The popularity of the digital currency economy has greatly increased the popularity of the blockchain, and in addition to the fanatical pursuit, the blockchain project market has become a mixed place, with broken coins emerging one after another. But for investors, how to determine whether a blockchain project is gold or a bubble can be said to be very important. Here is an introduction to how blockchain projects look.
Blockchain project inspection:
Project details
1. Whether the information of the project team members is falsified; 2. Whether the official website has been filed recently; 3. Whether the total amount of the project is reasonable; 4. Whether there is excess issuance; clear.
product analysis
Type: application, platform, underlying technology
Corresponding analysis is carried out according to different blockchain projects to judge whether the project is suitable for development through blockchain technology, and compare the existing products in the industry for analysis.
Technical strength analysis
1. Whether the core technology is innovative and industry-forward; 2. Technical feasibility and implementation difficulty; 3. Whether the product type can give full play to the advantages of blockchain technology; 4. Whether the project issues a test network; 5. Whether the project is open source , General open source projects will be uploaded to github; 6. Which blockchain is based on for development; 7. Which consensus mechanism is used.
Team composition analysis
1. Whether there are big cows in the team; 2. Whether the team structure is scientific.
Refer to the blockchain project rating website
There are many rating websites, and the rating standards of each platform are also different. There may be a big difference between the ratings given by the same project on different platforms. At this time, we need to have a deep knowledge of the basic knowledge of blockchain. To understand, enough to have a certain ability of self-judgment.
direct communication
Last but not least. Whether it is a face-to-face roadshow, or a forum community or community communication, it can make people intuitively understand whether the initiator of this project is reliable.
Combined with the above inspection points, we focus on the analysis from the following three aspects.
1. Project inspection
The project is king. Only by doing a good job in project research and development and implementing specific applications will the ecology be better and the currency price will rise.
1. Whether the total amount of the project is reasonable and whether there is excess issuance
2. Is the distribution of project tokens reasonable?
Generally, the development team holds 10%-20% of the currency, which is too low, the team is not motivated enough, and no one is working. Too high, and the token is illiquid and easy to get caught. In addition, whether there are tokens reserved for ecological partners is also an important consideration. The core spirit of blockchain is collaboration. If the founding team is unwilling to share, then such projects may have to be careful.
3. Is the project development plan and development plan clear?
Including what pain points in what industry is the project targeting? Are there specific application scenarios? What is the problem to be solved? What solution is offered?
4. Project progress and implementation
That is, whether the project is developing on schedule as planned in the roadmap. Now many projects take money and do not work, and become air coins. We can judge whether the team is working through project announcements and code updates on github.
2. Technical strength
1. Whether the core technology is innovative and industry-forward
2. Technical feasibility and realization difficulty
3. Whether the product type can give full play to the advantages of blockchain technology.
According to the characteristics of blockchain technology, it guarantees that relevant information cannot be tampered with and is widely used. Typical application scenarios include property right registration and change, education certificate, financial insurance, asset transaction and circulation, etc. If the project exists in isolation from the blockchain technology, it should be noted that these projects are often difficult to implement specific applications, and will eventually prove to be a dangling scam.
4. Whether the project will release a test network
The project release test network will help investors to deeply understand the underlying technology of the project.
5. Is the code open source?
Generally, open source projects are uploaded to github. If it is not open source, it is extremely opaque, and platform developers can issue additional digital currency indefinitely, and in the end, it will become a purely worthless game of drumming and passing flowers.
6. Which blockchain to develop based on
Be sure to choose projects developed based on well-known public chains for investment, so as to ensure the development potential. For example, now everyone is more optimistic about EOS, which is suitable for the development of large-scale commercial DAPPs, so projects based on the EOS public chain may have a better future development; The projects developed by the public chain are relatively reliable to a certain extent.
7. Which consensus mechanism to use
For example, EOS currently adopts the DPOS consensus mechanism, which has significant value for commercial scalability; Ethereum adopts the POS consensus mechanism to shorten the time for reaching consensus to a certain extent and improve transaction efficiency; and the industry chain uses Pool on a large scale, which is a The multi-center business model developed by the mechanism is conducive to multi-party participation.
3. Team strength
1. Investing can be said to be investing in people, and a good team is half the battle.
2. Founder's background
3. Are there any big cows in the team?
4. Whether there are well-known consultants or well-known investors investing
If there are well-known bigwigs as consultants or well-known investors, it will also add a lot of points to the project. Now it is difficult for a project to be listed on the exchange without a well-known consultant team or investment institution platform. However, we must also beware of some big bosses such as Second Master Bao, who simply take money to stand on the platform and cheat a lot of leeks.
5. Is the team structure scientific?
At least legal advisors, industry consultants, project management committees, and third-party agencies should be included.
The above is an introduction to how blockchain projects look. The investment in blockchain projects is directly linked to the interests of users. Therefore, it is very important to determine whether a project is gold or a bubble. Awareness, if the project has investment doubts, it is necessary to do more market research and investigation.