ICO tendencies 2018: How to make decent profit from the changing world of ICOs?
What comes to your mind if you think of ICOs? Big profit, take part in something revolutionary, tell your friends that you’ve become an investor and so on. It’s all true, but ICOs are changing, nowadays ICOs are characterized by maximum caps, oversubscriptions, overloaded whitelisting that prevents you from making money. There are hundreds of ICOs in every month, making the best pick is getting harder and harder, you haven’t time, you lack the expertise, you are uncertain about the lots of scams heard from friends or in the media.
/ If you want to be part of a growing community, would like to make decent profit again from ICOs, JOIN US: https://discord.gg/edPFby5 Telegram: https://t.me/mkkannouncements /
In this article, we will take a close look at these tendencies and offer you an alternative, easier way to take part in ICOs.
1.)Scams
On one hand, with an ICO, companies can earn a lot of money quickly and simply by launching an effective PR- and marketing campaign. They know it and they take advantages of it. Unfortunately, it often happens that a company launching an ICO, earns millions of dollars and the product will never be done. Beside of the PR and marketing campaigns, today it is getting popular to launch lending platforms which promise huge profit with very low investments (EthConnect, BitConnect, Neoconnect for example).
On the other hand, scammers are very active! Let me show you an example! Seele’s first whitelist registration was a chaos, too many people wanted to register at the same time and the platform broke down. In their Telegram group, people started to complain and that was the point when scammers became active: almost third of the messages was about „guys, there is nothing to worry about, send the ETH to this address and everything will be fine” and that is just one story, we can identify the same every single day.
So, how can we tackle scammers?
• We need to be prudent: the company, the admins will never ask us to send money to them, especially during an ICO or whitelist.
• It’s worth checking what e-mail address or nickname we get messages from. There are several methods to create fake company email address, or impersonate an admin of a Telegram group.
• It is also very important to know what you want to invest in. You need to examine the project, the team, the industry etc. However today, in several cases, it is enough to have a hyped project – without any innovative solution – that are expected to achieve significant growth.
We publish some facts that you need to take into account in order to avoid scams:
• Team. If the members, their roles can’t be found on the website or in the whitepaper, or it’s fake, then this company and the project is definitely a scam. It is also important to know what experience the team have, which company they worked for earlier, whether their knowledge is relevant.
• You must avoid projects that promise huge profit, but fail to give detailed information. It’s a minimum expectation to have a detailed, feasible roadmap.
• Whitepaper. Whitepaper is a detailed document that contains every relevant information about the project: the problem, the solution, the technology, the team, the roadmap, the implementation. If any of the above listed is missing, you have to be careful.
• Media hype, communication activity of the team. More communication, more helpfulness means more trust.
• Knowing advisors and early-investors. If a big international investment company/investor or a well-known crypto
expert is behind the project that gives credit and trust to it.
2.)Maximum caps
Nowadays popular ICOs define individual investment cap with the aim of providing opportunity for everyone to take part in the project. Of course, it increases the trust, but from a perspective of short-term investment this is not so beneficial. For example, the promising project, WePower had a 0.2 ETH maximum cap/investor.
3.)Private- and pre-sale
It’s worth mentioning pre- and private-sales taking place before the public crowdsale. This phase is primarily for big investors/investment companies; experts, businessmen that gives the project a bigger value than the individual crypto enthusiasts – be it money, knowledge, network or PR. This phase is characterized by huge minimum caps, it can reach thousands of dollars. Why is it bad for individual contributors? It’s simple: we can’t have so much money, therefore we won’t have the opportunity to invest when the price is much lower than the ICO price will be later, so we won’t even have bigger profit after the coin hits the exchanges.
4.)Overloaded registration process
It is common that before investing in an ICO, you have to register on the whitelist (this is the so called KYC). You have to give your personal data, the amount that you would like to invest in the project and in particular cases, you also have to upload a copy of your passport/ID. These are acceptable and understandable requirements, the problem is that we experience in 2018 that the ICO projects are so hyped, so many people wants to invest that you can’t even register on the whitelist. For example, Seele’s whitelist registrations platform - which is technologically a very promising project – broke down in minutes after too many people wanted to register at the same time. We can add to this tendency the fact that more and more companies require us to fill in a test about the project in order to measure the trust, the real knowledge of the people that want to invest. As an example, see below the questions of Seele during the whitelist registration – it was not so easy…
5.)ICOs closed in minutes
The outstanding hype around a project results that companies collect the money during the ICO in few minutes, so a lot of people miss out. BAT (Basic Attention Token) gathered 35 million USD in 35 seconds, while Gnosis collected 12 million USD in 10 minutes.
To summarize the information above, the problems are the following:
• Finding the ICO that is really trustworthy and profitable requires time, knowledge, energy and information.
• If you got this one, it’s sure that thousands of other people have also found it, so there will be maximum caps and you can’t invest the money you want.
• As an individual investor there is no opportunity to invest during the pre- and private-sale phase because of the high minimum caps and the lack of network.
• If the project is really popular, it can be that too many people would like to invest at the same time, so you will miss out.
THE SOLUTION: MKK POOL (JOIN US: https://discord.gg/edPFby5 ; Telegram: https://t.me/mkkannouncements)
As a result of the facts mentioned above, the principle of cryptos and blockchain is “violated”, namely the decentralization. But, there is no need to worry, with building a community or “pool” all of the negative tendencies can be solved.
As a member of a pool, you are able to invest in ICOs as part of a big community that has a big equity fund. Below, we summarize the advantages of it:
• The creators of the pool are looking for trustworthy and profitable ICOs and try to make a deal with them. They do the work, what you need to do is follow their announcements and do your own research before you invest. With this, you can avoid scams and get reliable ICOs.
• Since it is in the private- or pre-sale phase, there are no maximum caps. You can invest as much money as you want and you get lower prices than the ICO price will be later, so you will make bigger profit.
• Usually, a deal also contains some bonus, so every member of the community/pool get “X” amount of tokens for free.
• You don’t need to go through any KYC or whitelist processes! So, you will never miss out an ICO because of the overloaded registrations platforms.
We are convinced that pools are the only solution to the negative tendencies of ICOs in 2018! That’s why we launched a pool, called MKK POOL on Discord with the aim of providing everyone opportunity to participate in making ICOs great again. If you feel the same about ICOs, want to be part of a growing community, would like to make decent profit again from ICOs,
JOIN US: https://discord.gg/edPFby5.
Telegram: https://t.me/mkkannouncements
In our channels, you can find all important information and of course, the admins are more than happy to answer your questions.
Great post! I appreciate you take the time of writing this. There is so many scams in ICOs, and regulation is changing day by day.
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Great summary! Thanks!