4 qualities of an investable cryptocurrency

in bitcoin •  6 years ago  (edited)

There are over 1000 cryptocurrencies, but most are not useful, investable or remotely reasonable...how to pick the right one from this maze of randomness? It's not possible to be right about every aspect of the cryptocurrecy market. It's too volatile and dynamic to foresee all possibilities. Longterm investments, however are rather predictable.

Focus on the tech, then the long term goals and the team and finally the marketing

Think long term

Perhaps it's unfair but an ill fromed marketing strategy will kill even the best technology. Did you know that NOKIA had a device very similar to the iPhone in the early 2000s? But they could not handle the battery power loss and it never hit the market. The long term plans were off. Find a crypto with a well crafted long term development strategy. Ethereum is one very good example.

Technology

It's not about location, location, location in te crypto world. It's almost all about tech, tech, tech! If a crypto does exactly what another one does already...it's not worth your time. Find new, unusual, potentially revolutionary solutions. That is how you find value. Being different can be a good thing!

Team

Take your time to visit the website of a project you find interesting. Perhaps you'll find a familiar face there. Perhaps one of the co-founders or advisors is a person who has already created a well functioning cryptocurrency. If so, it's an educated guess that the new project is in good hands!

Marketing

Have you seen the November 2017 Lisk conference? That was why you should hire markeing experts...and that is why certain cryptos get really expensive after conferences and others plummet. Having a product is one thing...but it's nothing without the ability to punch through the wall of the 1000 other cryptocurrencies and making a name for itself!

Current projects that check all the boxes?

I'd argue that we need to include the big guns like: Litecoin, Ethereum, Nano and Ardor

There are some smaller crypto that are equally well prepared: Tezos, Enjin, IOST

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The four qualities is well explained. I would like to add the utility of coins on the decentralized blockchain.

I agree, utility could easily be on the list as well! True, good point.