ERC 20 token is one of the most used Ethereum token for ICO. ERC stands for Ethereum Request for Comment and 20 is number that was assigned for this request.
Today multiple exchanges suspend ERC 20 token due to BatchOverflow bug. Even there is bug many ERC 20 token still rising. OmiseGO rises 12%, Aragon rises 9% and many more.
You can visit this link to see details
https://etherscan.io/tokens?sort=percent_change_24h&order=desc
There are 77648 tokens created. The question is how to choose and trade this token ?
Personally I do not prefer to trade ERC 20 token. The reasons :
- Everyone can create the token without build infrastructure, token creator just use ethereum infrastructure available
- Most of Token has no specific function or purpose
- Without initial investment to build the platform, token creator will focus on marketing and then dump the token after ICO.
- Most of ICO is ended without listed at exchange
I trade ERC 20 token for short term trading only and never hold the coin for long term.
Before buy the token I will analyse :
- White paper
Most of white paper is copy paste. So this part is little bit tricky - Social Media
For example Vitalik Butterin mentioned in Twitter that TRON white paper is copy paste, so you can decide wheter to buy or not - Never buy on ICO, trade at major exchange
To be listed in major exchange, coin creators are charged up to $ 1 million per ICO, if the coin creator have $ 1 million they have enough money to realize the roadmap, without enough money the ICO will ended soon (You can read detail here https://www.businessinsider.sg/cryptocurrency-exchanges-listing-tokens-cost-fees-ico-2018-3/?r=UK&IR=T)
My other posts :
https://steemit.com/introduceyourself/@redstrawberry/me-and-my-crypto-trading
https://steemit.com/cryptocurrency/@redstrawberry/gain-53-on-ada-cryptocurrency
https://steemit.com/bitcoin/@redstrawberry/it-s-time-to-buy-verge-coin-xvg
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