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February 12, 2018, 06:52:55 AM |
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Welcome to cryptocurrency man.
Like the others stated its your chance to get in early on something before it is built. Here are some things you need to take note of though around ICO's
1. a lot of them are scams, you should be careful of high % premine and make sure you research it A-Z. Look out for things like fake team members.
2. Make sure it has an actual use case and is something that will benefit humanity. There are tons of things that really dont need a blockchain
3. Dont ever pay for an ICO from an exchange, most of them are ethereum based so send your funds from Myetherwallet. If you send from an exchange you will lose your money.
4. ICOs are extremely high risk, dont put in a lot of money. You really dont need to put in much. A good ICO will give you 10-100x gains. Unfortunately they are the minority. There is a good chance of taking big losses.
5. One of the biggest things I look for in an ICO is users. Users = value, I dont put my own money into anything that doesnt have at least 100k ICO participants, that would also reduce the risk of a scam since its not likely for so many people to miss some evidence of a scam in their investigation.
Again, research the hell out of everything before you put money in it. Remember youtubers will often times promote an ICO with a referral link. In these cases consider if its really a good product or if they just want to get free coins off you.
Play it safe, 5-10% of your portfolio into ICOs is fine, dont put your rent money into ICOs.
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