Does buying five different coins count as diversifying your risk?
If they all depend on the same chain or narrative, or move in sync during a downturn, you may have just split one bet into five.
Risk management isn’t just about counting coins—it’s also about looking at shared sources of risk: market direction, liquidity, custodial platforms, and protocol dependencies. Set an overall limit for correlated positions. Don’t let trades that each seem small add up to an exposure you can’t afford. Historical correlations aren’t fixed, either.
#RiskManagement