Original Author: Edgy

Original compilation: TechFlow intern

Original Author: Edgy

Original compilation: TechFlow intern

Learning to do your own research is the most powerful advantage in cryptocurrency, but most people are terrible at research, so this article is about my cryptocurrency research framework, and maybe it will make it easier for you to build a research framework.

My approach is to break down encryption research into 4 broad areas:

• technical understanding;

• Cryptocurrency skills;

let's start.

• Fields other than encryption and encryption;

let's start.

Domain 1: Technical Understanding

You have to know what you are investing in. If you don't know what ZK-Rollup is, you won't be able to see the value of Starknet, learn more, it's a bit like the skill tree in RPG games.

For beginners, the skill tree that should be lit (understood):

• Encrypted security;

• Web3 practical cases;

• How Bitcoin works;

• Hot and cold wallets;

• How Ethereum works;

• PoS VS PoW；

• What is the merger of ETH?

• DEX Vs CEX；

• Learn about Yield Farms;

Intermediate skill tree:

• Liquidity mining;

• Pool 1 and Pool 2;

• Basic token economics;

• Tier 0/Tier 1/Tier 2;

• Mainstream L1;

• MEV；

• Immutable Loss Vs Slippage Vs Staking;

Going a step further, the Expert skill tree:

• Options;

• Advanced Token Economics;

• governance;

• Technical differences between L2 Roll-Up;

The next question is, where to start learning?"merge"I always recommend learning directly from the source first. Let's say you want to know

merge

, try going to the Ethereum website first. Afterwards, you can watch YouTube videos or read related topics from trusted sources.

Domain 2: Earning Skills

There are a lot of people who have studied technology thoroughly, but they have no profitability. Why? Because making money is also a skill that needs to be learned separately.

Earning skills include:

• decision making;

• cognitive biases;

• Trading psychology;

• Portfolio construction;

• Profit strategy;

• Risk management strategy;

• Domain 3: Cryptocurrency Skills

• Skills unique to cryptocurrencies, learning these will give you an edge:

• Learn about the metaverse and new narratives;

• discover new protocols;

track whale wallets;

On-chain analysis, etc.;

Let me give a few examples of how to discover new protocols:

• through your connections and friends;

• Search through DeFiLlama;

• Observe on-chain data/whale wallets;

• Research what VCs are investing in (DoveMetrics);

Find and use the right tool, a tool is a lever - the right tool can save you valuable time.

Whales are wallet addresses that hold large amounts of cryptocurrency, learn to track their movements:

• You can use Nansen's "Smart Money" function;

• • Debank has a list of whales;

• How to create your own list of lists (Basic):

• Looking for a coin that you think has a lot of smart money, I chose GMX;

• Go to the blockchain browser Etherscan, Arbiscan);

• View the top holders of the token;

Paste the wallet address in Zapper FI;

observe what they hold;

Domain 4: Learning Beyond Crypto

Don’t spend your days researching cryptocurrencies, knowing other fields can also give you an edge. You're going to be a T-shaped person:

• Has an understanding of multiple disciplines;

• • Deep research in a certain field;

• You will not be able to achieve a 10 in all areas of engagement. The crux of the matter is that you need to know more so that it doesn't hinder your development:"Find a solid book to read in the field;"In each area how many you focus on

preferred

figure;

I limit the scope of my research in cryptocurrency to DeFi, I focus on DeFi projects with huge ecosystems, most of my current research revolves around:

1. New agreement;

2. New technologies;

3. Real-world adoption;

Speaking of new protocols, I created for myself a framework for evaluating protocols:

• Strategy;

• implement;

• personnel;

• cash;

• Token economics (or token design);

By the way, this is not an exhaustive list, it is meant to give you some insight.

Strategy:

• How does it differ from competitors?

• What problem does it solve?

• How does it acquire users?

implement

• What's on the roadmap?

implement

• Has the team completed the roadmap?

• What is the user experience/UI of the protocol?

• What audits has it passed? by who?

• How is the marketing?

• Developer events

personnel

• What kind of influencers are promoting it?

• Background of the founders and team

• Sentiment on social media

• community atmosphere

• VC and initial seed round

• Partnerships

cash flow

• How are the founders and team paid?

• How much revenue does it generate?

Token Economics

• How much money did it raise?

Token Economics

• How Tokens Accumulate Value

• What is the supply/maximum supply?

• How are tokens initially distributed?

• What is the use case for the token?

• How does the agreement reduce selling pressure?

It’s always easy to feel FOMO and fall into confirmation bias thinking the protocol is so awesome. But what I will say is we look for the FUD of the protocol, and that's what Twitter is for, looking for why the protocol might fail, and thinking about it.

study advice"The following sections are about how to structure your studies, most of them are techniques from my college days, but I have modified them and adapted them to the fast-moving crypto world."Establish a

to be read"Notion Web Clipper"system"I saw that Lido had a proposal for a new treasury, but I couldn't read it at the time, so I used Chrome's app", saving it in a file named

to be read

in the database. I schedule time each week in my calendar to go through my to-read list.

in-depth study

I do my research in the morning because that's when I'm most focused. It doesn't mean how long you study, but how intense you are.

Work done = time x intensity

It's a bit like being in the gym, 25 minutes of intense work out > 2 hours of sluggishness.

full focus

I don't get distracted while researching, I block social media, put my phone in another room, and use the Pomodoro technique: 50 minutes of research, 10 minutes of rest.

Feyman theory

Richard Feynman was a Nobel Prize-winning physicist. The secret to his success is this: after you have the knowledge, try to explain it.

I encourage you to tweet and write articles explaining things will help you understand the gaps between you and your knowledge.

Focus on good content

If you eat garbage, your body becomes garbage. Be careful who you choose to learn from, it’s better to follow a few high-quality accounts than hundreds. Be consistent in managing your Twitter account, newsletters, and podcasts.

Create a note-taking habit

Taking notes can improve your comprehension and memory, and the right systems and software can help you build that. I use Zettelkasten (method) + Obsidian (software).

proper rest

I do core research up to 4 hours a day. You need rest to maximize knowledge absorption. Take a break, get a good night's sleep, get out and about, the brain needs rest to remember information.

healthy brain

This is your most solid foundation - a healthy brain, how to do it?

• get regular exercise

• stay hydrated

• Enjoy time in nature

• Brain food (fish oil, vegetables, berries)

• Find healthy ways to cope with stress

• Limit social media

"So much research doesn't stop one exploit from killing your gains."

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