What is new coin mining?
I believe that most of the friends are not very clear about new coin mining, so Brother Jiu will tell you about it.
First of all, before we know what Binance new coin mining is, we have to mention a term called ICO, and the so-called ICO is the initial currency issuance.
And its concept actually comes from the IPO in the trading market we are familiar with, that is, the company will issue the company's shares for the first time on the exchange, and raise more company development funds by selling the company's gu shares to general investors.
Therefore, the concepts of the two are actually similar. The main difference is the difference in the issuance project. For example, in IPO, the issuance project is the stock securities of a company. So whether to invest in IPO, you need to judge the development of this company. For example, you can read the prospectus of this company to understand the relevant situation of this company.
In ICO, the project issued is cryptocurrency, so before you invest, you naturally also understand the relevant information of this cryptocurrency project, and about this part, you can judge whether to invest in this cryptocurrency project by reading the content of the white paper of the cryptocurrency.
New coin mining is one of the many tools of Binance Finance. It is a cryptocurrency financial management tool created by combining the concept of ICO mentioned above and the initial issuance of new currencies.
Its main feature is that you can use the existing funds at hand to invest in other cryptocurrency projects at a lower cost to obtain additional profits. Risks of Binance New Coin Mining
About the risks of new coin mining
The main thing is to pay attention to the development of this new coin and whether the price may fall in the future. For example, in the Binance Launchpad part, the new coins you get are exchanged by deducting your BNB coins. Therefore, you are already investing at a cost
So if the value of the new coin you hold falls to a level higher than the original cost you spent, then you will naturally face the risk of losing money
