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Hackernoon logoHow to Know if You’re Buying Cryptocurrency Junk by@nam-nguyen

How to Know if You’re Buying Cryptocurrency Junk

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@nam-nguyenNam Nguyen

We buy cryptocurrency with an expectation that they increase in value at some point.

However, 99% of cryptocurrency is junk, if not more.

Junk, means that their value will be significantly lower in the future, if not 0 at some point.

No lock up period. If people get paid day one, that significantly reduces incentives to deliver on project.

No cap on amount raised. The more the project raises, the likelihood of the project increasing in value diminishes. This structure is not conducive to returning value to investors.

No engineering team. Super technical space. Founders need to be technical.

Who are logical customers. How will this project make money? What is the real world application? Is there a current non blockchain equivalent? Is there a use case for businesses? Is this solving a current problem for consumers?

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