The Backed project has recently gained popularity again, and it is actually quite similar to the SNX project that was shut down in 2021, both focusing on synthetic asset trading. SNX was shut down due to policy issues, and now that Backed is making a comeback, it is likely due to some positive news on the policy front.

In the long run, the market has shown that the track these kinds of projects operate in is not very effective. Just like during the previous DeFi craze, many people were able to raise a lot of money just with a PowerPoint presentation, but ultimately, most of them failed.

What Backed is doing now is almost identical to what SNX was doing back then, and SNX even had the capability to trade U.S. stocks, precious metals, and foreign exchange, which was very powerful. However, it seems that these kinds of projects now feel more like reheating leftovers, lacking any freshness.

➤ Recently, the entire cryptocurrency market has been quite poor. For instance, Binance recently dealt with two projects, GPS and Shell, which plummeted in price after launch, likely because the market makers ran away.

Currently, popular projects in the market are mainly concentrated in the Meme and RWA sectors, but the hype is also not high. For example, projects on the SOL chain and GMN chain were previously very popular, but are now also cooling down. The market overall is very quiet and lacks highlights.

With the market being this bad, it is definitely not the time to bottom fish or buy. Everyone should stop thinking about making quick money; preserving the principal is the most important thing. Although some projects may look decent, the overall track has already been discredited and lacks appeal.

Preserve the principal first, and then talk about it when the market improves. 😌