#风险回报比 The dispersion and concentration of assets and risks must be viewed dialectically. Asset dispersion can reduce risk. However, too much dispersion is not good; a person's attention is limited. If assets are spread across seven or eight hundred assets, they become unmanageable, like a juggler throwing balls—one person can only juggle six or seven balls at most; any more is not feasible. I made this mistake before by diversifying my investments into dozens of coins, including Binance, Ouyi, Matcha, and Gate, holding assets in all of them. While it was called diversified investment to reduce risk, in reality, I couldn't take profit when prices rose and couldn't cut losses when they fell; I lost control of my assets and became enslaved by them.

But having too much concentration in assets is also not good, as it increases risk. If you invest all your wealth into the crypto market, you might want to jump off a building in the next two years. However, I have a house, savings, and gold, with only a small portion speculated in the crypto market; if I lose that, it won't bankrupt me. This is asset dispersion: part of it is fixed assets, part is cash, and another part is for speculation.

Investing all funds into the crypto market and then buying dozens of altcoins is not called asset dispersion; it is called concentrated risk and scattered focus.