Why choose mainstream coins for high magnification contracts, while altcoins can only ambush at low magnifications and control positions well? We can understand their fundamental differences from the following core dimensions: 1. Consensus strength (the most important difference) Mainstream coins: have the widest and strongest social consensus and network consensus. People believe in its value, safety, and long-term viability. Bitcoin is widely regarded as the 'digital gold', while Ethereum is seen as the 'computer of a decentralized world', and this perception has deeply penetrated people's hearts. Shanzhai Coin: The consensus scope is relatively small, more focused on "local consensus" formed around specific technologies, application scenarios, or communities. Its value proposition requires time to validate and gain widespread recognition. 2. Market value, liquidity, and network effects Mainstream coins: have a huge market value (usually in the top 10) and extremely high liquidity. This means that large transactions are less likely to cause drastic price fluctuations and are easier to enter and exit. Having strong network effects: more developers, more applications, more users, more media coverage, forming a virtuous cycle. Shanzhai coins: have a small market value and poor liquidity. Easy to be manipulated by large funds, with extremely volatile prices. Weak network effects and relatively immature ecology. 3. Security Mainstream coins: have the largest and most decentralized computing power network (such as Bitcoin) or staking network (such as Ethereum 2.0). The cost of attacking its network is extremely high and almost impossible, making it considered the most secure and censorship resistant blockchain. Shanzhai Coin: With relatively concentrated computing power or pledged equity, it is more susceptible to security threats such as "51% attacks". Some projects even have 'management keys', and the team has the ability to intervene in on chain operations, with a low degree of decentralization. 4. Technological innovation and practical application Mainstream coins: Bitcoin: focuses on stable keys. Its protocol changes are extremely slow and conservative, with the core goal of becoming the most secure and trustworthy value storage and settlement layer. Innovation mainly occurs in the second layer network. Ethereum: Focusing on the ecosystem. It is the birthplace of smart contracts and decentralized applications, and the core underlying of the entire DeFi, NFT, DAO ecosystem. Its innovation is aimed at supporting the prosperity of the entire ecosystem. Shanzhai Coin: Focus on "innovation or optimization in specific fields". For example: Public chain categories (such as Solana, Avalanche): pursuing higher transaction speeds and lower transaction fees, competing with Ethereum. Application class (such as Chainlink oracle, Uniswap decentralized exchange): Addressing a specific pain point in the blockchain world. Meme coins (such as early Dogecoin and later various "animal currency memes"): mainly driven by community culture and social media, lacking clear technical or application value. 5. Risk and return characteristics Mainstream: relatively stable, regarded as the "ballast stone" or "blue chip stock" of the cryptocurrency market. Although price fluctuations are greater than traditional assets, they are relatively small in the crypto world. The long-term investment logic is relatively clear (such as the scarcity of Bitcoin and the ecological value of Ethereum). Shanzhai Coin: A high-risk and highly volatile "speculative asset". It may bring hundreds or thousands of times the return, but it is also highly likely to return to zero. Its price is greatly influenced by technological advancements, team dynamics, celebrity endorsements, and market sentiment. Fuzzy boundaries and dynamic changes It should be noted that this classification is dynamic. Today's altcoins, if they establish a strong enough consensus and ecosystem, may also become mainstream coins tomorrow (for example, Ethereum was also considered a altcoin in the early days). And some once mainstream coins, if their ecology declines, may also slide into marginalized altcoins. In summary The fundamental difference is that mainstream coins are infrastructure or value storage tools that have gone through the test of time, have a deep and broad consensus, and have relatively low risks; And altcoins are projects that are still striving for broader consensus, attempting innovation or speculation in specific fields, with extremely high risks but potentially huge returns. For investors, understanding this distinction is the first step in asset allocation and risk management. It is usually recommended to consider mainstream currencies as core holdings, while investing in altcoins is considered a high-risk allocation, and the proportion of positions should be strictly controlled.