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A crypto portfolio is a collection of various digital assets, like Bitcoin, Ethereum, altcoins, and stablecoins, held by an investor. Its composition is tailored to individual goals and risk tolerance. Diversification is key, spreading investments across different cryptocurrencies, sectors (DeFi, NFTs), and market caps to mitigate risk due to volatility. Effective management involves regular rebalancing, thorough research, and understanding your personal risk profile to navigate the dynamic crypto market.