May 29, 2024

Finance Income

Finance Blog

CORRECT ANALYSIS OF INITIAL COIN OFFERINGS (ICOS)

Comparing different initial coin offerings (ICOs) is very important and beneficial to both investors and ICO teams. Also, different groups have different reasons for conduction analysis of ICOs.

Investors want to know if a particular product has what it takes to deliver desired ROI in the long run. They would also like to find the best option when looking for similar products.

As for the ICO teams, looking at other token sales that perform well would give them an idea where to work on their project and which areas to improve.

However, there are just so many tokens and ICOs in the market, easily in the thousands. With so many sales appearing here and there, it can be extremely difficult to separate the sheep from goats.

How to rate an ICO 

You have to scrutinize several factors, which include the team behind the project, the information from the ICO itself, and the presentation of the product.

The team. It’s very important for the profiles of the team members to be easily accessible. There should also be sufficient amount of information on each person. The photos, links to other sites, and the like will help boost the credibility of the team and they can gain the trust of the customer.

Also, pay attention to the number of members behind the team. Fewer people generally lowers the chances of the products’ success. With more people working on different parts of the ICO, there’s a higher chance for victory.

ICO information. The information regarding the actual ICO should be clearly visible and available. You can look at the following:

  • Start and end dates on pre-sales and the official ICO
    How people can buy into the sale
    What currencies are accepted
    Countdown towards the start and end of the sale
    The price of each token

Presentation of the product. This mainly depends on the information that is available on the white paper. You should see what the product is, the platform, and services.it should also state the different goals and milestones that the company aims to achieve and their timetable for those objectives.

Minimum Viable Product (MVP)

The minimum viable product (MVP) refers to the product with the minimum set of features enough to meet customers’ requirements.

In general, this is a prototype, alpha, or beta version of the future (and possibly final) product. It’s used to get some feedback and make changes in the project. While it’s not yet dominantly used in the industry, its availability increases the investor’s trust in the product.

Don’t forget to check how the concept of the white paper is implemented and check the work progress on the optimization, fixing bugs, and functional extensions.  A non-programmer might not fully understand the code but he or she can seek the opinion of people who understand such processes.

Social Media and Experts

Pay attention to social media. It’s important for individual project to attract attention to their product. To judge this, look at the marketing efforts of the company. See if they’re active on social media sites like Facebook, Twitter, and Medium.

Also, seek the opinion of the experts in the cryptocurrency world. They would look at the ICO project with broader lens.