Performing market research for initial coins offers (ICO): a guide
The increase in cryptocurrencies has led to an increase in innovative projects, many of which offer new investment opportunities for possible investors. However, before investing in any asset or digital project through an initial currency offer (ICO), it is essential to carry out an exhaustive market investigation.
In this article, we will explore the steps involved in carrying out the market research for ICO and we will provide a complete guide on how to evaluate the viability of an ICO before investing your money earned so much effort.
What is an initial currency offer?
An initial currency offer (ICO) is a fund collection model used by blockchain -based projects to collect investors’ capital. In exchange for their investment, participants receive a new digital or Token currency that represents the property in the project. ICOs have gained popularity in recent years, with many successful projects launched through this mechanism.
Why do market research?
Market research is crucial when investing in an ICO because it helps you make informed decisions about your investment. Here are some reasons why:
- Understand market demand : Before launching an ICO, investors must understand the demand for a particular cryptocurrency or token. A well -investigated ICO will have a clear understanding of the target audience of the project and its willingness to invest.
- Evaluate the fundamentals of the project : Investigate the Team, Technology and the Business Plan of the project can help you evaluate your successful potential.
- Evaluate market trends : Understand the current state of the cryptocurrency market and any trend or challenge that the industry in front of its investment decision can be reported.
Steps to conduct market research for ICO
Market research for ICO implies an online research combination, networks with experts and data analysis from various sources. Here is a step by step guide:
- Define its objectives : Before starting the research process, define what you are looking for in an ICO. What kind of project is interested in? What kind of investment opportunities do you want to capitalize on?
- PERFORM ONLINE RESEARCH :
* Websites: Cointegraph, Coendesk, Cryptoslate and other cryptocurrency websites of good reputation can provide valuable information about the latest developments in the industry.
* Forums: Online forums such as the R/Stack Exchange cryptocurrency cryptocurrencies can offer a lot of information from experienced investors and experts.
* Social networks: Follow influencers, analysts and journalists who cover ico to stay informed about the latest projects.
- Network with experts
: communicate with industry professionals, researchers and experts in the field to gather successful ICO information. Assist to conferences, meetings and web seminars to connect with people who can provide valuable orientation.
- Analyze data :
* CoinmarketCap: This website provides detailed information on the cryptocurrency market, including price graphics, negotiation volumes and market capitalization.
* Coingcko: similar to CoinmarketCap, this platform offers a complete description of the cryptography market, including prices, transactions and other relevant metrics.
* Whitepapers: Check the whites of successful ICO whites to understand their technology, business model and possible use cases.
- Evaluate the fundamentals of the project :
* Team: Evaluate the experience, skills and reputation of the team in the industry.
* Technology: Evaluate the project technology battery, including its scalability, safety and usability.
* Business Plan: Check the project business plan to ensure that it provides a clear vision for growth and profitability.
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