There are so many projects available for investors that it can be difficult to choose which projects are worthwhile. With most investors chasing the bigger and more well known tokens in the market, we found ourselves in a bubble that was bound to burst. The money came in and the money went out, and savvy investors everywhere saw it coming.
The burst of this bubble has changed the reality of the market, but in a positive way. Blatant pump-and-dump ICO’s have shot themselves in the foot by artificially inflating their coin price only for it to sharply drop a short time later. Graphs don’t lie, and the steep rise and fall of price over a short period of time screams one thing — scam.
With these types of companies being exposed by their historical graphs it illustrates how rampant these kinds of projects have become. But since the bubble has burst, things have changed in the crypto world and the projects that remain are those who actually hold water. Those who have played the market and their investors have done the work of eliminating themselves from the space allowing projects of value to rise to the top. That means the possibility of investing in a bad project has effectively decreased, and the projects remaining that are getting funding have a better chance of showing stable and organic growth.
There are projects that have managed to do good things without fleecing their investors out of their initial investment, but since these projects are buried underneath a massive heap of lost leaders many people are still unfamiliar with such projects.
A good indicator of a safe and approachable investment opportunity is one that is growing slow and steady. If the token price is slowly gaining volume and initial investments are claiming promised returns of realistic size, then chances are the project is a relatively safe bet. A good measure to go by is if it’s too good to be true, it probably is.
Now that things are seemingly coming back down to earth with regards to investing in cryptocurrencies, the strength of original concepts set forth by companies is more important than ever. With so many companies in the past all taking advantage of the newness of the crypto world it was easy to name vague goals using blanket terms because that’s what everyone else was doing. Now things have changed, investors are demanding road maps and clearly defined goals before jumping in with their investment money. In turn, companies are planning out their development strategies in more detail and by doing so raising the standard for any other projects that want to compete for success.
A few companies such as Ontology, Rublix, Orchid Protocol, as well as a number of others seem to be aware of this new phenomena and stick out above some of the rest as to the worthiness of their concepts in the future. These companies have their eyes set on the long term, chasing defined goals that investors and interested parties can track.
When it comes down to it, communication is what will keep investors interested and progress transparent. If investors don’t know what’s going on, why would they want to stick around?