Cryptocurrencies as a defensive asset ? The stock market is shaking once again, but what can be done so that the money does not suddenly disappear due to the fault of politicians? We understand how to protect your money from blocking. The stock market is vulnerable to shocks Historically, the stock market has been associated with the success of a particular sector of the economy, such as technology, finance or energy. Let's analyze the disadvantages of classical assets in the current situation: They can be blocked. Financial assets like stocks, precious metals or others can be blocked in two ways. In fact, there are many methods, but they all fall into two categories: prohibit the sale or purchase. Buying may be prohibited by government agencies and other exchanges that do not want to buy risky securities or run the risk of losing money. Requires work through a broker. To buy and sell shares at retail, you need a broker or a brokerage license. This complicates the issue of security in any crisis: states have the power to control financial flows abroad and within their territory.  Closely related to the success of enterprises, corporations and states. The stock market shows a long rise during a well-fed time and an extremely rapid fall in any crisis. This could be observed in 1929, the 1990s and 2008. To counter this, an alternative money management strategy is needed to partially or completely mitigate risks.  Cryptocurrencies retain their momentum  The cryptocurrency market is more volatile than the stock market, but it has one quality that justifies this - decentralization. The fact is that stock assets are controlled by one person, and entire states rely on the decisions of this person or organization. Cryptocurrencies are controlled by no one and everyone at the same time - they are free from the risk of rash financial decisions of management. Let's analyze the advantages of cryptocurrency in the current situation: They are not blocked. Cryptocurrencies cannot be blocked due to their design. Money is stored on the blockchain, inside block data records. This blockchain is stored on millions of independent devices. You can block one wallet, but dozens will take its place, because this is only a way to access money on the blockchain. Even if you block a cryptocurrency wallet, the money will continue to be stored on the blockchain.  Based on supply, demand and technology. The main value of the cryptocurrency is created by the value of the project - this is the basis that sets the “upper limit” of the price for which the token will be ready to trade. The more interesting the project, the more expensive the coin. Since most blockchain projects rely on the cloud, their main asset is protected from major stock market shocks. Serve as a working alternative. Cryptocurrencies are not based on the achievements of any state, enterprise or organization. Of course, like the stock market, they are subject to emotional price fluctuations. However, since 2009, cryptocurrencies have only been rising in price, despite momentary problems, market capitalization and value continue to grow.   Growth in the cost of cryptocurrencies as a percentage from 2020 to 2022 What cryptocurrencies to protect yourself from the crisis  There are a number of coins that will help save money. There are 4 categories in total, they are suitable in order to save savings and wait out the storm in the stock market: Stablecoins, for storing assets beyond the reach of the state. There are two types of stablecoins. One is centralized, which everyone takes for $1, the other is algorithmic. Both types are equally suitable for storing savings. The difference is that centralized funds are provided directly - through the dollar, yuan, yen, euro or pounds sterling. The algorithmic type uses a combination of trading algorithms and emission control to remain independent of external influences.  Centralized stablecoins: USDT. One of the most popular, works in almost all networks: Tron, ETH, BTC, DOT and more. Accepted as a means of payment at a cost of $1. Capitalization with full issue: $80 billion. Since the events of 2018, there have been no major deviations in the exchange rate from $1. Has been working for 7 years. USDC. The second popular USD option on the blockchain. It is being developed and popularized, it is at the stage of an alternative to USDT. A relatively young stable, appeared only in 2019, managed to suffer from exchange rate fluctuations. With a full issue, the capitalization will be $50 billion   BUSD. The third popular stablecoin, which is positioned as a coin from the Binance exchange. Full capitalization in the field of $17 billion, appeared in 2019.  Decentralized stablecoins. They are algostables, this is a more “smart” version of the classic stablecoins. Less popular than regular stables. Such coins are trained to control their emission to keep the course: DAI. Classic algostable, has cost management software, uses course self-correction algorithm.  AMPL and BASE. Algostables without collateral compensate for the self-correction of the offer and the course.  High-ranking coins to form a portfolio. Needed to increase income, suitable for long-term portfolios. Coins whose value is above $10 are considered high-ranking — such cryptocurrencies are either formed on the market or have a large amount of collateral. Most popular: Old school: BTC, ETH, ETC, BTG. New School: XTZ, DOT, UNI, SOL, AVAX.  BTC is the basis of the "old school". It is bought in order to form a reserve for savings. The value of the token can be analyzed and remains at high levels even during crisis situations.  Altcoins, for buying on drawdowns. Those coins whose value is less than $1. They are new to the market and are suitable for speculation without the purpose of saving money. This category includes coins of the DOGE, new projects like APENFT, BTT.  How to increase the profit from the portfolio now Let us remind you that at the moment OKX does not plan to impose blocking or sanctions against users from the Russian Federation or the Republic of Belarus. Therefore, here are a few tools that everyone can use to improve their results: Bi-currency investments. Buy USDT on OKX, sign up for a deal, bet on the growth of the second coin. If the assumption was correct, then you get a profit in USDT, if it is wrong, then the amount of the second coin equivalent to the contribution to USDT, which can later be sold with growth. ETH and BTC are supported.  Staking contracts. Buy cryptocurrency, then put it on staking to earn interest. On OKX, the percentage of staking is dynamic — if a coin is often traded on the market, then the profitability from its staking will also grow. Allows you to earn income from a passive portfolio.  Issuance of loans. This is a way to get a loan in cryptocurrency for early financial transactions. The instrument is flexible, but with a floating rate. It will help in testing high-risk hypotheses, requires collateral in cryptocurrencies.  You can buy any of the cryptocurrencies without the risks of getting restrictions on OKX today!  The future is now: get involved