Eugene： DeFi and public chain tokens that meet the three core conditions are worth investing in and investing in

Odaily Planet Daily News: Trader Eugene posted on his personal channel saying: In recent years, with the improvement of regulatory environment, the investment value of DeFi and public chain ecology has gradually become the focus of market attention. However, to invest capital from the perspective of value investing, the following three core conditions still need to be met: 1. Priority of token holders: The team must clarify that token holders are the primary beneficiaries (or at least have equal rights as equity holders). If shareholders can receive additional returns while token holders do not receive equal treatment, then this token does not have the attractiveness of value investment. This does not mean that tokens must immediately have direct returns (such as buybacks or dividends), but the team must maintain a clear and consistent stance that token holders are ultimately the beneficiaries of the project. 2. Sustainable business model: The project's revenue model cannot rely on speculative cycles in the cryptocurrency market. Many so-called 'fundamental investors' tend to make the mistake of valuing based on short-term trading volume or income data. However, in a bear market, trading volume may plummet by 90% or even more, making indicators such as price to earnings ratio (PE) or price to sales ratio (PS) meaningless. Furthermore, it is extremely unreasonable to make annualized estimates based on monthly peak data. 3. Execution ability of the team: Investors need to have confidence in the execution ability of the management team and believe that they can win in the competition through technical barriers or excellent execution ability. Any successful enterprise requires a reliable team, and blockchain projects are no exception. Overall, there are only a few projects that meet these standards, and investors should plan their investments at the appropriate time. For 99.9% of tokens, the ultimate outcome may just be zero.