Bitcoin Forum

Okay guys, hope we are all staying safe?

I felt I should get the opinion of some veteran traders here about investing in altcoins. What do you usually look out for before picking tokens for mid-term or long-term investment?

1. team behind the project?
2. type of blockchain?
3. real-world use-cases?
4. partnerships?
5. period of existence?
6. Stability of the token?
7. Just name them, anything you look out for

Do you mean that Alts are already listed on the market or still in ICO phase?

If you do talk about choosing alts that are already listed in the market then i dont bother much and just simply stick out
to the current top rank ones specially if you do make short tradings but in talks of long term aspect then those steps
above you do had mentioned are worthy for you to check on.

Some projects might have their price into the floor but you can eventually presume out that they do have a potential
depending into its real world usage and the activeness of the team behind it.

i will for the team behind the project and the development progress from the project
i mean i will look carefully if the team is active to develop their project mate

points 1 -> 4 are what I pay most attention to...
for a new coin project or what we commonly call ICO & IEO, finding out the team behind it is very important, investing without knowing the team behind it is very high risk because of the high level of fraud from ICO & IEO in the last 2 years.

The project that entails a good presentation can't be projected with good moral unless they're transparent with their ongoing progress. Just like what happened with last 2016 and 2017 historical years, most successful projects is more efficient in showing their realistic approach to every investors.

1 - 5 that i commonly use. But this is only my referrence because due to technology and money today they can create what ever they want they can fake when they want some of the project today creating a good back ground to attract investors attention, so the ending this type of project turning into scam they created fake good back ground for money grab only. In direct we can't predict how the project totally work because we can't read the mind of everyone. Anyway it is very important that you have a referrance

I looked out almost all the following listed, some projects seems to have and contains all of these but fail at the end.  The best way to avoid being scam is to do a thorough research on the project before investing in the so called ICO/IEO,

1-4 are the most important points in choosing a project to invest in, and if that can be fulfilled, the project can usually be successful.

So I am adding transparency to the list. Thanks

I will lookout for the top 20 coin list, and I will search for more information about each coin project. But sometimes, I choose the coin that will be my investment from the history that the coins made before, so I can analyze more if that coin is worth to buy for the investment or not. But for selecting ethereum, I think that will not be necessary because ethereum is one of many altcoins that is worth to be as your investment. After all, ethereum has a big chance to increase in the future. But for altcoin, I think we can use it as a short term investment because of the change in the price which can make us panic.

1: Presentation (what is the project and why, but i do not care about the apparences, only text)
2: Price
3: Real-world use-cases

I invested in few projects without knowing the team (like darkcoin/dash and monero, dero, even bitcoin...) and it worked fine.

When i invest in a new coin it's mostly in the first days or months so the "period of existence" doesn't matter for me. I started mining Dash in the first days, there wasn't even a logo if i remember well, same for DERO there were only one dev and a ugly logo.

Watching at the stability ? less stability = more money. But more seriously, even bitcoin itself isn't stable, stability is not the main criteria to choose my investments in this young world, even if i'm still thinking about the stability in the futur.

the assets that you have as an investment are assets with a fairly large market. what you need to do might focus more on market analysis, not on project analysis. because some investments that require more research on their projects are related to new platforms that are starting to run. but when they are big enough. we can see the development of their platforms and markets.

Do you read what i said ?  i invested in those coins you weren't even in the cryptogame probably, they had no logo except for bitcoin, and those coins was unknown ( i was mining more than 50 darkcoins/dash per day with one i5 cpu, so yes the market wasn't large at all)

"Real-world use-cases" is obviously a market analysis.

I don't want to be harsh, but i'm rich enough to not make publicity for an online casino as you do, just to tell you that i'm here since a long time and my assets are fine.

(the question is "What did you look out for before investing in an altcoin? " not in which coins i started to invest yesterday.... btw i'm probably the first person that invested in Dero and one of the first who mined Dash in the first months, i'm proud of my analysis even if i invested in a lot of shitcoins but i was totally aware of what i was doing)

The one thing to look out in an altcoin before investing is the year of existing in the market, concept (which will give hint about the project utility), trading volume (which will make you the level of community support, capital and the previous historic data with the inclusion of the current either.

1. team behind the project? The project reputation doesnt matter in some case e.g ETH some doubt it when it was created.
2. type of blockchain? It important
3. real-world use-cases? Maybe
4. partnerships? Maybe
5. period of existence? Yes
6. Stability of the token? Except stablecoin no genuine crypto is stable in price.
7. Just name them, anything you look out for XMR, ETH, NRG, BTG etc.

The main consideration must be the real world use case as the stability of the token price will be following the use case that is offered by the platform. In this case, I expect the demand will be following a good product with a lot of useful features.

All that you have mentioned is best thing to look at before investing.

But the Most character that i am looking at is Product because in this we rely the future and security of the project.
existing product mostly dictates what is the tomorrow for the said project.
there are many project that uses fake team but hard to find.

If we are good into this part Yes we can check them if the team are legit but for those who cannot?this is a bad case to look at.

Partnership can't be a strong point to take a conclution about how reliable the platform. Have you seen a bunch of projects that partnered with various platform but they have ended as scam project too? that indicates if that's not a good point to be used

Invest in altcoin, that means investing in coins that have been traded on the market. Right ?
What I'm looking for first is :

• Liquidity
• Everywhere the coin has been traded

Don't forget about the top ten coin list because I think you can have a chance to profit from trading or investment rather than choose the other coins. If the coin can have a list on many exchanges, I think that it will have the potential to increase higher, and that means you can use that coin as the investment or trade the coin. Looking at the project will be good because you can know if the project is good or not as the investment, so you don't regret it in the future.

I personally before buying a coin looking at the volume and market, other than that seen from the prospects of the project going forward when everything looks good, I'll buy that coin, ordinary will profit even though long term

if your orientation is for the long term why do you see the volume and current market conditions? if for trade then it will be very influential. but for long-term investment, I think the price of some assets on the market today is very tempting.

If my investment horizon is very limited than I would also just look at the exchange it is trading and the volume and the existence of the coins. But when I am investing in some coins for the longer time then would definitely look into all the points mentioned by OP because it is you hard earned money being invested in some project and you would expect some good returns on it.

You are right. Long-term investment, of course, requires a good analysis with many considerations as the mentioned OP. but sometimes when we see the market going down, we are in a hurry to have an asset. consideration taken is the lower price, not the reason why there is a decline.

A really good project, somehow expressing it is difficult. Such a project is truly beneficial and provides a real solution to an existing problem.

Things I usually look out for

• Team and background of project : This is an important part of making due diligence before investing in a project. I need to be sure that the team isn't just out to rip users of their funds and have no plans to deliver on their promise. I also look at the project in general if it has potential to give returns — its not all about the money but hey, I'm supporting the project with my money, I need to be sure it can deliver – as an investor (If it's a token sale) or a trader (If it's already listed on a public exchange).

 

• Community size and support: Aside from doing background checks on the team and overall project, I like to gauge their community support. In  crypto, most of the successful companies/startups/startups have very strong community support. Don't underestimate this because it's powerful. When a large majority of project supports a project, it often has head way even in difficult situations, for instance, Bitcoin, Ethereum or even Ripple has been under heavy scrutiny at some point but the ever vibrant community was solidly behind it. That's a big plus for me whenever I take a look at any project. It's one of the things I look at for
  

Every step is really important, in my mind mostly newbies must follow these steps. That is why newbies can fall easily into scams because they don't focus on these steps. That doesn't mean if a project, which has these contains means a good project or something else. On the other hand they can be also unsuccessful at the end as you above mentioned.

As he pointed out some factors I guess he's talking about ICOs not tradeable altcoins. If you experienced investing in an ICO project back then and got scammed then you probably won't do it again coz many of the projects now are scam. If you want to trade alternative coins just take a look at the top ranking in the chart, don't deep too hard so you can find a solo coin which will you believe that will give you 1000x profit. Worth to mention are ethereum, ripple and litecoin. These 3 altcoins is on my portfolio right now, I ain't missing any of these coz I know if bitcoin pumps this coins will do the same.

Most new people will choose the coin from what they heard and read from the social media or their friends which telling them that one coin will increase so high. They can not search from the right source, and that makes them confuse about choosing the coin, and they think that it is better to follow their friend without searching more. I agree that if one project, all of that point, will be guaranteed to make a profit in the future because the project can discontinue in the middle of their phase if something wrong happens to them.

That's right, a project could really start up smoothly and cool and later go to the dust due to some unforeseen factors.

First of all, I'll always buy a coin that in the top position, I will not buy a coin which has a position above 100, I don't know I just thinking that it is bad idea. So as I will trust with 100% that the coin is legit and never scammed me or the coin become shitcoin.

Secondly, I'll find an information or some event that will be held by the coin's developer. It is more fundamental direction but that is the informtant thing IMO. As an example, a few months ago I got an information that Cardano will be upgrade its system and I bought the coin when its price still $0.04 and now I've a profit even huge profit in it.

I guess the stability of liquidity reflects the demand for the token. it must be considered as the main factor to determine whether it's worth to invest on such coin. You will never hold a coin that has no liquidity for long term.
Liquidity means demand in the market.

when an asset has no market demand, of course, that means there is a problem with their project. it will be bad if we invest in a project like that. even when they are listed on the exchange but don't have a pretty good request. then we can leave it far away.

If say about investment, i think we talk about long term, and before investing i always choose top coin, such as bitcoin, ethereum, binance coin etc. But if talk about short term like join in IEO, the first thing is money of course lol.. The first thing is where the coin's using offering, if choose big exchange surely is good project because no shit project using big exchange

If i want to buy an opensource PoW cryptocurrency that had fair launch without any instamine/pemine/whatever scamming.  I ask myself if this coin have usecase and will be used 10 years from now. Nothing else. If that is the case then there will be developers and community. They will come to the project if are not there already.


If it is a sort of unregulated security. So an ICO token to backup a project, then I ask many more things beside usecase. Because here there will not be random developers jumping in. You are depending on original developers. They got paid in ICO to deliver and maintain. If they are not capable off or even just a scammers project dies.

I think you want to try to invest in ICO/IEO. There are a few things we have to analyze, so we can get good Altcoin. The way you've mentioned above, I think it's the right way.

However, I would like to add that you should check the feasibility of the project. When you then choose an ICO project, people should consider the concepts, objectives, and strategies. So we also know about the future of the project. A good ICO of course not only has a profitable idea but has a goal plan to achieve it.

Before investing in a coin I do always check first if this has a real product working. Actually above list is very important in considering to buy a coin but of course we still have to do diligence before investing. Even the project is good at first some ended up failed. So we should also check on how they perform and improve the project.

If I want to invest in altcoins, usually I look out of the team projects, the period of existing, where the listing, and trading volumes.
If I meet these criteria, then I do not hesitate to invest in these coins. Actually the more things we look out, then the coins are
very potential for investment. But I only look out for a few criteria for investment,  because more choices I can choose.

I think knowing the team handling the project and what they intend to achieve -the solution they are offering are the most important factor for success of a project. A good project should set out to provide a unique solution and should be handled by a competent team with integrity.

This is one of the most part that i am digging whenever i consider investing in specific altcoins.

Because for me Team Members must be the one who will be proving the legitimacy of the project,because if they cannot be true in their team then the whole project is shit.

why would spend money trusting people that cannot be even true to themselves ?

This is a clear meaning of misleading and lying things that every investors must realized and go dipper each time.

Majorly I look at the team and what experience that they have gotten as regarding blockchain technology, forget about white paper if the team does not have the experience or lack future goals about their project its a no go area for me. If you are thinking about choosing a project based on what is the white paper, someone might be wrong

The points that have been mentioned are the most important things. especially who is the team behind the project. If the development team has a good reputation and is an professional in their work. I'm sure the project will have a good of trust by investors.

that's a crucial part when it was running by a fake team and the ico will be failed instantly. So many people were always trying to digging the information related to the team and their background.
We have seen a lot of people have been doing it since ico became a big trend.

in my opinion investing in altcoin that can give you profit is, investing in projects that are really active, like in social media, always updates the news, and always has a good roadmap, look at Coinmarketcal and you can see potential and good coins to buy

Well, I think that no check list is bullet proof, as there is always a margin for error and this margin is always larger than you think...
I always look at the team/use cases/ solid documentation /reasoning behind the project structure and strategy/business strategy - roadmap/ already acomplished goals.... but this is always prone to error.
Not to mention scams, but even concerning use-cases, a use case might seem great and then when you add certain details, or the power of the competition it will turn to s*it

The most important thing to consider before deciding to invest in altcoins is where the coins are listed. If listing in popular exchanges,
such as Binance, Okex, Kucoin and Huobi will of course be very safe. Other things might be like the period of existing, type of blockchain
and team developer. All of these things are very influential for my consideration in determining the altcoins that I will buy for short-term
or long-term investments.

I personally never try to consider WP as a good point anymore to call whether if it's good or bad project. WP is just a speculation about the future of the idea that has already made by the team but it can be changed by the team itself anytime.

Some scam projects even plagiarize other WP projects. when we have the experience we can see and choose that opportunity. but when we only choose projects with arbitrary and without consideration then we can be fooled.

I don't read WP, I rely on others to do that, the ones who know how to read it, who are experts in that. For me, 3 things are important, ideas, the team, and the community. The idea must be unique, the team should have some credentials, the community needs to be awesome and if it's like that I will invest.

If you intend to invest in Altcoins such as ICO or IEO. I guess you should actually do the analysis. Some points that you say are correct to check out the project ICO Tau IEO.

I will try to add some suggestions? Check the project objectives. Projects that have unrealistic goals often end in failure. You should also avoid projects that have negative comments. Follow a community that supports the project, if it has a lot of negative opinions, I suppose this is a bad project.

You are right, we cannot completely rely on WP for investing, I will always choose the coin only companies who have already launched their manner. I will also consider their trading volume on a daily basis and these are basic things that company has good demand in the market.

At first i am particular in Roadmap because that is what the future relies so better those are clear,.

Next and the main thing to be particular is the Team behind the projects.

this will prove their truthfulness and their reliabilities .

Anyone can create a roadmap but the problem is that many projects still didn't bother to finish whats written on the roadmap because they already died in the middle of thier run  . Others can write a promising road map too but they are only not legit .  Same thing can happen on the teams , teams are also popular in terms of manipulation .  Not just these but almost any requirements can possibly be fake now , it's hard to believe a true legit project today .

if there is a system for the project to be certified authentic, then we don't need to worry about the team on the project list,
but for a late roadmap that is natural things

The team behind the project is the most important. Because the success of a project depends a lot on a professional and well-known team. Depending on the unprofessional team you may not be able to invest in that project and your investment will be at risk.

Another thing I pay more attention to is liquidity. Because if your bought coin doesn't have enough liquidity then you can't sell the coins. So in order to hold a coin for a long time, it should be seen whether there is liquidity in the market of that coin or not.

What I am looking for now is their marketing and genuine partnership, of course not just ordinary partnership, a partnership with a reputable project is a plus point. When a reputable project trusts them there is a possibility that they are good and have potential. There are some unique ideas of a project but they lack strategy and marketing so it is a waste. I prefer a project now with good marketing and partnership, I guess those are still attractive to investors.

We cant deny that partnerships does really give a big impact towards projects credibility but it would still matters on how the project would perform out on their own.
Projects utility would really be the main criteria here because even it do lacks marketing, people will still able to see on whats the project is all about even in a small scope
of people whose aware on its existence. This is the primary thing that ive been looking for on which it do talks about projects relevance.

The important thing should be the product and whether how often the project updates his social media and that will not give a lot of impacts if there was no a rumour related to the product or development progress to be the reason for speculators to pump the price of token.

perhaps more precisely is the news of the development and use of products from the platform. because when updates continue to be notified with a platform that continues to run it can create added community and market support. it can strengthen the value of their coins in the market.

Some of the things include the team obviously, who all backs the project, how are they planning and the roadmap for the next 3-5 years. Are all the queries raised to the team being answered or not reverted? Because customer satisfaction plays a key role. Also, what is the purpose of the coins and the prospects etc are some of the key things.

Investing in an ICO or IEO in my opinion is still very risky. In two years it has been a lot of failed and even fake projects. Many investors feel deceived because the lost money is taken by the scammers IEO or ICO.

For me investing in Altcoin is already registered on the exchange with a large volume of trades. Buy top altcoins like Ethereum and BNB. For me, these two coins do not have to do some stages of checking, but this altcoin has proved to have good potential in the crypto space.

4 points above is what I always see before investing in altcoins and besides that I also see whitepaper so that I know more about the objectives of the project

Is this for ico? Or in the market?
I if in the market you should go for good altcoins for you to buy you need buy and hold that altcoins if you sure that altcoins are good to hold and see also the feed back of the buyers of that altcoins so that you can know if that is good to buy or not. And I think it's better to hold it for a long term.

Ive been asking this out since there are different answers between in them if we do talk on projects that are already in the market or still into its ico phase.
Decisions will  vary on situation but generally when we do talk about investing criterias then majority of this would fit out or should really be needed to be considered
before making any step.
Verify everything and if you do able to see red flags then thats the time you would skip out such project and find another one.Lots of projects that floats around
in the market.
It do just depend on how you do search up for the best ones.

for new projects might always pay attention to that. but for old projects that are already large in the market, I think that only the market demand and analysis plan will be considered shortly. Even the day trader probably won't pay attention to that. what they think is the volume of trades that occur.

In my opinion for the point 1 is important to check if there are no scammer DEVS and only good members behind the project. For the point 2 is relative important if you wanna speculate because sometimes marketing is more important than technology when you are only interested to the price

About the whitepaper and i may not try to take the whitepaper as a factor to identify the project. There are so many developers who have been copy paste the whitepaper and even some developers were paying someone to create the whitepaper. It will take a lot of time to do a research with the whitepaper and i will be much more focused with the track record of the team and try to verify whether it's a real or fake person

no you dont need to read the whole context on what is written on the whitepaper but you only need to read the highlighted points just to save time  .  its okay for the team to pay for someone to create a whitepaper as long as what is written is geniune and came from the idea of the team  . white papers are rarely included now on the criteria on how to look for a project , idk why maybe its true that it can be easily faked out  but if its easy to faked out then its also easy to identify if the white paper is real or not  .

Everything you have mentioned above will factor into how much I would invest into an Altcoin,

If it is a solid top 20 coin, that has been around for years, has growing functionality and real world use cases, then i would probably invest 5-10x as much into a coin like this than I would say an ICO who have a good team and roadmap but no current use cases or track record

I suggest you forget about the new project. You already have a good choice if you want to invest in top market assets. the new project is part of a scam on the crypto market. ICO or IEO is the same. choose the least risk. trade or investment that is already in the market.

You should not say all of IEO and ICO were scam. Almost all of icos have already started from ICO and IEO, how you can say like that when these kinds of fundraising have already helped crypto to be big like this time. There is a lot of trusted icos in the market. The problem is some of these icos were scam.
 

Yes, it is true. even early 2017 became very unusual for ICOs with a lot of crypto adoptions taking place. Even though now many projects are a scam, that doesn't make them all a scam. Until now IEO also still has projects that are successful in the market.

being able to analyze whitepaper and see whether the project is really serious in technical aspect is good but as far as it goes if the project isnt interesting for people and failed in fundraising the whitepaper will be useless i will always see the people behind the project first because thats the biggest factor.

For me is simple,the project already listing in so many exchanges and the community is big. Im always care about money and i so scare invest in new coins which we dont know about the future of that coins. I always play safe. Yes, i know invest in new coins is potential for profits, but so risky, high risk high return, that's not me

You have good principles. that's all you need to support with the ability to trade and invest better. and you will become a professional trader. I also like you, only focus on assets that are already in the market. but sometimes a new project from IEO binance also attracts me to invest there.

But not many projects can stay survive after 2018 because we knew that many projects after that year are collapse and cancel their project. I don't follow the ICO and IEO project, and I only heard that after 2018, it was a hard year for every project because the crypto market has down too deep. You can analyze the top 20 coin list if you want to search for the potential altcoin that can back increase this year or next year. And if you try to buy that coin, you will see that the chance will be bigger than the new project.

You all have the list OP to check and I believe that it was enough to know a legit project or not. But also you have to remember that not all projects that have a very good start will also likely have an amazing journey because some of them also get lost. The risk can't be lost because at any time of the day it can be changed also. That is why choosing the right coin needs to be (almost)perfect to avoid losses to our ends. But that is difficult when you are not familiar with the market and also when you are new to this. We don't need to be rush and lastly, we don't need to be FOMO. These things could save us from losing.

Usually the things I look out before deciding to invest in altcoins are the period of existence and the team behind the projects,
these two things are enough for me to decide which coins I will choose. Because if the coins include new projects i'm definitely avoid
for invest, because new crypto coins are very at risk of a dump. Then next I will choose active developers, so projects can develop
and certainly the effect can make prices go up.

All of that is important however another important aspect is innovation, even if all the points you bring were positive the coin will never perform well over the long term if it is just another coin trying to do the same as all the coins that came before it, it has to bring something new over the table and that something must make sense, if this is not the case then do not bother to invest in such coin as soon enough it will be replaced by yet another coin doing the same thing.