A Beginner's Guide to Investing in US Stocks from a Web3 Perspective

Basic Rules of US Stock Trading and Comparison with Web3

The US stock market has the following main characteristics:

• Major exchanges: New York Stock Exchange (NYSE), NASDAQ, American Stock Exchange (AMEX)
• Standard trading hours: Monday to Friday, Eastern Time 9:30 AM - 4:00 PM
• After-hours trading time: 16:00 - 20:00
• Pre-market trading hours: 4:00 - 9:30
• Trading System: T+0
• Trading currency: US Dollar
• Minimum trading unit: 1 share
• No limit on price fluctuations, but there is a circuit breaker mechanism.

In contrast, the cryptocurrency market trades 24 hours a day without any market closure. Some mainstream CEXs also support trading of US stocks, providing users with a one-stop investment experience.

Types of US Stock Investment Accounts and Web3 Integration

Common Account Types for US Stock Investment:

• Cash Account: The most basic account, allows trading of stocks and ETFs, short selling is not permitted, with an account opening threshold of about 500 USD.
• Margin Account: Allows margin trading, permits long and short positions, with higher account opening requirements (approximately over 2000 USD)
• Contract for Difference Account: Leverage trading on US stocks is available, with a minimum deposit of $50-100.

It is worth mentioning that certain compliant trading platforms have started to integrate traditional finance with cryptocurrency services, allowing users to trade US stocks and crypto assets on the same platform.

Advantages of Investing in US Stocks

1. More suitable for young professionals, starting investment from 1 share
2. A wide selection, with over 8,000 stocks.
3. Focused on innovative and growth-oriented companies
4. High daily trading volume and good liquidity
5. The U.S. economy is strong, and businesses are operating steadily.

For Web3 investors, the US stock market offers an opportunity to access traditional finance, helping to diversify portfolio risk.

Methods for Beginners to Invest in US Stocks

1. Invest in US Stocks
2. Invest in US Stock ETFs
3. Invest in US stock CFDs

For Web3 users, attention can be paid to US-listed companies related to blockchain and cryptocurrency, such as a certain compliant trading platform, Block, etc. The performance of these companies is often linked to the crypto market.

Similarities and Differences Between US Stocks and Cryptocurrency Investments

Similarities:

• Can be invested through professional trading platforms.
• Risk management and asset allocation are both necessary.

Differences:

• US stock trading hours are fixed, cryptocurrency trades 24/7.
• The US stock market is tightly regulated, while the cryptocurrency market is relatively loosely regulated.
• The volatility in the US stock market is relatively low, while cryptocurrency volatility is high.

Considerations for Investing in US Stocks

• Learn fundamental and technical analysis
• Start practicing with small amounts of capital
• Focus on the fundamentals of the industry and the company
• Control risks and manage funds well.
• Be patient and avoid chasing highs and selling lows.

For investors who simultaneously invest in US stocks and cryptocurrencies, it is recommended to allocate asset proportions reasonably based on their own risk tolerance to achieve diversification of the investment portfolio.