DeFiBase
July 29, 2025

Why is just holding an asset not always the best solution?

Many people still see HODL as the only safe way to interact with cryptocurrency: buy it, put it in your wallet, and wait for it to grow. But in DeFi, the ‘just hold’ approach is increasingly giving way to active holding

What is an ‘active hold’ ❓

Instead of just holding, you can ‘put your assets to work’ - like you're renting out a flat and getting rent. This is placing an asset in a strategy where it's not for sale, it's not lost - it's working:

- in a lending (lending it out at interest)
- in LP (participation in pools with impermanent loss control)
- in stake-to-earn protocols
- in auto-compounding strategies

🔹 Example: Passive HODL ETH = 0%
Active ETH placement in Plexico strategy (6-12 months) = 100-150% → No asset sale, with flexible exit option. All of this can be set up without complex manual work - Plexico does it for you!

We use the DailyFlow model - it helps you automatically place assets into strategies where they perform and are protected. You can see where your funds are at any time and how much income they're generating

👉 And most importantly: you don't need to be an expert. We make the complicated simple and effective!