Bitcoin Forum

I'm not sure that I start in the correct thread - maybe I have to move it to another - moderators will correct me, I hope.

There are many topics about ICO with advices on choosing real ones, many links to aggregator sites with ICO ranking, a lot of topics for each ICO.
Therefore, there are chances to choose not a scam one.

I would like to draw the attention of novice investors and miners to the dangers of new coins or platforms.
Each new launch is a dark horse that can win the race, or it may not even reach the finish line.

So, are there any red flags to avoid scam coins at launch?

https://www.google.ru/search?q=how+to+choose+ico&pws=0


looks like you should start with this  :)

*edited link :)

Thanks for your links, guys. But I know how to use Google. ;D

It's not about choosing ICO, I'm asking about the criteria for selecting new mineable coins.

When I look at the Announcement thread my brain explodes from a variety of coins and their similarity with each other.  ???

There are always red flags to look out for: team not showing their faces or even decide to remain anonymous,white paper is very shallow doesn't really detail what the project stands for.Timelines are obscure,social media pages have less followers but the page follows more people(not a definite red flag though),I could go on and on

Very well sir, if you are talking about mineable coins then:

1. No pre-mine, No dev fees (or reasonable dev fees)
2. Fair launch
3. 100% POW preferable
4. ASIC resistant algo preferable
5. Genesis dev vision -> why he/she willing to launch a new coin

It's better to check their GitHub code to make sure no shenanigans (mainly about point 1)

You cannot avoid these scams,even those experts are getting scam and these managers too,which is quite suspicous because they shouldnt be accepting shit projects ! doing research is a must to lessen the risk of joining scam projects but few managers are too arrogant not to know the risk of getting/acceptinf potential scam projects.

You need to do more background research on that coin

Also. if you have more time. better read out its whitepaper

Also. Please do a background research also for the teams background....

in my opinion, to see a legit ICO project is to look at the quality of the website, team, roadmap and rating of the project.
however, we will not know at the start of the project will be successful or not, we can find out when the project is running or at the end.

You can reverse search team pictures, look at their roadmap. If it is only telling you about ico stages its a red flag.
If there is no beta that is also not so good. There is a lot of signs, as nonsense product with no link to the blockchain

Ok, thank you, guys, for kind replies.

I'll try to make a structured list of your advices and post it here in the thread.

Maybe I'll add some my owns.

Quick update of my own red flags.

I guess there are several red flags:

1. Premine
2. Scanty POW block reward
3. Discord's MN selling

There is a very strange coincidence here, because the search for normal projects today is more like some kind of quest, because today it seems to me that many projects are just scam, very few normal projects that really need projects, it seems to me that such projects today are little known most.

Even if you managed to cut off scammers, you have no guarantee that a transparent project promoted by bona fide developers will really shoot. Before investing in ICO, find it in discussions on bitcointalk. If the topic is not on the forum or the ratings of the rating users are mostly negative, it is better not to contact the project. Use services like ICOtracker and ICOrating. They can find all the information about the current ICO, the dynamics of their indicators and key events associated with the start-up.

Thanks for your replies, guys.

Therefore, only one small piece of advice from my own experience.
-   If you see that the new coin has premain (explicit or hidden in the first blocks)
-   if you see that it is supposed to have masternodes
-   if you see that the developer, as a rule in Discord, offers to buy from him these masternodes
-> run!
This is 99.99% scam.
After the sale of the masternode, developer will leave the project and launch new one.
Do not lose your money, bypass these projects.

I think its not that easy to tell which one will be the best or which one will be the bad fall!

There is nothing like legit in the crypto, there is only one thing "certainty or uncertainty". So an ICO could be certain success or it could be uncertain to tell the same.

You just have to see various green flags rather than the red one. Just research on their telegram, white papers, websites, social network, ask your friends and ask on the forum itself. Check all the reviews and then do the algorithm whether it turns out be green one or not.

It is not right to denote that all the virtual money that comes out is legal or not legal. To make money, you have to buy and wait for an increase. You can buy any money you want.

That is some good advice right there. I agree with what you are saying. Premine and masternodes help substantially when it comes to determining whether a project is legit or not, but there are other factors which help too like whether the campaign has a soft cap or hard cap, the development team themselves, social media interactions of the team with the participants, whitepaper, roadmap, website etc.

I tend to analyse all these factors before deciding whether to invest into a particular coin or not. This strategy has always proven effective for me in determining whether a particular coin is legit or not.

Ligit coin having a website, whitepaper, twitter,telegram, and visit the roadmap about the project done about this coin, if nothing information provided even in telegram no admin to interten you about question you want to ask maybe tthat coin is not ligit

The quality ICO project has several basic principles: technological innovation, essential restoration, transaction compliance, and social benefit. At the same time, there are a few special concerns regarding the supervision of the ICO: product registration, information disclosure, asset custody, real projects, and qualified investment.

This is sound advice right here. masternodes have always being one of the signatures of a scam coin. People should be more informed to know that masternodes are a not a good idea in a coin. The developers are most likely just trying to sell as much coins in as little time as possible. Once they get what they are looking for, they will most definitely leave the project which means the investors will end up with dead coins.

There are a lot of collective ways to find out if the initial coin offering you choose to invest in is the right one you could look at the team, their past history and works another way is to look at the token distribution and the roadmap for expansion and tech developments.