Evidences of bad ICO

[joni727397sri]

Here are tips and tricks to differentiate projects that have good potential and fraud / scam projects to avoid.


1. Read reviews / reviews / news and whitepapers.
Many parties provide good reviews / reviews in text and video form on youtube and display news about a recent ICO project, look for reviews that do not include referral links and sponsored news of the project (advertorial), reviews that do not have a financially profitable motive of course more trustworthy than the words of the parties who promote and seek personal gain. Info obtained from outsiders who do not take personal advantage of this we can compare with the information written in the white paper of a project. Inconsistent and obscure info, technical specifications covered up, unprofessional whitepaper writing with so many write errors, etc., are the hallmark of a project created by inexperienced teams and at great risk for scams or failures.



2. Team developer / project.
The creator of Bitcoin certainly has the right to remain anonymous because basically it does not collect public funds by selling unreleased coins, while the start up project is naturally displaying the info of all the developer teams involved in the development. Re-check the background of the leadership and team members, their previous projects, medsos accounts of long-established team members and have positive social interactions related to the relevant fields. The scam project will not display any photo and information, even if it is usually a team member photo and fake information that will look different from the original medsos account. In accordance with the experience that has happened so far, without any information about the team of developers, it is certain that this project just aimed at a scam.



3. Github,
Many cryptocurrency projects include their technological development info through the github site, from this site potential investors can see the portion of work they have done, the contributions of the members of their developer team can also be checked through this site. Investors who have a technical background / programming can even re-check the quality of the programming code they have created. From this we can also see the technical specifications of the offered coin / token, whether it is just a copy / fork of an existing coin without any advanced development or constituting the creation of a new platform developed purely from scratch.



4. Profit Bid,
The obvious feature of fraudulent projects is the bravery of offering a certain percentage of profit for example 5 or 10% per month on the platform they offer, it is also not accompanied by details of how the target profit can be achieved, it could be enough to say they have bots trading that works automatically gives profit or lending / lending but investors will never be able to check their portfolio and trading history or will never know what business receives the loan from the project to be able to give profit. No business in the world is able to offer certain profit guarantees especially when the product has not been released and tested on the open market.



5. Hype marketing,
Wary of all kinds of marketing hype, promotional types that use fantastic words and phrases and also try to exaggerate the potential of a project without clear evidence, this type of marketing proves to be effective to attract attention for trying to encourage human nature to greedily for profit using techniques similar to ATM fraud or lucky draws by making the victims do not use common sense in making transactions.

[German Klimenko]

I think that in a good ICO there should have workable product and ICO plan should be very clear about how they will implement their project. All reasoning in the WhitePaper it is just words and often have nothing to do with reality.