What is the primary market

Many brothers who have just entered the circle don’t know much about the primary market and don’t know what the primary market is. It doesn’t matter. It’s normal for newbies to not know anything when they just entered the circle. Let me explain it to you.

Let us first introduce the concept of the primary market of stocks:

The primary market refers to transactions where a company sells new shares to the public during an initial public offering (IPO). This means that the company is selling its own shares to the public for the first time, giving people the opportunity to become shareholders of the company.

The primary market of the cryptocurrency circle is ICO and IDO. Simply put, the primary market refers to transactions before listing on centralized exchanges (such as Binance, OKX, and Coinbase).

The difference between the primary market of the cryptocurrency circle:

EYE

IDO is the abbreviation of "Initial DEX Offering", which means "the first token issuance of a decentralized exchange" in Chinese. IDO is a first token issuance method on a decentralized exchange (DEX) that raises funds by leveraging blockchain technology and smart contracts.

ICO

ICO is the abbreviation of Initial Coin Offering, which is a financing method based on blockchain technology. In ICO, emerging cryptocurrency projects raise funds by selling tokens, similar to the initial public offering (IPO) of stocks in traditional finance.

Simply put, it is the same model as the primary market of stocks. The threshold for primary investment is high. Formal private equity requires qualified investment certification and a minimum investment threshold of 1 million. This is for institutional buying and selling and specific investment rounds, and ordinary people have few channels to learn about it.

In the cryptocurrency world, the primary market we come into contact with is generally public offerings, unless it is a small project, because private placements of large projects are generally digested by internal circle capital. And you need to have sufficient capital.

Therefore, the primary market is a convenient channel for us ordinary investors to invest.

The difference between the primary market and the secondary market

In fact, it is the difference in monetization!

In the primary market, cashing out is very slow, perhaps taking several months (some projects will lock up tokens when they go online), while cashing out in the secondary market is very fast, and you can buy and sell at any time. (You must be patient and wait while earning profits at a low cost)

Therefore, the biggest advantage of the secondary market should be liquidity. It is precisely because of the existence of quick in and quick out that people in the secondary market are impetuous, while people in the primary market must look at the long term. Of course, people in the secondary market can also believe in value investment, such as holding Moutai for many years.

From this perspective, the secondary market is actually very free. You can hold for a long time or a short time. But in general, the returns from the secondary market may not be as good as those from the primary market. The participation price will be much lower than the listing price, and the low price itself is a guarantee of low risk and high returns.

Different thresholds

The threshold for the secondary market is, of course, very low, because anyone can operate it and participate by spending a few hundred or a few thousand dollars.

The threshold of the primary market is relatively higher, so some people say: the primary market is the real value investment, and the secondary market is speculation.

In general, the secondary market is freer, anyone can come and operate in a variety of ways. In comparison, the primary market is a small river. But it is always difficult to make money from simple things, and the threshold for making money is often high. This principle still exists in the primary and secondary markets.

The minimum subscription amount is 1000u. The lock-up mechanism of each project is different! There will also be non-locked amounts, and the price will be higher.

Advantages of the primary market!

The advantages of the primary market are obvious. Simply put, it means you can make a small investment for a big return. For example, in the last bull market, we launched a project called 100xcoinsol. It was launched at a price of $0.22 per unit in the primary market. The opening price reached $3 and peaked at $259.88. Even in the trough of the bear market, it was no less than $7.

From the perspective of the secondary market, it is a 100x coin, but from the perspective of friends who have subscribed to it in the primary market, it is a 1,000x coin.

In the secondary market, you will chase rising and sell falling, and you will feel insecure, but in the primary market you have your own ruler in your heart, and you know where your bottom is.

The hot projects in the primary market of the cryptocurrency circle are:

ACE

Just last week, two major cryptocurrency trading platforms, OKX and Binance, launched the same new cryptocurrency mining project, Fusionist (ACE), almost simultaneously.

Nowadays, there are so many new coins that people are overwhelmed and even feel tired. However, ACE was able to be launched on two major platforms at the same time, and it quickly fermented in the cryptocurrency community and became a hot topic. At that moment, ACE became a new star in the spotlight. Everyone was discussing the yield, valuation, and optimal mining strategy of ACE mining.

As an emerging project, what kind of core competitiveness does ACE have that can be launched on two major platforms and cause such a big discussion? Today, let’s take a look at it.

ACE's native project Endurance is a blockchain game, but it is more than just a blockchain game.

ACE token is the native token of Endurance, a decentralized gaming and social blockchain platform that provides users with a variety of gaming and social options such as Expedition, Auction House, aceddomain, etc.

ACE has indeed given a good performance. In the case of being trapped everywhere in the secondary market, the launch of ACE directly gave everyone 16 times the space. At the same time, zksync is also more eye-catching. Binance, Oui, Huobi, a16z, Coinbas, atb, op.sta are all better than others, including Vitalik Buterin. This launch can be said to be very focused. The quota is scarce and there is not much left at present. We look forward to better performance after the launch.

ace is listed on Binance, and partners who subscribed in our community have already earned 25 times the profit

ZkSync

ZkSync is a new approach to solving ethereum’s scaling problems. It is one of the first applications of a technology called zero-knowledge proofs, and it claims to be the first to use it in a way that is compatible with ethereum applications.

In short, zkSync hopes to provide cheaper, faster transactions on the Ethereum blockchain and become the home of many popular Ethereum applications. If successful, we could see major decentralized exchanges and DeFi protocols expand to the zkSync layer, giving cryptocurrency users access to these tools at a lower cost.

More specifically, zkSync is a layer 2 protocol. This means it is a layer built on top of Ethereum and provides scalability benefits. Ethereum's scaling plan is through a multi-layer system, with each layer built on top of Ethereum and inheriting its security. ZkSync hopes to provide an alternative to current layer 2 options such as Arbitrum and Optimism.

At the same time, our community is launching the ZkSync project. There is not much quota left, so you need to send a private message as soon as possible.