Why invest in Cuffies?

Cuffies
2 min readJan 13, 2022

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Dear Cuffies Community,

Some of the investors may ask: “Why invest in Cuffies?”.

Besides the functions of our project, we are here to present some more technical arguments from investment and economic theory to fundament us.

In an investment portfolio, you allocate different investments to make your choices to be accordingly on how you are ready to take as risk (volatility) and potential earning. With this in mind, your portfolio will have an Alpha (α), return based on a benchmark (like S&P 500), and a Beta (β), measure of volatility/risk based on a benchmark. Excess of Alpha means your portfolio had more return than the benchmark. Higher Beta, higher volatility than the benchmark (β > 1 more volatile, 0< β < 1 less volatile, and negative β means negative correlation, while positive β means a correlation).

An investment has to consider different correlations and expositions, as well said by Harry Markowitz, Nobel in economics, in his portfolio theory (1952). A correlation is how things do compared at each other at the same time. For example: If one investment loses value, another one can remain stable, grow or decrease in value.

As an Investor, you should consider to be exposed on consolidated markets (e. g. Social Media) and on markets with big expectations of growth (e. g. Crypto Market). Cuffies is inserted in both types of markets, uniting two unusual exposures (Social Media Market and Crypto Market) in one investment, something that brings different correlation for an investment portfolio; making it more stable (lower Beta) or profitable (higher Alpha).

Find everything about our project at our whitepaper available at Cuffies Whitepaper 2.0 — Cuffies Whitepaper 2.0 (gitbook.io).

P.S.: this is only a review of arguments and it’s not Financial Advice.

Stay Cuffies.

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