There is thousands upon thousands crypto projects and more are coming almost every day. The research and due diligence is essential.
Know your crypto, and also know what you want your crypto to do. Is it a gaming token, is it a meme coin? Does it actually do something beside price action, does it have utility?
I like to start my research with the core information every crypto project (should) provide – the “white paper”
White paper is basically the intention statement, business plan and road map, at minimum it should contain “tokenomics” – basic data like max supply, distribution, timeline. No white paper, no interest from me.
Spend 20 minutes on the white paper before spending a dollar on any project.
Background informations like people behind the project, past and present issues, community type, size and involvement are important.
I also want to know current and past market cap, price performance, charts.
You can find most these information online, on the crypto website, news servers and research platforms like coinpaprika.com, coingecko.com, cryptoslate.com, coinmarketcap.com and others.
Social media like facebook, X, telegram, youtube can be good sources of info at the times, but they also contain a lot of “noise” that can mislead you into buying something wrong, be aware of quick gains claims, the moon calls and FUD (fear, uncertainty, doubt)
If not sure, i recommend to limit your crypto buying trough well established exchange like Coinbase or Binance, because they already did most of the due diligence and coins and tokens listed are vetted by professionals.
And at last, one of great way to research a crypto is to use AI tools (Hi Claude) that can cut trough noise and provide you with most of relevant data in very short time.
📖 Continue reading: The Biggest Mistake Beginners Make → How to Buy Your First Crypto
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