Assessing The Teams Behind Cryptocurrencies And Blockchain Projects

Getting to know the teams who create ICOs is like online dating.

Team Luno
Team Luno
Dec 12, 2018 · 5 min read
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Photo by Randy Fath on Unsplash

Investing begins with education, not buying. Invest your time in understanding a project before you invest your money.

We hear of new ICO horror stories every day. Numerous people have lost money by investing in cryptocurrency projects created by teams that either lacked the know-how to bring them to fruition or never intended to do so.


Who are they?

In theory, it should be easy to find out who the team behind a cryptocurrency project is and what roles they play. Ideally, this information should be prominently displayed on the website or searchable on sites like Linkedin.


What is their experience?

One Redditor commented that they personally have more faith in a scrappy, small team bootstrapping a cryptocurrency project through hard work, without extensive experience than they do in bigger crypto projects. While that may be the case, as an investor your priority is not losing money and hopefully making some.

Betting on the underdog is higher risk.

What about the breakdown of the team? How big is it and does the amount of money they’re aiming to raise make sense considering the team size? Do they have a reasonable split of technical team members and those involved in marketing, PR, customer support, legal? Do they have lawyers or former bankers on board, or engineers with experience in complex software projects?

The calibre of the advisors is a sign of the quality of the team members.

They’re risking their own reputations by backing the projects and are unlikely to take too big a chance on a sketchy team without first performing extensive due diligence.


What is their track record?

In this day and age, it’s difficult to hide your dirty secrets from the world, especially once they’ve gotten out. Researching on social media and media publications should reveal any prominent scandals or controversies associated with team members.

Go with your gut feelings around any other inconsistencies or anything arising suspicion.

Are they going back on their word, breaking promises to the community, making false claims, or otherwise behaving in a less than trustworthy manner? It could be a sign of skeletons in their crypto-closets and you’d do well to avoid them.


Can you reach out to them?

Try directly contacting the team via social media or other channels like Telegram.


Don’t get caught up by FOMO

If you’re adamant that investing in ICOs is right for you, remember that there are hundreds of them happening at the moment. You don’t need to jump on the first one you see.

It’s fine to take some time to research, watch a few crowd sales happen to test your intuition, then start small.


Do you have any ICO stories you’d like to share with us?

We always like hearing about your experience in the crypto space, so let us know how you do your homework on ICOs.

Luno Publication

Luno.com

Team Luno

Written by

Team Luno

We write about all things crypto. Our articles convey the views of Luno and the many unique opinions and characters within our team. Tweet us @lunomoney

Luno Publication

Luno.com is a global cryptocurrency company, with over 2 million customers in 40 countries. We make it safe and easy to buy, store and learn about BTC and ETH. We strive to educate, and open the doors for dialogue and discussion on cryptocurrency, fintech, finance, and more.

Team Luno

Written by

Team Luno

We write about all things crypto. Our articles convey the views of Luno and the many unique opinions and characters within our team. Tweet us @lunomoney

Luno Publication

Luno.com is a global cryptocurrency company, with over 2 million customers in 40 countries. We make it safe and easy to buy, store and learn about BTC and ETH. We strive to educate, and open the doors for dialogue and discussion on cryptocurrency, fintech, finance, and more.

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