Hi everyone! New to the Hive Network and trying out my writing. My target audience is people who are newer to crypt5o without much knowledge of blockchain tech. Would love to hear your opinions.
I would bet that most people who are reading this believe in the future of crypto currency and blockchain technology or at the very least are interested in it as an investment. However, even if you are a die-hard believer in crypto, no one can ignore how hard it is to actually get it right when it comes to investing in it.
Yes, Bitcoin and Ethereum have withstood the test of time at this point and are likely to bounce back from the current lows eventually. But, what about the new projects that are being created and updated every day? Surely there must be some out there that will be able to make it in the space and become major players while having the chance to explode in value from what they are now. These are the projects that have the potential for the greatest returns. Although, they also have the potential for the greatest losses.
It is for the reason above that picking the right lesser known, smaller market cap crypto currencies to invest in is the most challenging of tasks. If it can be done at all, it requires time, effort, luck, and most importantly, research. I realize that "do your own research" is something that is much easier said than done so here is my non-technical breakdown to possibly aid you with this process.
So, what makes a good crypto?
A good crypto needs a solid use case. This means, well, it actually has to make sense to use. For example, Bitcoin is a store of value, Ethereum is a massive, shared network to build applications on, and Dogecoin (or Banano ;)) is a simple and fast peer to peer payment system. Whatever the crypto is claiming to be, make sure that it actually makes sense to you and stands out from other projects attempting to do the same thing.
A good crypto needs transparency. What I mean by this is, an open development team with real credentials such as degrees and work experience in computer science or blockchain. Another good sign is, the developers being active on their designated social media channels such as Reddit and Discord. A good dev team regularly hosts live streams or Q&As to give updates on how the project is going and will as consistently updates the roadmap or whitepaper (a whitepaper is an outline that distills the premise of a project down into one or two short paragraphs). The whitepaper for a project should be easily assessable to everyone and written using a high quality of writing.
A good crypto needs a good community. This may be the most important aspect of what makes a project succeed. The community should be helpful and supportive to each other. Accepted toxicity in a community is never a good thing. The community should be coming up with well thought out plans to promote the project in positive ways. A good example of this is setting up charitable events to help a certain cause or tipping each other using the coin for posting relevant content. My example of a red flag in a crypto community is setting up and planning for a "big pump" or feuding with another crypto community.
One thing that I don't see quite as important as many others do in a project is, marketing. I've always held the belief that "good products sell themselves". I think this applies to everything in life, even crypto.
Well, there you have it. Those are my tips for possibly finding unknown projects that could turn out to be hidden gems. I put a strong emphasis on "could". It is important to realize that even if you do everything right in terms of research, the project could still fail. The crypto space is still the wild west of finance in a sense and projects with all the potential in the world fail every day.
But, once in a while, a project succeeds and becomes something special. The great Bitcoin was once worth only pennies and the earliest investors had no idea what it would become. I believe that projects that can have the same type of rise are out there and I will continue to try and find them. I hope you keep trying to find them too.
If you made it this far in the article, thanks for reading. All of your support means the world to me. I wish you the very best in all your crypto endeavors and hope you can find any part of this article helpful. Please feel free to leave a comment and tell me what you think. I always love hearing new thoughts and perspectives.
As always, have a good one,
Crypto_Creech
Check out my other blogging platforms and support if you feel like it! Trying to build my blogging presence.
Publish0x - https://www.publish0x.com/@Creech
