Cryptocurrencies have been a hot topic for the past few years. From Bitcoin to Ethereum, cryptocurrency has taken over the financial world and is continuing to grow. One cryptocurrency that has risen in popularity lately, especially with investors, is Ripple. Ripple’s cryptocurrency token XRP was designed as an answer to some of bitcoin’s flaws- mainly speed and transaction costs. In this blog post, we discuss how you can find your next cryptocurrency investment!
Initial Coin Offerings (ICOs)
To get in on the best opportunities, it is important that you follow these three steps. First of all, we need to figure out which initial coin offerings are coming up next and where they will be sold or how people can purchase them from afar with no risk involved thanks to sites like ICO alert who provide extensive information about each project’s pre-sale & public sale as well as other key details like soft cap prices buy-ins etcetera so savvy investors have everything necessary at their fingertips when planning entries!
The rare ICO captures the attention of investors and raises cryptocurrency. However, many will inevitably fail in due time because it’s not as easy to predict which ones will succeed or fail beforehand – especially when one does a thorough study on what has worked before (a good idea!).
How Good is the Idea?
Blockchain has the potential to be one of, if not THE most innovative technology in decades. With so many new ideas being introduced every day – it’s difficult for investors and entrepreneurs alike to know what will stick, but with this opportunity comes great responsibility! Scams are rampant these days as well: any project that recycles old language without adding anything fresh or ambitious should raise concern immediately (Bitcoin was revolutionary when first invented).
Distribution of Currency
One of the features of cryptocurrency is that it is decentralized- this means that there is no central authority controlling it. This also means that there is no one person or organization who can decide how the cryptocurrency is distributed. The coin’s distribution is governed by a smart contract that has parameters, such as how much will be generated and where it will be dispersed.
Typically, the rarer a coin is in terms of its availability, the higher its price will be on the open market. Check the token’s website for information on how many coins will be sold during the closed pre-sale, when the ICO will start, and other pertinent details or visit website here.
Which Blockchain is the ICO Build On?
Unless a new company plans to build its own blockchain, it must launch an ICO from an existing one. The chain on which the coin is based determines which existing cryptocurrency will be used to take part in the offering. To create a new currency using Ethereum’s blockchain, you’ll need Ether. As a result, it will be tradable only with Ethereum and no other cryptocurrencies at first. If the new coin is based on an obscure chain like NEO, this might restrict price.
Last but not least, cryptocurrency is only as good as its community. For instance, if someone wanted to invest in Ripple (XRP), they needed to mine it or get an invitation from another XPR holder to be part of the project’s network because there was no ICO for ripple! The more members who have invested/ hold a cryptocurrency, the more valuable the cryptocurrency is.
Checking a cryptocurrency’s community strength can be done by checking its number of members on social media sites like Reddit, Twitter, and Facebook as well as how active they are to determine whether or not it has a strong following behind it!
There you have it! By following these simple tips, you too can invest in the next big cryptocurrency and become a part of this exciting bitcoin era!
- Follow upcoming ICOs and be aware of when they will start
- Do your research on what has worked before
- Consider the distribution of the currency
- Check the blockchain on which the ICO is based
- Look at the cryptocurrency’s community strength
- Use these factors to make an informed decision about where to invest!
Also enjoy: Definition of Bitcoin