Market research for initial coin 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 you invest in an asset or digital project through a first currency offer (ICO), it is important to carry out a comprehensive market investigation.

In this article we will examine the steps to carry out market research for ICO and offer a complete guide to evaluate the profitability of an ICO before you have invested your money.

What is an initial currency offer?

An ICO (first currency offer) is a fund compensation model used by blockchain -based projects to collect investors’ capital. In return for your investment, the participants receive a new digital or token currency that represents the property in the project. ICOS has won popularity in recent years and many successful projects have started through this mechanism.

Why do market research?

Market research is of crucial importance when investing in an ICO because you can make well -founded decisions about your investment. Here are some reasons why:

• Understand the market demand : Before the start of an ICO, investors must understand the demand for a certain cryptocurrency or tokens. A well -studied ICO will have a clear understanding of the target group of the project and its willingness to invest.

• Rate the basics of the project : Examine the team, the technology and business plan of the project can help you to evaluate your successful potential.

• Rate market trends : Understand the current status of the cryptocurrency market and every trend or every challenge that the industry can be reported before your investment decision.

Steps to carry out market research for ICO

Market research for ICO implies an online research combination, networks with experts and data analyzes from various sources. Here is a step -for -step instructions:

• Define his goals : Define before the start of the research process, according to which you are looking for in an ICO. What kind of project is interested in? What kind of investment options do you want to use?

• Conduct online research

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* Websites: Cointegraph, Coendesk, Cryptoslate and other cryptocurrency websites with good reputation can provide valuable information about the latest developments in the industry.

* Forums: Online forums such as the cryptocurrency of R/Stack Exchange can offer a lot of information from experienced investors and experts.

* Social networks: Follow influencers, analysts and journalists who cover ICO to stay up to date through the latest projects.

• Network with experts

  : Communicate with experts, researchers and experts in this area to collect successful ICO information. Support for conferences, meetings and website to connect with people who can offer valuable orientation.

• Analyze data :

* CoinmarketCap: This website contains detailed information on the cryptocurrency market, including price graphics, negotiation volume and market capitalization.

* Coingcko: Similar to coinmarketcap, this platform offers a complete description of the cryptographic market, including prices, transactions and other relevant metrics.

* WhitePapers: Check the white successful ICO white to understand your technology, your business model and possible application cases.

• Rate the basics of the project :

* Team: evaluate the experience, the skills and reputation of the team in the industry.

* Technology: Rate the project technology battery, including scalability, security and user -friendliness.

* Business plan: Check the project business plan to ensure that it offers a clear vision of growth and profitability.

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