What issues should be considered before investing in a new DeFi project token?

[91254vvpatel]

Currently there are many DeFi projects in Crypto INDUSTRIES. And they give their tokens in various reward programs. But which project to invest in is proving to be very, very difficult. So which issues should be considered for that.

[Lavander]

I'm not really into DeFi projects but it seems that this could be an interesting topic to discuss here, there's a lot of fake projects running and there's a lot of scammed projects lately and I think if we shared good information what should we look before investing to a new DeFi project it might lessen the number of investors that's being victim by fake DefFi's.

[Greatchu]

In DeFi projects world it's always about the team as majority of all DeFi projects offers same farming and lending rewards, I like DeFi projects that are more than just the rewards that are been given to their adopters, for example Chainlink is a decentralized Oracle Network which aimed to connect data from the real world to all available smart contracts, that's a neat use case ain't it? Before going for any DeFi projects make sure they very useful use cases.

[Helpme_please]

its very complicated to recognized issue in defi projects, mosf of them were fake project and have no quality as defi project and we often trapped here.most new defi project have no original idea, they just imitate concept from previous project and rebuild, only pump and dump scenario for new project. 

[IkonaDro4ku]

Don't focus on projects like this. Yes, they are very popular now but this will not always be so. And if you are going to make money on these projects, then you definitely shouldn't ask other people what you should buy because you are responsible for your money.

[Smitty Werben Man Jensen]

Currently there are many DeFi projects in Crypto INDUSTRIES. And they give their tokens in various reward programs. But which project to invest in is proving to be very, very difficult. So which issues should be considered for that.

the first analysis is the liquidity in the Defi project, if it has high liquidity then I highly recommend,
like on the project Moon, the Moon is a Defi project and if you look at Uniswap the liquidation has reached $ 45k,
of course this is a very promising Defi project.

[awakpane]

In my opinion, before investing in the Defi project, it is very important to do your research and understand that Defi products often involve high-risk assets in a platform full of uncertainty. But Defi has an exciting future when digital assets, blockchain, and conventional finance can connect with each other in an open and accessible environment.

[plvbob0070]

In investing in Defi projects, it is significant to have major considerations with the risk involved in choosing a project. Especially these days, where some of it are associated with various investment schemes. It needs a thorough analysis of its potential to survive the erratic market, key objectives, and its team. Besides that, some Defi tokens aren’t even valuable to hold, as some fail to maintain their value.
With this long-list of DeFi scams, be sure to think carefully with every decision you make.

[1] LIST DeFi-Scams - Big All-In-One-Thread - LAST UPDATE: 17/11/2020

[zaim7413]

Currently there are many DeFi projects in Crypto INDUSTRIES. And they give their tokens in various reward programs. But which project to invest in is proving to be very, very difficult. So which issues should be considered for that.

Every project that creates a program in crypto will certainly provide prizes for all participants who promote them, that's a natural thing I think, so the problem to consider here is whether they are real or fake? That is all.

[masterrex]

Currently there are many DeFi projects in Crypto INDUSTRIES. And they give their tokens in various reward programs. But which project to invest in is proving to be very, very difficult. So which issues should be considered for that.

I think the team should be transparent it is one of the important aspects, and they should be known to investors because if they are anonymous it was very hard to trust them. and because the identity of the developer is unknown they are just easily run with the funds (exit scam) without any problem, second is the uniqueness of the project third part is the liquidity because I believe if there's enough liquidity it is more attractive to investors.

[Davian144]

its very complicated to recognized issue in defi projects, mosf of them were fake project and have no quality as defi project and we often trapped here.most new defi project have no original idea, they just imitate concept from previous project and rebuild, only pump and dump scenario for new project. 

Yes, obviously it is very complicated to identify a real DeFi project with a fake, because the scammers are smart enough in making projects so that everyone should use a more careful analysis in this case so they don't get caught in the traps made by scammers through the project DeFi.

[poodle63]

Avoid defi project that's literally a clone of each other and the team that seems fishy or unprofessional. You see many hacking happened to defi project because the developer team are kinda lacking in term  code auditing and fixing the exploit. I'd advise to invest a defi project that already well known and reliable. There's no need to gamble your money into some less popular defi projects because big chance you gonna encounter the bad apple.
Though, it's actually depends on what you gonna do and decide really.

[Winscosinally]

Currently there are many DeFi projects in Crypto INDUSTRIES. And they give their tokens in various reward programs. But which project to invest in is proving to be very, very difficult. So which issues should be considered for that.

You are still a newbie, why are you interested in such projects? DeFi projects are mostly copied and some are just riding the hype, you need to be a clever guy to find which DeFi projects are the best, the few DeFi projects I invested on are YFI , ChainLink and DIA, do your own research, I suggest you invest in popular altcoins ranking from 2nd to 20th on coinmarketcap, goodluck

[CLS63]

I check DeFi projects on the coinmarketcap website. I think it is important that the contract addresses of projects should be added to the website too. If a project doesn't have that, then there is a possibility that it could be scam.

[tarable]

Have u heard of Tecra Space? To change the world, Tecra brings fundraising for high-tech projects to the next level. They have just shared the update on new game by Spacewalkers - one looks truly unique and worthwhile, curious to discuss with u https://tecra.space/news/spacewalkers-development-update-1

I see you post the same thing on a different topic, what's wrong with you? why don't you make a special topic for this and discuss it further so as not to pollute other people's topics.

[didzi]

Currently there are many DeFi projects in Crypto INDUSTRIES. And they give their tokens in various reward programs. But which project to invest in is proving to be very, very difficult. So which issues should be considered for that.

check the features and the team members behind of the defi project
because a project will growing or die, its depends with their team members buddy

[WalkerIVIV]

I check DeFi projects on the coinmarketcap website. I think it is important that the contract addresses of projects should be added to the website too. If a project doesn't have that, then there is a possibility that it could be scam.

Even if that was fully verified didn't mean the contract will be free from the backdoor created by the developers.
The contract must be fully audited especially with the experts. There are possibilities for defi project to use the destroy function to its contract. That will also allow the forced tx to happen and the contract will do a self destruction. Code is the most important part.

[Princeofpoetry]

Choosing a good DeFi project is very difficult because some projects only think about profit but no progress after project promotion ends. Maybe choosing a DeFi project that is already listed on a major exchange can be a consideration

[jostorres]

DeFi is still a new thing so you have to be very careful with the DeFi projects you are choosing, avoid most of the new ones unless you’re very 100% sure from your research that the project is legit and that it will grow with time, if not, just stay clear from them and go for the DeFi projects that are already doing great.

There are few that I will recommend for anyone that wants to invest, starting with Augur, it’s one of the ones at the very beginning and it’s been doing really great and is even available on top exchanges. Another one is ChainLink, I believe you know this one already, then we have UniSwap was really going crazy earlier, though they happened to have crashed, but since they are legit they will still grow.

[The Cryptovator]

It's quite complicated to say where to invest either its DeFi or IEO. Honestly, we can't say safe any investment into the crypto. We know all that what happened about ICO. I believe the same thing will happen with DeFi. It's because many scammers already enter the DeFi ecosystem to scam us. I wouldn't agree to invest DeFi out of exchange if really you need to invest. If you buy a DeFi token via an exchange, then you can say alt least they would skip instantly with your funds. Of course, you have to choose a well-reputed exchange for that. Pump dump is your own risk since there are whales for that. Otherwise, better to avoid buying the initial token for DeFi.