SYDNEY and SINGAPORE, Aug. 21, 2020 /PRNewswire/ -- Starting out in finance is often not easy and inexperienced investors are bound to make mistakes. As a result, they either make sure to attend a business school to learn these skills before delving into the sector or hire experts to do it on their behalf through mutual funds or directly.
Crypto Markets Suffer from Lack of Proper Educational Resources
It is difficult to learn these skills for crypto assets as there are very few institutions developed around them. The metrics for judging crypto projects are also very different from other projects, making this skill even more complex.
The courses which are available to teach interested learners about cryptocurrencies are mostly theoretical and focused on particular aspects of investment. Inevitably, investors often are not able to integrate these theories with the practice of investing in real ongoing projects. All this makes the courses boring that, to begin with, had no incentives for these learners to focus diligently on the process of investments.
It is for these reasons that investors are hardly motivated to continue learning and there is attrition in terms of learning over the period of the courses. This has created a lot of amateur investors who are willing to dive into the crypto investment sphere without an adequate understanding of the process of decision making and investing in crypto projects. This has, in turn, led to a rise in the number of fraudulent and incompetent projects which have been leveraged by these amateur investors, leading to the degradation of the whole crypto community.
Bithumb Global is Again Leading the Change
It is to deal with this lack of expertise among prospective investors, Bithumb Global has come up with a platform called "BG Learning" to leverage the capacity of new investors in the crypto community to make more informed and properly thought out decisions while making investments. This is meant to provide better outcomes in the long run for the whole crypto market, as more informed investors will be able to promote better projects and will add more value and stability. In other words, Bithumb Global is trying to give back to the community in the form of knowledge.
The platform works on a simple model. Anyone who signs up for the BG Learning program will get access to several handpicked projects. And based on the understanding of these projects the users will get rewarded in the form of tokens of these projects.
However, this is more than a simple publicity campaign for the said projects. It is a full-fledged interactive learning platform that allows the users to learn about projects, associated risks, and the opportunities of investing in these particular projects. There will be scope for discussions among peers as well as communication and clarification from experts from the field of crypto and tech investment in general.
The platform operates on the basis of a voting system and a mechanism for rewarding the more competent dedicated learners. It has voting events hosted periodically for its users. The number of votes for each user is determined on the basis of the number of assets held and the quantum of transactions carried out by the user.
However, all votes are not accounted for. The votes of users for specific projects will be accounted for only when the user is able to answer questions about the project correctly, demonstrating an understanding of the various aspects of the project. If the user answers the questions about the projects correctly, then he/she is rewarded in the form of tokens of the crypto projects that he/she had voted for. This is a way of incentivizing continued dedication towards learning for the users. The number of reward tokens airdropped to the users is calculated by taking into account the total number of votes in the event, the individual number of votes allocated to the user, and the total amount of project tokens airdropped.
This system, therefore, allows learners to get a practical hands-on investing experience without a certain degree of buffer against inaccurate understanding about the projects. Continued learning is ensured through constant incentivization. This gives them a great deal of knowledge about the crypto sector and the important aspects of projects that need to be understood before investing.
All this knowledge will help the new investors not only make investments on the already handpicked projects within the Bithumb Global platform but it will enable them to invest on other exchange platforms more effectively without falling for any hoax claims or any other such traps. They will also learn how to effectively diversify their portfolio to maximize their returns on their investments.
Bithumb Global Learning's first season had featured a very stable investment opportunity for the learners on the platform. The platform had launched, Mantra DAO- an organization that tends to create a staking based financial institution where the users and stakeholders are able to collectively govern and drive the outcomes of the organization. As a gem of a DeFi project, Mantra DAO (OM) has a very eye-catching performance - rocketing 4x after listing on BG. Meanwhile, 100,000 OM rewards have been distributed to participants of BG Learning.
Therefore, being part of the Bithumb Global Learning platform not only helps the users build knowledge but opens up their opportunity to participate in voting events featuring such attractive projects.