In the modern era of crypto and technological enhancements, ICOs or Initial Coin Offering usually caught up in the eye of a regular crypto investor. ICOs are the great way to collect funds, as it backed up by the crypto technology to transfer funds — which allows anyone to collect money anonymously.
There are many ways you can figure it out if the ICO you are investing in is genuine or not. Still, from these many of the method, you can only acquire things which could help you to figure out if they are real or fake.
A recent study shows that 80% of the ICOs are scam and only 8% of remaining reach the reputation exchangeable coin. There are a couple of reasons behind the remaining 12% that doesn’t make through, few of them include bearish market bleeding and not others are not enough reaching Softcaps of the offerings.
So here are there the ways you can determine the authenticity of an ICO. Many of them included are from my own experience.
Reach out Online Form and Community of Similar Interest
Online forms are best to discuss about things. You may find people already invested into these ICOs and could tell you about their own personal experience. Be aware that scammers are also already present there, promoting and saying good about the service. Look members with higher reputation.
Reach out to the online community, form like bitcoin talk, Reddit, Quora —and ask some expert what their opinion on that project, before you actually dive into it.
⚠ Scammers are even smarter. They buy accounts of reputed users on forms like bitcoin talk and try to dilute scams, promoting fake ICO. You have to be aware of this too.
Reach Out for the Team Members
A genuine developer or team behind will always appreciate the question asked by the community. As it can help them to improve the platform for future updates.
- Look for the team members real-life profile such as Linkedin, Facebook and lookup for the previous projects they have done.
- Don’t hesitate in contacting team member before investing, ask them handful of questions and your doubts.
I even saw some cool project where few developers agree to interacts with the investors and even video call them to clarify doubts. Me personally, I ask the team members some odd questions just to make sure if the team is genuine or not.
Ask Yourself: Are you Investing in Money Or Technology?
Are you the one who like to invest just because the price is pumping and you don’t give damn about whats behind. Well, a majority of people do. And its nothing wrong— People see Money, they are lazy towards understanding the technology or reading ‘White Papers’ and other info that the ICO has offered. But the truth is, they are the one who falls into the trap more likely than the ones who are very conscious of their managings.
Follow Them on Every Single Social Platform
Follow them on every single social platform — Following them on social will ensure that you never miss an update. Wait for a week and observe the updates carefully… Are they are just indirectly asking for money and filling their wallets? or they are overemphasising on something irrelevant. That might be suspicious.
Be upto date with everything they announce. Who know that it might later help you to realise something suspicious is going on and help you to withdraw funds quickly. You have to be very conscious about these things too.
Extra Rewards And Fast Returns Are Just Scam
Emphasising on Extra Rewards might be a trap. Unless the platform is solid and sustainable. And uphold a strong project behind it. Something like “300% profit or 2 month ROI” are just hoax.
Steemit one of the successful platform, uphold decentralized platform running Steemit blog platform and Dtube for video sharing — helping creators to earn reaching to the right audience.
Look for things like Roadmap, Whitepaper, soft cap and hardcap seriously of the ICO you are willing to have interest in.
Look For How Popular That Offering Is
Offerings with some good consolidate project behind will automatically catch up in the eye of big blogs and News media. They are the ones which going to be very much popular and authentic. Obviously, they’re going to be a big community of investors with whom you can team up with. But you should always consider other points too.
Tokens Like ERC20 Works Best
Some of the great coins including EOS, Binance Coin, Tron works on the ERC20 token. These are the token which works on the ethereum blockchain as a smart contact where no one can control it — truly said to be Decentralized. The developer who wrote the code can only upload it once and then the smart contract works automatically.
What’s interesting about these tokens being a part of smart contact is that you can control the smart contract from 3rd party client too(like remix, myetherwallet) — Means if the Website goes offline or hacked, your funds will remain secure and you can withdraw your money using 3rd party clients anytime.
Example of some good ERC20 Projects like these are: Gandhiji, POWs, VeChain, and more.
I’ve Investing In Fake ICO, How I Get My Money Back?
You might be the one who has felled in some of these traps — most of the crypto investors in the very beginning caught up in the eyes of these ICOs. There are few things that might help you to get your money back.
1)Quit as soon as possible: If you have even a slight doubt on something reach out to the support, and ask your doubt. But if something sounds fishy, withdraw your funds as soon as possible.
2)Never fall for another trap: They always come with scam backup plan too.
Something might sound like- “In beginning returns are good but a month later it suddenly stopped and they announced website is hacked, then they introduced another backup plan and asked to transfer the funds to recover the initial funds”. This is so sketchy and fake.
Most of the times they introduce another scam program which one can fall easily. And most of the initial investor fell for this ease for money recovery offering. You should not entertain in any of these activities.
4) Accept that you have lost your money: Accept to the fact that you made mistake, humans learn from their mistake and mistakes happen.
Conclusion
Many of the ICOs are a really good startup, with the excellent support team, workspace and the project behind it is consolidated. Still being sceptical is the key to success here — token buyers should educate themselves and conduct due diligence before deciding to contribute to some ICO project.
You have to keep learning thing in this immortal field of cryptoshere. And don’t worry if you fell in any of these, don’t think its dead end, I personally lose more than 5 BTC — after realizing some of these facts which I have described here. Hope it could helpful or motivational for someone who is going to dive into investment or have already lost funds.
Good Luck with your investments ? ??
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??Prashant sir u R the upcoming youth icon in the field of cryptocurrency……????????this for u
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