07-23-2021, 01:09 PM
How to DYOR - Fundamental analysis
<!-- SC_OFF --><div class="md"><p>I think this is a good opportunity to share how I do my fundamental analysis (DYOR) since:<br/> - many newcomers have joined the cryptospace and CC<br/> - most crypto-assets are on discount<br/> - its been a long time since receiving constructive criticism and I'm open to update some stuff if necessary </p> <p>This material is collected by plenty of previous posts and tailored to my needs. </p> <h1>Fundamental Analysis</h1> <p><strong>Where?</strong></p> <ul> <li>White paper</li> <li>Website </li> <li>GitHub Development<br/> - Is engineering team active?<br/> -Check dates of updates</li> <li>Roadmap<br/> - Is it realistic/achievable?<br/> - Have the failed deliver what was promised on the past dates?</li> <li>Social Media<br/> - Linkedin<br/> - Twitter<br/> - Reddit<br/> - Telegram<br/> - Google “[insert coin name] scam<br/> - Are they constantly announcing partnerships? If they are frequent low quality posts, I assume they are just trying to pump the market and I'll avoid it.<br/> - Are the users hostile towards people who are critical of their project, or who are asking questions? If it is a brainwashed, angry, subreddit that can't have any questions, I usually try and avoid.</li> </ul> <p>​</p> <ol> <li><strong>The problem</strong><br/> - What problem are they addressing?<br/> - Why is it important to solve this problem? </li> <li><strong>The Solution</strong><br/> - Why are they using the blockchain - does it add value here?<br/> - What are the pros and cons to using the blockchain here and why would the blockchain improve the current alternative? (right now blockchains are slow and costly in most cases)<br/> - Does this project require a new technology to be built<br/> - What is their proposed solution to the problem?<br/> - Are there other solutions to this problem?<br/> - Why is this solution better than other solutions at addressing the problem?<br/> - Has the solution been explained clearly and succinctly?<br/> - Can you describe the solution in simple words? Is this solution live and usable?</li> <li><strong>Tokenomics</strong><br/> - What was the initial distribution of the coin?<br/> - How are new coins created?<br/> - Is there a max cap? If so, what % of coins are created already? If not, oh boy... What is the vesting schedule?<br/> - What is the market cap?<br/> - How centralized/decentralized is the coin? Is it decentralized at all?<br/> - Could someone turn it "off" if they wanted to?<br/> <strong>- What are the demand factors of the token??</strong></li> <li><strong>The Team</strong><br/> - Never buy when the team is non doxxed (except for bitcoin)<br/> - Have they ran a successful company before?<br/> - Where have they worked before?<br/> - Does this team have the ability to build this technology?<br/> - Are their engineers published in this industry?<br/> - Do they have product managers and customer support?<br/> - Can the management team implement this solution?<br/> - How does their previous experience relate to the opportunity?<br/> - Why are they qualified to implement this particular solution and deliver it to market?<br/> - What is missing from their team?<br/> - How “hungry” is the management team?<br/> - Doesn't shill about the price of their token on a constant basis. Heavily advertises their whitepaper/their "realistic" roadmap.</li> <li><strong>The Market</strong><br/> - How large is the overall market?<br/> - Which exchanges can I use to trade it.<br/> - Check the volume, liquidity.<br/> - To which Coingecko category does this project belong?<br/> - How large is the market segment being targeted?<br/> - Who will be the customers?<br/> - How will they get people to use their product?<br/> - Why will people use this product?<br/> - What do people use now?<br/> - Why will people switch from their current product?</li> <li><strong>The Competition</strong><br/> - Market cap of top competitors How is their solution/product differentiated from the market?<br/> - What technologies may compete with theirs in the future?<br/> - What is their unique value proposition?<br/> - Are there any barriers to entry that will make it difficult for competitors to enter this market? - - What will new entrants to this space do? How will this team respond?</li> <li><strong>Transparency</strong><br/> - Has anyone ever seen their product?<br/> - Do you know how their product will work or is it vaporware?<br/> - Do they have a github where people can go and check their code?<br/> - Does the team have a Slack channel where you can go and talk to members of the team?<br/> - How responsive is the team?</li> </ol> <p><strong>A.</strong> Fundamental analysis answers to the question: <strong>WHAT should I buy?</strong><br/> <strong>B.</strong> Technical analysis (intelligent DCA): <strong>When should I buy?</strong><br/> <strong>C.</strong> Portfolio allocation/diversification (have some basic understanding to create a balanced portfolio): <strong>How much should I buy?</strong> </p> <p>​</p> <p>Combine <strong>A</strong>, <strong>B</strong>, <strong>C</strong> with some <strong>patience</strong> and I guarantee you that you won't regret it.</p> <p>Respect your hard-earned money!</p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/Actnaou"> /u/Actnaou </a> <br/> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/opmq5x/how_to_dyor_fundamental_analysis/">[link]</a></span> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/opmq5x/how_to_dyor_fundamental_analysis/">[comments]</a></span>Kind Regards R
<!-- SC_OFF --><div class="md"><p>I think this is a good opportunity to share how I do my fundamental analysis (DYOR) since:<br/> - many newcomers have joined the cryptospace and CC<br/> - most crypto-assets are on discount<br/> - its been a long time since receiving constructive criticism and I'm open to update some stuff if necessary </p> <p>This material is collected by plenty of previous posts and tailored to my needs. </p> <h1>Fundamental Analysis</h1> <p><strong>Where?</strong></p> <ul> <li>White paper</li> <li>Website </li> <li>GitHub Development<br/> - Is engineering team active?<br/> -Check dates of updates</li> <li>Roadmap<br/> - Is it realistic/achievable?<br/> - Have the failed deliver what was promised on the past dates?</li> <li>Social Media<br/> - Linkedin<br/> - Twitter<br/> - Reddit<br/> - Telegram<br/> - Google “[insert coin name] scam<br/> - Are they constantly announcing partnerships? If they are frequent low quality posts, I assume they are just trying to pump the market and I'll avoid it.<br/> - Are the users hostile towards people who are critical of their project, or who are asking questions? If it is a brainwashed, angry, subreddit that can't have any questions, I usually try and avoid.</li> </ul> <p>​</p> <ol> <li><strong>The problem</strong><br/> - What problem are they addressing?<br/> - Why is it important to solve this problem? </li> <li><strong>The Solution</strong><br/> - Why are they using the blockchain - does it add value here?<br/> - What are the pros and cons to using the blockchain here and why would the blockchain improve the current alternative? (right now blockchains are slow and costly in most cases)<br/> - Does this project require a new technology to be built<br/> - What is their proposed solution to the problem?<br/> - Are there other solutions to this problem?<br/> - Why is this solution better than other solutions at addressing the problem?<br/> - Has the solution been explained clearly and succinctly?<br/> - Can you describe the solution in simple words? Is this solution live and usable?</li> <li><strong>Tokenomics</strong><br/> - What was the initial distribution of the coin?<br/> - How are new coins created?<br/> - Is there a max cap? If so, what % of coins are created already? If not, oh boy... What is the vesting schedule?<br/> - What is the market cap?<br/> - How centralized/decentralized is the coin? Is it decentralized at all?<br/> - Could someone turn it "off" if they wanted to?<br/> <strong>- What are the demand factors of the token??</strong></li> <li><strong>The Team</strong><br/> - Never buy when the team is non doxxed (except for bitcoin)<br/> - Have they ran a successful company before?<br/> - Where have they worked before?<br/> - Does this team have the ability to build this technology?<br/> - Are their engineers published in this industry?<br/> - Do they have product managers and customer support?<br/> - Can the management team implement this solution?<br/> - How does their previous experience relate to the opportunity?<br/> - Why are they qualified to implement this particular solution and deliver it to market?<br/> - What is missing from their team?<br/> - How “hungry” is the management team?<br/> - Doesn't shill about the price of their token on a constant basis. Heavily advertises their whitepaper/their "realistic" roadmap.</li> <li><strong>The Market</strong><br/> - How large is the overall market?<br/> - Which exchanges can I use to trade it.<br/> - Check the volume, liquidity.<br/> - To which Coingecko category does this project belong?<br/> - How large is the market segment being targeted?<br/> - Who will be the customers?<br/> - How will they get people to use their product?<br/> - Why will people use this product?<br/> - What do people use now?<br/> - Why will people switch from their current product?</li> <li><strong>The Competition</strong><br/> - Market cap of top competitors How is their solution/product differentiated from the market?<br/> - What technologies may compete with theirs in the future?<br/> - What is their unique value proposition?<br/> - Are there any barriers to entry that will make it difficult for competitors to enter this market? - - What will new entrants to this space do? How will this team respond?</li> <li><strong>Transparency</strong><br/> - Has anyone ever seen their product?<br/> - Do you know how their product will work or is it vaporware?<br/> - Do they have a github where people can go and check their code?<br/> - Does the team have a Slack channel where you can go and talk to members of the team?<br/> - How responsive is the team?</li> </ol> <p><strong>A.</strong> Fundamental analysis answers to the question: <strong>WHAT should I buy?</strong><br/> <strong>B.</strong> Technical analysis (intelligent DCA): <strong>When should I buy?</strong><br/> <strong>C.</strong> Portfolio allocation/diversification (have some basic understanding to create a balanced portfolio): <strong>How much should I buy?</strong> </p> <p>​</p> <p>Combine <strong>A</strong>, <strong>B</strong>, <strong>C</strong> with some <strong>patience</strong> and I guarantee you that you won't regret it.</p> <p>Respect your hard-earned money!</p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/Actnaou"> /u/Actnaou </a> <br/> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/opmq5x/how_to_dyor_fundamental_analysis/">[link]</a></span> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/opmq5x/how_to_dyor_fundamental_analysis/">[comments]</a></span>Kind Regards R