1. Read the executive summary: This should provide a high-level overview of the project, including its goals and objectives. It should also include key information such as the project timeline and its potential use cases.
2. Research the team: The team should have relevant experience in their field, as well as reliable contact information. It’s important to research each person and make sure they have experience in the projects they claim to have.
3. Read the whitepaper: This document should provide you with a comprehensive description of the project and its objectives. Pay attention to the technical details, especially if you are familiar with the technology being used.
4. Understand the token sale: This should explain the terms and conditions of the ICO, including the total amount of funds raised and the expected token distribution. It’s also important to understand how the tokens will be distributed and the various caps in place.
5. Analyze the risk factors: Make sure to read the “Risk Factors” section, which should outline any potential risks associated with the project. This will help you understand and identify any red flags that may indicate a scam.
6. Assess the market and competition: Make sure to research similar projects in the same space to better understand the competitive landscape. This can help you determine the potential success of the project, as well as its potential use cases.