BMAX 101 — Good Hedging Strategy for 3 Vehicles
One problem that most investors have with crypto is that it is often hard to maintain a stable income investing in them because of the fluctuations in price. Although with the development of the DeFi space, platforms are offering new means of generating passive income, including yield farming, staking, and lending. It is common knowledge that the risk in investing in these protocols are still significantly higher compared to the choices available in TradFi. In return for the risk, investors can also earn much higher rewards by investing in DeFi.
Bitrue’s ultimate goal is to become the best place for both trading and investing, as we are doing our best to bring you a wider selection of trading pairs each day, we also aim to provide our users with the best solution to generate passive income. The BMAX asset management protocol is developed with the goal of creating a balance between risk and returns. When assets are deposited into BMAX farms, it is distributed to three investment vehicles, and the allocation is rebalanced regularly. BMAX farms are actively managed by a team of professionals at Bitrue. In situations where losses occur on one investment vehicle, the profits from another vehicle will cancel out the losses. Investing in BMAX is equivalent to having a fully hedged portfolio in DeFi. To learn about the details of the mechanism itself, please refer to our litepaper — https://www.bitrue.com/static/pdf/farming/BMAXTokenLitepaper.pdf
BMAX yield farms can be a safe choice during bearish or sideways market, as risk is dispersed, and investments are monitored continuously by experts in the field.