There are a lot of things to consider when deciding on an ALT COIN and a lot of misrepresentation that can happen
LoopX ICO Scam
The LoopX project vanished at the beginning of the week when it took down its website and deleted its Facebook, Telegram, and YouTube channels without any notice.
Exit scams are becoming more common in the ICO ecosystem. Recently, the LoopX ICO exit scam resulted in the loss of more than $4.5 million USD of investor capital after its creators pulled a disappearing act.
Many of these scams operate similarly to multi-level marketing or Ponzi schemes, such as Onecoin, which duped investors out of $350 million USD and culminated in the arrest of the creators.
While these fraudulent platforms succeeded in separating unsuspecting investors from their capital, they weren’t particularly complicated, nor were they hard to spot as potential scams. Performing due diligence when assessing initial coin offerings is an essential element of the investing process, but is commonly overlooked by many investors.
Now lets list some of the important things to consider as an investor when you are performing your due diligence.it is important to look at the team members linkedin and make sure the project is listed in there profile as proof that that person is actually working on or with that new ALT COIN or ICO team.
Guarenteed profits are another sure sign of a scam
While blockchain technology may be highly disruptive, it’s not the ultimate solution to every single problem in existence. There are many initial coin offerings that present tokenization as a solution where it is not needed.
An empty code repository is a telltale sign that the ICO your considering is a lazy ERC20 token and doesn’t offer anything groundbreaking. Most ICOs propose open-source solutions that make it possible for potential investors to assess their code via a repository link like GitHub.
This is information from the article The Seven Key Signs of an Alt Coin scam link here :
https://cryptoslate.com/seven-key-signs-ico-scam/Just wanted to share some of this information and provide a few resources to help when performing your due diligence on a coin
below I listed 2 more websites that can be helpful in your search
https://blockgeeks.com/how-not-to-be-scammed-by-a-initial-coin-offering/https://www.makeuseof.com/tag/common-cryptocurrency-scams/If you would like to checkout ETAINPOWER.IO which is our teams ICO we just finished our presale and will be listing our Main sale towards the end of June join us on Telegram @ETAINPOWER OFFICIAL to join our discussion or ask any questions.
We currently don't have a large social media presence but we are working hard on gaining traffic to get some more organic discussions surrounding our ICO started.We just finished our advertisement and will be posting it on youtube soon @ETAINPOWER if you have any questions we will also be responding here but not as quickly as on Telegram.
