In a world driven by hype and FOMO [Fear Of Missing Out], it is becoming increasingly clear that a diligent cryptography enthusiast needs to take a fire test to choose a witness to support in a world where viable real projects are hard to find and good projects with long-term prospects are still more difficult to distinguish from raising money “shitcoins”.
With the latest developments in which most new cryptocurrencies are reaching record lows and new ICO projects not meeting their hype after Crowdsale, it is now common for disappointed “investors” to blame ICO promoters for social media, rather than blaming themselves for not doing due diligence to pick a more likely winner after the crowd before buying a testimonial during their ICO.
From my extensive observation, it appeared that most crypto buyers simply bought coins during an ICO based on the FOMO (Fear of Missing Out) created by the drum owners behind those coins. Many simply bought without understanding the post-ICO purpose of the coin, or what it was supposed to bear witness to after the crowd sale. When nothing happened after the ICO, as is often the case now in many ICOs, then they would jump on social media to call for a bloody murder.
Recently, my team and I just did a tour of Africa and some areas of the US to promote the Nollycoin ICO. We organized and sponsored different conferences, held live AMA (Ask Me Anything) press meetings, and held many individual meetings with Crypto whales, small investors, and crypto-millionaire wannabes of all colors.
Through it all, one thing that surprised me more than anything was that most token holders had no idea about the underlying business or project that was behind the token sales in which they participated.
Even stranger in my observation, was the startling fact that many could not explain to you the value proposition of the project, its objectives, or the company’s plan to disrupt the market and grab a share of buyers from its industry. They simply bought the ICO because several telegrams or Facebook pages they visited called them “Buy”. Hodl and buy more ‘. Most acted simply on the basis of herd instinct and not objective deliberation.
Now, if most of the people I met were just teenagers or uneducated people, I wouldn’t have been so surprised by the level of ignorance of many of the cryptocurrency investors I met. On the contrary, many of those I met were college graduates and people from some media. However, less than 10% of them could easily articulate why they bought a coin in the hope that it would increase in value over time. Everywhere I went, very few people could tell me the name, experience, and ability of the corporate managers of the company that sold the coins.
The only thing most could point out was that the coins were recommended by “respected” influencers when the facts have shown that most of them were paid chills to create FOMO and the respectability of otherwise useless shitcoins.
Beyond the so-called fake influencers, many crypto buyers knew that the names of the team leaders were Russian, Chinese, or Korean, even though they knew absolutely nothing about it. It was as if all you needed to have a successful ICO was to list names of people from Korea, China, or Russia that no one could even verify with a simple Google search.
While I agree, there are many things to consider when deciding whether a project’s chips will increase in value over time, I think the acid test and the most immediate evaluation criteria should be the usefulness of the currency itself, outside of what would happen. to cryptographic exchanges.
While most cryptocurrency owners I knew didn’t even know it, the reality is that if you bought a token from most ICOs, you wouldn’t really “invest” in that company. He would not buy shares in the company and would not buy any shares in the company.
And, at best, what you did when you bought tokens during most ICOs was “give” to a project in exchange for receiving a token or utility currency that legally had no real value beyond the business ecosystem controlled by the issuing company.
In short, apart from your hope that the price of the tokens would increase or increase to become a millionaire, there is not much more you can do with the token, apart from enjoying the usefulness provided by the ICO company. if any.
Since no one could safely predict the performance of a crypto in a cryptographic exchange when it finally arrives, and more recent experience has shown that the prices of most tokens are likely to submerge during the first few weeks of to make an exchange (due to large sales by speculators), it would make sense to check what other value or utility you could get from your testimony, beyond the expected “moon” in the stock market.
As the cryptographic revolution continued to revolutionize, transform, and adapt to different market developments, the only way to ensure that money is not thrown into the gutter is to make sure that it is still they can use these tokens for excellent value and benefits. even if you can sell it for immediate profit on a stock exchange.
In making this determination, you need to ask yourself this main question: What value, product, or service does the company that sells the testimonial generate that will give me enough value for my cash to make the purchase worthwhile?
In a world where token prices are set on different exchanges, the more chances you have of getting a real-life use with a witness off the list expected on the cryptocurrency exchange, the better the chances that you won’t run out frustrating or stuck. tokens that are useless to you.
So you have to ask again and again: if this currency was never traded on a stock exchange, would you still be happy to have supported the vision? If this testimonial lost 70% of its value in a stock market, can I use it and get value for my money elsewhere?
If you were unable to answer these questions positively after reviewing the WHITEPAPER and reversing the company’s claims, you should think twice before purchasing this currency.
A recent case study
Take a current ICO like Nollycoin, which is the testimonial that fuels a Blockchain-enabled movie distribution ecosystem. Currency promoters have created different utility scenarios for currency buyers to make sure that whatever happens to Nollycoin on the cryptocurrency exchange, its sponsors and chip hodlers will continue to smile.
Some of the great utilities associated with the Nollycoin token in the Nollytainment ecosystem are:
• Possibility to use Nollycoin tokens to watch exclusive movies in cinemas and cinemas
• Ability to use Nollycoin tokens to access 1,000 movies in the Netflix on-steroid blockchain movie distribution.
• Ability to use Nollycoin tokens to purchase products and services at NollyMall, which is like an Amazon platform for entertainment-based products.
• Possibility to use Nollycoin tokens to pay school fees on the NOLLY Academy platform and associated companies
As you can see, beyond the normal expectation that tokens can appear on a cryptographic exchange platform, one must look beyond the hype of an ico to the immediate and prospective usefulness of the token and the viability of the underlying project that exists. behind.