Thread by @cryptobaddie1

HOW I DO MY RESEARCH ON SOLID PROJECTS.
#cryptoABC episode ♾♾.
I will try to make it as simple as possible.

1/ supply and demand: this have to do with what quantity and at what rate the tokens enter the marker or is scarce. Example there are 50 persons in the world and then there is this shirt that only has 5 pieces in existence, you know there will be more demand because..

The commodity is scarce and people will pay any amount to get it which will make the price go up.
But what is there was 200pcs of that commodity, price will drop because everyone can even get it 4 pcs each..same thing goes for a token or coin. Example #btc which has only

21m in circulation and statistics shows there are 8billion people in the world..now you understand why #bitcoin is hot cake...not thr only reason tho.

2/ Rate of Release: lets go back to the example i gave about a 5pcs commodity being the total ever made, but what if I told you that the whole 5pcs won't be entering the market at once, what do you think will happen? Let's say the people in charge of the commodity will ...

Release just 1 every 2 years.. don't you think the price will shoot up?? Because people will practically bid any amount to get that commodity... it is in the case of #btc , there can only be an increase in the total circulation of #btc every 4 years(bitcoin halving)

It will increase the circulating supply of #btc tho,keep that in mind..but #btc is #btc nobody really knows what happens next.

3/ Third on my list is The total amount in circulation and not in circulation..example token X has total 1billion pcs and just 1 million is in supply which is ratio 1:10 and 10% in circulation ...its a huge red flag to me because what happens when the remaining 90m comes into the

Market?? There will be excess supply which means 1 person can own like 2 pcs each and more with ease...which causes a drastic decrease in price.. so go for either coins or tokens that has a 60% in circulation or there is a time stamp to the release of the tokens to the market..

Which is still not convincing for me .

4/ it might sound weird but I check out if the token or coin is a deflationary(burns the total number of tokens example is #bnb and @DefiTigertoken) or inflationary (increases total number of tokens example is @dogecoin)

Which makes me wonder why people thinks it will ever get to $1 lol.

5/ what is the market cap at the time I am planning on buying in and FDV fully diluted valuation which is gotten by available tokens multiplied by current price....the ratio of the mcap to fdv is important...lets say mcap is 1m and fdv is 10m ratio 1:10 its a red flag because

Because so many other tokens will be released into the market and cause excess supply (all in all look out for a coin or token that is in demand). And if their ratio is close then it means there is no visible change in price of the coin or token eg ratio 1:2.

6/ Rate of Release...I spoke about it using #bitcoin halving as an example, you don't want to buy a coin that releases to the market every week do u?? Lol. You can find this in the white paper or search the coin or token website. It is usually written under the emissions watever.

7/Amounts of tokens locked and when it will be unlocked.

The final one is the utility and value ...what problem does it solve?.
Anyways any project can write anything as utility but we all know majority lie.. so after all these if I am convince by the project I go ahead and buy and then pray that the team behind it are OK.

Thanks for reading , do well to like, retweet and drop your comments.