Here are the key factors that our team uses to evaluate a crypto asset:
1. Project Research
The first step is to analyze cryptocurrencies. We consider their objectives as presented in the whitepaper. The whitepaper should outline the project’s mission and indicate in which direction a particular cryptocurrency will move. It will also list the issues it will address and what technology it will use.
An adequate whitepaper will contain information about the blockchain used, the team behind the project, the tokenomics system, and a detailed roadmap. It will also be easily accessible on the project’s official website.
2. Market Potential
To find the best cryptos with the most potential, we take into account their market capacity. This includes their total token supply, current price, market cap, and daily trading volume. Cryptocurrencies with a high market cap are usually less volatile, while a high daily volume shows that a certain cryptocurrency has decent liquidity. This indicates that its price will be more stable.
The total token supply will also play an important role in determining the scarcity and value of a certain cryptocurrency. For example, the best low-supply cryptocurrencies will have a higher scarcity, which equals higher demand. Conversely, cryptos with a high total supply usually have a lower value per unit.
3. Project Team Credibility and Transparency
A good cryptocurrency must have a good and transparent team behind it. This is why we check the credibility and track record of the developers behind each project. For example, we examine their past achievements to determine if they can successfully execute the project’s vision. We also use social media channels to check their transparency. A legit crypto project will have a significant online presence on social platforms like X (former Twitter) and Facebook. It will also have an official Discord channel and Telegram.
Since a company’s social media presence alone doesn’t indicate its legitimacy, we always monitor what the crypto community has to say about it.
4. Technology and Innovation
Technology and innovation are the factors that will set cryptocurrencies apart. By understanding the technology used, we get an insight into how crypto projects try to solve certain problems. With that in mind, we check whether they run on an existing chain, like Ethereum and Solana, or on their native chain. Blockchain’s architecture will also help us determine its security features, speed, and scalability.
5. Adoption and Use Cases
The best utility tokens will have compelling practical use cases. These may include retail and e-commerce transactions, governance, and cross-border payments. Other popular use cases include crypto gaming, providing access to DeFi and dApps, and supply chain management. A greater number of use cases equals greater long-term potential.
Adoption is another factor that we take into account, as it shows us how interested the crypto community is in a certain project.
6. Community and Support
Community support shows us whether a certain crypto project is built on hype alone or has staying potential. An active community will contribute to the project’s adoption and future growth.
Many crypto projects try to keep their users engaged by rewarding them for participating in the project’s development. Some distribute free coins and tokens to early investors via crypto airdrops, while others collaborate with industry experts. We always give preference to community-based projects that regularly communicate news and updates with their members via Telegram or Discord.
7. Price History and Market Sentiment
If a certain crypto project has a successful presale, there is a great chance that it will be listed on notable exchanges. Once it does, its price will automatically go up. However, since cryptocurrencies are volatile, the post-presale bull run might not last. This is why we always take price history and potential fluctuations into account.
For example, if a certain cryptocurrency experiences massive growth in a short period of time, only for its value to drop sharply, it’s a sign of a crypto bubble. This means that its price is driven by FOMO, hype, and speculation.
The same applies to its market cap and trading volume. If both continue to drop, this is a hint that a certain cryptocurrency has no future. This can also be a sign of a pump-and-dump scheme.
With that in mind, the market sentiment helps us determine whether a certain cryptocurrency will become a bullish or bearish investment.
8. Liquidity and Trading Volume
By analyzing liquidity, we can determine how easily a certain cryptocurrency can be sold and bought without drastically changing its price. High liquidity decreases investment risk because it reduces price slippage.
On the other hand, trading volume helps us determine market activity. A high trading volume indicates higher stability. If a certain cryptocurrency has a low trading volume, it suggests that it doesn’t have active supporters.
9. Compliance and Regulatory Changes
We always give preference to projects that adhere to crypto regulations and laws. We also give an advantage to projects that audit their smart contracts via third parties. To keep up to date, our team frequently checks global crypto regulations.
10. Security Measures
A good crypto project will use cryptography algorithms to ensure the integrity of its blockchain. It will also use security tools, such as multi-factor authentication, IDS, and DDoS. Some crypto developers will go a step further by keeping their users’ funds in cold storage.
11. Risk Assessment
Investing in cryptocurrencies comes with great risks. This is why our team analyzes each new coin/token to recognize the potential risks. To accomplish that, we use risk assessment methodologies, such as volatility metrics, regulatory and liquidity analysis, and security audits.
12. Long-Term Viability
To determine if a certain crypto project has long-term viability, our team analyzes its supply dynamics. This helps us to understand its total and circulating supply. We also evaluate its price history, market cap, and trading volume to help us determine its growth potential.
Conclusion — How Do We Keep Our Reviews Reliable and Current?
To keep our crypto reviews reliable, our team conducts in-depth research on each new coin/token. We analyze their whitepapers and roadmaps, check their tokenomics systems, price history, liquidity, and trading volume to assess their long-term potential, and pay attention to their use cases, technology, development team, and community.
All these factors help us to assess whether a certain crypto project is worth your time and money.