CTP Tribe made it easy for us to invest in second layer tokens.
They created an index token.
Each of these tokens that is purchased is used to buy HiveEngine Tokens. Some of the funds buy tokens directly, some of the funds are used to buy miners, and some of the funds are used for administration
Each Index token that is purchased, represents a myriad of second tokens. The tokens are staked and used to curate and holders of Index token are given dividends of said tokens.
Investing in Index tokens is an easy way to invest in all the "good" Hive-Engine Projects.
The CTP team votes and guages on where to invest the money, and you get to invest quickly without having to do a lot of research.
They have also given us an easy way to gauge the health of The Engine on any given day.
By looking at the value of index, you can quickly guage how the Engine tokens are doing as a whole.
If the price of the token is up high, then you know that the value of most of the tokens has gone up.
If it is down, that means that money has left the engine.
A steady line can mean that there is money being moved from tribe to tribe, but staying within the project.
This is not foolproof but another piece of the puzzle to look at.
It is good to take advice from market readers
But it is even better to learn how to guage what is coming for yourself.
As the price of Index goes higher and higher, you can see that more and more money is being invested in the engine.
What do you look at when guaging the health of the second layer tokens?
Any secrets you care to share?
Today's post was written by @metzli