We always emphasize the importance of not accepting every idea about cryptocurrencies and NFTs on social media. Also, we are mentioning that conducting enough research to understand the nature of the crypto/NFT world is very critical.
Generally, we call conducting research in the world as ‘DYOR’ that stands for ‘do your own research’. Now, we are explaining the necessary steps to direct you for doing your own research in this virtual world!
Tokenomics is the issue which covers the supply and demand characteristics of a blockchain-based project, like a cryptocurrency or an NFT project. For investing in a proper and right crypto or an NFT project, you should consider tokenomics.
Firstly, you can research a project’s situation in the market. If the value of the project increased or increases day by day, you can consider the project as a possible investment, but there are also different criterions for tokenomics.
With the trend in the crypto/NFT market, you can learn the utilities of virtual projects. You can ask that ‘’Can I get any special feature by purchasing the cryptocurrency or NFT?’’. If the question gets a positive answer, you can consider the project for your investment.
Also, we can mention the importance of supply in crypto/NFT projects. Generally, low supply shows that the share in the project is scarce. On the other hand, long-term investors can prefer cryptocurrencies/NFTs with low supply.
Researching the Details of the Project
Of course, you must visit the websites of crypto/NFT projects for DYOR. You can get all details about the projects from their websites. Also, their social media accounts can be followed to know them in a good way.
In the projects’ websites, you can search an ‘about us’ button. If you want to learn about a project, you should learn about the project’s team; how many people are working on the project, what are the roles of the team members, how many years of experience are found within the project, and so on. High success in the team can show that the project can reach a high trading volume.
Like the ‘about us’ button, you can consider the roadmap of NFT projects before giving your money to them. As in daily life, we should realize the importance of being planned and putting some goals in the virtual world. Hence, you can check the future plans of the crypto/NFT projects and possible goals before dealing with them. If you cannot encounter an appropriate future plan(s), you can give up the project.
Learning the Community & Checking the Communication
As you know, digital projects shine like stars with their communities and activities on the internet. Hence, you must consider this circumstance for DYOR.
For understanding whether an NFT/crypto project is a scam, you can learn about its community. Large communities with no bots generally show that the project is secure and trustworthy.
To know a community, you can visit the social media accounts of digital projects; you can especially check Twitter, Discord, and Telegram accounts. If a project’s social media is rich, it means that it can deserve investments. The word of ‘rich’ stands for regular updates, nice comments to community members, and effective communication.
Other Key Points
In addition to the above suggestions, you should learn the scam types in the virtual world because you will encounter them a lot. Furthermore, you should find safe sources for DYOR, and you can prefer our website to reach current and true news and informative articles/guides.
At that point, we must emphasize that you should not believe everything on social media, and you must understand that DYOR is a continuous process. In other words, people in the crypto/NFT space must conduct research regularly about the projects.
Being curious and acting like a researcher are always efficient ways to become a successful investor.