DYOR
The crypto industry is spreading very quickly in different areas of our lives. Many people dive into this sea and “learn to swim”. Someone over time will show 5 ways of swimming (read — earnings); the sea will throw someone ashore (and even without money). And it depends on how you master DYOR.
Well, now about what these terrible 4 letters are … Decoding is nowhere easier: D — do, Y — your, O-own, r — research. Now there are a lot of different influencers and experts in the field of crypto who wants to sell you their courses “How to make money in crypto from 0 to 1,000,000 in a week.” But no one can guarantee you earnings: the market is an unstable thing, no one knows what news will be published tomorrow and how it will affect the price. That is why you should always think for yourself, take responsibility and conduct your own research.
“Okay, how do you do this research of your own?” Great question! It should be understood that most often you will have to analyze projects, answering yourself why it is worth investing here.
Go to the project website, find the Whitepaper/Docs and carefully study the materials, because this way you can get an impression of the essence and capabilities of the project, its benefits for the crypto space and goals (RoadMap).
Then look through the funds of the project and understand whether this or that fund is interested in the development of the project. Be sure to study the previous cases of funds, how successful were the projects in which they invested.
What about the community: how popular are the social networks of the project (especially Twitter), how the project pages are designed on different sites, how the ambassador program is carried out. It is likely that big hype will contribute to big X’s. Be careful and trust only official sources.
The next indicator is partners. See how many other projects have supported this startup and how they can help each other. Check that these projects on Twitter have a mutual subscription (or team members).
Be sure to study the team: who are these people, what did they do before and how successfully. Alarm call if the command is anonymous. Look through your personal social media profiles and try to figure out how interested people are in the development of the project, maybe they just want money.
Evaluate competitors: understand how innovative and in demand the idea is, why it is better.
This point will seem the most difficult — tokenomics, but it is very important. Understand why and who needs a token; how and to whom they are distributed; how many there are; how much and at what price was sold in seed and private rounds, etc. These questions will help you understand the growth potential.
If everything you learned about the project instilled confidence in you to buy, be sure to study at what stage it is better to invest money, determine the level of profit and loss.
Remember that all decisions are made only by you, follow risk management, learn to take responsibility, and … profit, friends!
