How to make the most out of Shrimpy – the portfolio balancing tool
Index funds are an important part of a trader’s / investor’s arsenal: they save you from having to figure out what coin to buy to make profits. Passive indexes do very well and often out-perform active traders. If for some reason you dont want to use a shrink-wrapped index fund, then you can be your own index fund manager.
My personal efforts at building my index fund are based around Shrimpy. I use Shrimpy in 2 ways:
- I put Bitcoin and one other coin in an account and let Shrimpy do the rest. Specifically, I have BTC and BNB in an account and set the portfolio to keep them at 50% each. So, each time BTC drops in value, some BNB sells off to accumulate more BTC. Each time BNB drops off, I buy more automatically. The reason I chose BNB is that there is a huge incentive to buy BNB – reduced fees when trading on the world’s largest centralized crypto exchange.
- I buy a set of coins that I like. Either the top 10 marketcap or I emulate one of the proven well-performing indexes and then let Shrimpy do the rest.