Technical Definition
Diversification
Diversification means spreading investments across multiple assets to reduce risk.
By Crypto University Editorial
PortfolioRisk Management
✦ Key Insight
It helps avoid excessive dependence on one project.
✕ Common Misconceptions
Buying too many similar assets
Detailed Explanation
How It Works
Instead of buying one token, investors own several.
FAQs
Does diversification eliminate risk?
No.
In Practice
“BTC
ETH
SOL
USDC”