Seeing someone discuss certain micro-cap coins, here’s a risk warning.

Take DCN as an example, with a market cap of only $697K. For coins of this size, you need to be extra cautious. Where are the problems? Liquidity is extremely poor, which directly leads to huge slippage during large transactions. If you want to buy $100 worth of coins, the execution price can be outrageously different.

What’s even more heartbreaking is that in such low-liquidity environments, prices are very easy to manipulate. A few big players making a move can trigger waves of volatility. So, how should we play this? It’s simple—

Allocate no more than 5% of your total assets to test these kinds of coins. I know the potential returns are tempting, but the risks are real too. Don’t let the FOMO of potential skyrocketing blind you; heavy positions in these coins are like going all-in at a casino.

Actually, here’s one piece of advice: do your homework, control your position size, and avoid risks. Small-cap coins aren’t off-limits, but they require rationality.