Back in September, I shared a breakdown of my portfolio and allocation strategy.
As three months have passed, here’s a quick update on my portfolio allocation and what changed, and how I will be moving forward into 2022.
Crypto portfolio allocation
Here’s a look at the breakdown:
| Crypto | % Allocation | Theme |
| Terra | 40% | L1, Programmable Stablecoin |
| The Sandbox | 20% | Metaverse |
| Avalanche | 7% | L1 |
| Kadena | 5% | Infrastructure |
| Algorand | 5% | Infrastructure |
| Arweave | 5% | Infrastructure |
| Crypto.com | 3% | CEX, L1 |
| Qredo | 3% | Infrastructure |
| Lukso | 2% | NFT |
| Others | 10% | L1s, Dexes, Gamefi, NFTs |
One of the biggest change for my portfolio since the previous update was the rotation out from Ethereum to other infrastructure coins.
Other than investing in Layer 1 related coins, a significant part of my portfolio is allocated towards infrastructure play. Infrastructure related protocols provide the backbone to which other blockchains operates.
Cryptos focusing on interoperability can also be categorized as infrastructure tokens. Their goal is to provide a way to link multiple blockchains together and allow users to transact across these networks.
On top of the two infrastructure cryptos that I hold which is Arweave ($AR) and Algorand ($ALGO), I have added Qredo ($QRDO), a protocol which allows institutions to easily manage their digital assets, as well as Kadena ($KDA), a blockchain infrastructure for other protocols.
I have also added Crypto.com ($CRO) into my main portfolio over the past three months as it has launched its smart chain, allowing decentralized applications and decentralized exchanges such as VVS Finance to be built on it.
Terra ($LUNA) and The Sandbox ($SAND) shot up to become the highest two positions due to the increase in the token value. I continue to hold the other coins such as Avalanche ($AVAX), Arweave ($AR), Algorand ($ALGO), and Lukso ($LYXe).
Of course, there are many other ways to structure one’s portfolio, just as there are tens of thousands of stocks out there.
Other than these themes, there are also other themes such as exchanges, stablecoins, derivatives, lending, synthetix, and many other blockchains to invest in.
There is therefore no one-size-fit-all strategy and it depends on your conviction level and which crypto protocols are you most comfortable in backing.
Hence in crypto investing, it is recommended that you do your own research and come out with ways to evaluate which cryptos are worth holding on.
[Editor’s Note: This article does not represent financial advice. Please do your own research before investing.]
Also Read: Here Are The Top Crypto Themes And Trends To Look Out For In 2022
