How to dyor a crypto project

🗓 September 19, 2021
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I'm building a crypto fundamental analysis app. Here are some factors to review a crypto project

Team vs its competitors:

  • Team and employee
  • Patents and unique ideas
  • Does it have a foundation organization?
  • Backers, Investors, Partnership
  • Legal?

Tokenomics and initial distribution

If founders hold less than 5%, they won't have enough motivation for a long term (over 5 years) to build a successful chain/coin or token

Image from @MessariCrypto

Use-case

Just ask yourself this simple question. Is this crypto project solving a major problem?

Decentralized score

Use this diagram from VitalikButerin to evaluate how honest a project is.

If it has over 50k TPS, let look at other 2 factors: Secure and Decentralized. Maybe the project owner is lying if he says it is truly decentralized chainMan shrugging

Social Score

Check the quantity and quality of its brand on

  • Twitter, Tele, Discord, Reddit
  • Youtube Video
  • Podcast, Clubhouse Does the team actively share what they are doing in an understandable way?

On-chain metrics

  • Transaction count
  • Transaction value
  • Active addresses
  • Fee paid
  • Hash rate and the amount staked/locked glassnode, coinmarketcap, and http://dapp.com are the top apps for on-chain analysis

Continuous Development

Check project's Whitepaper, Road map. Check how the team handles crises. Do they blame other factors/people or do they focus on solving the difficulty? Do they care about investors' money? What did they announce when they miss a deadline?

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Author: Khoa Nguyen
https://khoa.blog
Write about stoicism, blockchain, nocode, indie_hacker
Founder MoonRat.Finance - 100k holders and 100M market cap in 7 days