Thread by @cryptobafemi

HOW TO DO YOUR OWN RESEARCH (DYOR)

[Tips to take note of before putting your money into a #Crypto currency]

A Thread 🧵

⚠️Read through to the end👇👇.

Let's fooking go🚀🚀

So you saw a coin on twitter, the hype around it is crazy.

Everyone is busy shilling it as the future of finance or whatever..

You are ready to bet away all your money into this coin hoping 100x your capital..

Trust me if you follow this route, you're going to hate trading,

lose alot of money and then blame your village people for it. However you can follow the right steps and reduce risks:

1. CHECK THE COIN'S MARKET CAP AND SUPPLY: Go to coinmarketcap.com or coingecko.com & messari.io

- check for the Market cap,

total supply, circulating, the exchanges they're available on.

You have to be sure you're not getting yourself into a rugpull and you can get out of the market anytime you want.

-Use the blockchain.com/explorer to check the distribution

and If the token is on the Ethereum network, use Etherscan;

Check the holders for whales, if the token is distributed proportionally,

this is to know if the price can be easily affected by whales.

2. FIND OUT THE PROBLEM THE #CRYPTO PROJECT AIMS TO SOLVE:
Go to the project website, check the white paper.

Ask yourself; "what problem does the project solve?" "Who are their competitors?" "Can they beat their competition?"

Bitcoin for example solves the problem of inflation

You have to be very thorough when going
through the white paper because alot of these
projects like to say meaningless jargons just to
make it look 'innovative'

3. CHECK THE CEOs AND MANAGERS OF
THE THE PROJECT:

Look at their track record, their interviews.

Former Microsoft engineer doesn't count! They
could have been fired for something really bad.

Their influencers could just be doing it for
quick buck and not believe in the project

4. LISTEN TO OPINIONS OF THOSE AGAINST
THE PROJECT:

Try to find out the reasons behind their #FUD.
Is it justified? Or are they just biased?

The aim is to try and reason with their claims
from a rational view.

5. AN ACTIVE COMMUNITY: Check if they
have an active community on twitter, discord,
telegram, etc.

Beware of bots.

Make sure they are real people who support
and believe in the project.

6. Lastly, ask yourself; 'Do you see people investing in this project?

Cryptocurrencies are more of securities than assets so it is obvious that the more people buy it value rises.

You need to be investing in a project that has high demand be it short term or long term.

NOTE: We have people who invest in tokens without DYOR and sometimes they hit it big.

But if you want to take trading as a regular
business then you need to #DYOR more often and this thread showed you how I do mine.

If you liked this thread..

Please retweet the first tweet.

Hit the follow button if you're yet to follow.Check my previous thread here.

#CRYPTO TERMS AND SLANGs

https://twitter.com/cryptobafemi/status/1528093937457631232?t=xNngFtl3KqkVCImKZ-nZ5g&s=19