are popular and their rate will fluctuate with a low probability. Risks in this case are minimized, however, as well as profit.

Balanced (moderate) portfolio: 15-20 Cryptocurrencies. There is also father Bitcoin and mother Ethereum. About half of assets are from at least the top 50 coins by their capitalization. And the rest is “dark horses”, which can suddenly turn the game upside down and be in the top 10. A portfolio for those who are ready to take risks, but worried about covering bases.
High-risk portfolio: cryptop pack for daredevils, or for those who are ready for constant hard work and market monitoring. We will still see Bitcoin and other popular altcoins from the top 50 inside. All this takes about half of the total. The rest is underdogs.

Balanced

Reliable and promising crypto portfolio

Diversification:

  • At least 5 coins
  • Different functions and purpose of cryptocurrency

Bitcoins+tested altcoins and underdogs than can bet

Here bitcoin is a gold standard that helps you to track the state of the market.

Important! Any cryptocurrency portfolio requires hard work. You cannot collect the portfolio and leave unattended.

Of course, there are much more crypto portfolios and people are more interested in those reliable portfolios that brings stable profit.

Our choice is stable portfolio that will bring profit in long-term.

Cryptocurrency portfolios for long-term profit

The tops are based on a subjective but experienced opinion. They are also based not only on the analysis of the market, but even on the worldview. Interest is the share of asset contained in the portfolio of the total.

Type #1: crypto portfolio “Leaders”

  • Bitcoin (20%)
  • Ethereum (20%)
  • Ripple (15%)
  • Litecoin (20%)
  • NEO (25%)

As you can see, the leaders in this list are capitalization leaders. This crypto pack is conservative. This dream team is a reliable set that will bring a stable but small profit.

Type#2: portfolio “Top-10”

  • Bitcoin (20%)
  • Ethereum (10%)
  • Ripple (10%)
  • Litecoin (10%)
  • NEO (10%)
  • IOTA (10%)
  • TenX (10%)
  • Stratis (8%)
  • Safe Exchange Coin (8%)
  • Mysterium (4%)

With admissible fluctuations, this set will be able to yield a stable profit for at least 4-5 years.

Type# 3: “Crypto finances”

  • Bitcoin (20%)
  • Ripple (20%)
  • TenX (15%)
  • Metal (15%)
  • OmiseGO (10%)
  • Lumens (10%)
  • Bitshares (10%)

In this portfolio there is a good level of diversification – this is an advantage. Ripple and TenX are reliable and tested altcoins, which still a potential to grow. OmiseGO, Metal, Lumens and Bitshares are promising assets, which are worth paying attention to. If you do not know about them yet, you need to change it immediately.

Type#4: Cloud storage

  • Bitcoin (20%)
  • NEO (20%)
  • Siacoin (15%)
  • Filecoin (15%)
  • Storj (15%)
  • MaidSafeCoin (15%)

This combination creates a very good diversification. Altcoins in this set are good in that their shares can be reduced if you want to add other coins in the portfolio. Since the assets at the moment are reliable (more or less successfully conducted ICO in the last couple of years), the risks in case of adding new ones will be less.

Type#5: Web 2.0

Progressive portfolio, which puts further decentralization of the market first. “Local” altcoins moves decentralization and not only the market. For example, the underdog Steem is a social networking platform based on block connections, where everyone can earn rewards by voting. By the way, a service D2, developed based on Steem blockchain, which can become a substitute for YouTube (according to the plan of developers).

  • Bitcoin (20%)
  • NEO (15%)
  • District0x (15%)
  • Pillar (15%)
  • Substratum (15%)
  • Mysterium (10%)
  • Steem (10%)

Epilogue

Bitcoin

This selection is not a must but advice. Every month new types of cryptocurrency portfolios appear and each of them is unique. In any case, before you take one of the options we offered or make your own crypto pack, do a thorough market analysis and honestly admit to yourself – not to leave everything to chance, but to help your brainchild and timely correct your crypto portfolios?

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