Firstly, please note that this post is not intended as financial advice and one should always try to do their own research before making any final decisions. Investing in Cryptocurrencies and Initial Coin Offerings (ICO’s) can be speculative, and the market is quite unregulated.
How to find a promising new coin
First of all, using Coinmarketcap’s “recently added” page can help you stay alert on which new coins are being registered. Coinmarkecap is a trusted resource that conducts its research on the projects before listing their tokens and has specific requirements in order for the projects to fulfill.
Secondly, Binance is an exchange that charges significant sums for the projects to get listed, so it is likely that the added tokens are thoroughly scrutinized by a trusted authority. Binance’s listings and contest winners are also available and worth a checkout regularly. Other resources growing in popularity are messengers such as Discord and Telegram, used to build a community around the projects.
Is it better to mine new coins or to buy and HODL?
If you are a miner, finding a new coin and mining those early blocks can be quite rewarding. However, such an approach is often likely to result in a waste of vast amounts of computing power and time on fruitless enterprises.
Even though it is impossible to safeguard from losses completely, several measures can still be taken. Prior to mining, we suggest you research:
- The reputation of the developers’ team
- Technological breakthroughs or approaches
- Media coverage and marketing activity of the project
- The number of notable third-party companies involved
After you’ve placed a decision to support a particular project, it is advisable to look for the most effective approach to investing in it. Obtaining strong mining hardware is likely to get you a certain amount of tokens at a cheaper price than from classic investment, especially for the newer projects. It is also worth running various applications to test your hardware, such as GPU’s and ASIC’s.
If the particular coin that you found promising is currently experiencing troubles in terms of price and capitalization, research the underlying reasons for it – market correction or minor accidents might allow you to gain some profit from its recovery.
Conclusion
Before investing in a project you admire, it’s easy to check the overall mood of its community on Reddit and Twitter and engage with and it directly. Make sure to read the white-papers and check the road-maps and, after all, remember that not all of those projects you may find will be viable in the long run, and not all of them will turn out to be legit.
Good luck and happy mining!
The post To mine or not to mine: how to react to new crypto coins appeared first on Crypto Mining Blog.