Allocation

Allocation

Allocation is the act of dividing up your cryptocurrency portfolio into different assets. For example, if you divide your portfolio into a set amount of Bitcoins and a bunch of altcoins like Ether, Litecoin, etc. that would be considered as asset allocation


When using blockchain technology, it's important to remember that the token you're investing in will fluctuate. Make sure you plan the cost of your project, and take marketing into account when doing your budgeting. Blockchain projects usually have an allocated token and their own foundation (treasury). They often allot shares of these tokens to early team members, but keep in mind that these can be restricted so you can't trade them. When there is a team or community governing body that has responsibility for money, they are usually able to set some of it aside in a treasury. These funds can be used in any manner the group agrees upon.

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