WARNING: This article is not intended for, nor will benefit, the timid, intellectually lame or chronically lazy.

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If you are one of those listed above, don't waste your time and go about your business as usual on the Island of Ignorant Bliss. - JaiChai

Prelude

Are you investing in projects that you know inside and out? Or are you speculating (gambling) on projects you don't understand and can't even explain?

"If you can't do a solid and convincing, five-second elevator pitch, you really don't know what you're promoting and need to quickly get smarter on it." - My Father

"The Why and How of Basic DYOR"

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If you want to enter the crypto markets without getting eaten alive, you must first choose a project that you absolutely - without a doubt - really, really believe in.

(Above sentence needs more "really", "really"s!)

That belief must be so strong that it guards against caving in during the manic-depressive behavior of any market.

If you cave, it's virtually impossible to stop the blind, greedy buying sprees during a pump; or the panic hyper-selling during a dump.

End result?

You end up totally rekt.

So, how do you cultivate bullet-proof belief and inherit Diamond Hands?

You must become an expert in your chosen project. You must know its mission and vision. You must know the full story of your chosen project inside and out.

How do you get to that level of competency?

Simple.

DYOR (Do Your Own Research).

Period!

DYOR until you can confidently and coherently express your project's purpose, origin and creators.

DYOR so you can state its major supporters and detractors and price from ICO to the present.

DYOR until you can picture its roadmap, rate of adoption stats and growth projections in your mind's eye.

I know what you're thinking, "How the Hell do Ieven get started?"

First off, force yourself to read your project's White Paper! This is "Smart Crypto Investing - 101".

While reading the paper, ask yourself - at minimum - these questions:

Why was it created?

Who created it?

What sets it apart from other projects?

When will it launch?

If launched, how has it fared since its debut?

Tokenomics?

Has it met its roadmap milestones on time?

What are the advocates and critics saying about it?

After the White Paper exercise, visit and scrutinize the project's website.

Does it look amateurish or fishy?

Do a scam alert search on the project.

If you are satisfied with its trust rating, join your project's support channels. Is it welcoming or xenophobic? Do people answer your questions; or are you met with obnoxious snobbery?

Lastly, get up to date, significant news about your project from reputable, unbiased sources - not from the project's website, support channels or social media.

Parting Shots

This article is just a simple framework for examining prospective crypto projects only.

It is by no means an all-inclusive "How To" manual; and is in no way a substitute for a professionally prepared SWOT analysis.

Nevertheless, the framework is a good point of departure for further, personalized investigation.

Hope it is useful for you.

And please remember this: DYOR Rocks!

May you and yours be well and love life today.

In lak'ech, JaiChai

This is YOUR TORUM INVITATION!

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Excerpted and updated from: "Why Most People Lose Money Trading Cryptocurrency"

https://www.publish0x.com/ijch-blockchain-and-cryptos/why-most-people-lose-money-trading-cryptocurrency-xxopr

JaiChai 3-2-2021. Simultaneous multi-site submissions posted. All rights reserved.