As a new member of the crypto community I was amazed at the investments I seen some of the popular ICO's received. Some of these ICO's offered to deliver you a bag of sand from mars for your investment. Not literally of course. As a software engineer I was interested in bitcoin since it was 50$ and when it shot up to 120$ I thought damnn I missed my chance to get some...
The recent explosion of crypto coins attracted a lot of attention, everyone seems to be looking for the next bitcoin and some of the ICOs are exploiting this by obtaining way more in donations that a startup needs. I think most, not all will fail to scale fast enough and soon crash, and so will your investment.
The crypto space is a relatively small but fast growing community with a lot of newcomers with little or no technical knowledge, as an engineer I myself find it tough sometimes to understand some of the technology and don't pretend to know it all. From doing my research I realised quite a few media sources are largely influenced by ICO's and sometimes try to push different altos recommending them as having huge potential... Often selling an ethereum token that has no use or association with the ICO's offered technology.
I guess what I'm trying to say is that everyone new to this space should spend some time learning the technology behind the coins, avoid looking at the graphs too much, past events/prices have no relevance to the future. When told this is the next bitcoin and you should invest, question it. Then question it again. Make sure you understand what you are buying. Don't feel like you need to invest your money because a big youtuber told you so. Most of the current YouTubers
are small time crypto enthusiast and they often get paid in tokens or other means to advertise their ICO's.
I would advise anyone interested in investing to read "The Five Rules For Successful Stock Investment" it is a good read to start off and a lot can be applied to trading crypto currencies.
Hi @altall nice to meet you. I really enjoyed reading your introduction.
Can you give me an advice? I am not into technology but would like to learn enough to (better) understand cryptocurrencies. On the other hand I am familiar with fundamental analysis and investing.
Can you tell me how to improve knowledge? What to learn?
@cryptogirl1 I usually try to read the whitepaper, try to examine what the company is offering and if it looks like a solution to an existing problem. Can you see mass adoption for this technology. Is the blockchain really necessary? Then research the team and their previous projects, have they been successful in their previous roles.
Best way is to buy tokens you can be passionate about, created by people you like or a technology you can image yourself using in the future.
I think companies that are coming up with solutions for mass adoption will be successful, next step for crypto is simplicity for everyday user, just like with the first PC the DOS command line was replaced by the Mac's GUI
I am analyzing coins the same way. Problem-solution, whitepaper, team, management etc. :-)
I thought on IT knowledge, programming language and that kind of things.