Paradigm Partners: 11 Steps to Conducting Investigative Research on Early-Stage Crypto Projects

特邀专栏作者

2022-03-03 07:54

This article is about 1126 words, reading the full article takes about 2 minutes

The following are generally recommended steps in the investigative process for investing in an early stage crypto project.

AI Summary

Expand

The following are generally recommended steps in the investigative process for investing in an early stage crypto project.

Original compilation: TechFlow Intern

founder

In the early days, the constant variable in the equation was usually the team. Find their representatives, who know the founders, ask about their strengths, weaknesses, etc. Then ask yourself: Would I work with this person? If yes, that's bullish.

determine the size of the opportunity

Think about the size of the market today and theorize how big it might get. Be patterned in your predictions because crypto is one of the fastest growing industries in the world. Also familiarize yourself with memes and reflexivity theory.

Use of the product

If there is a product, by all means use it. Although well known, this step is often skipped. It will crystallize use cases, value propositions and product offerings. It's also good for founders to have investors who understand and use their product.

chat with users

This can be done quickly with Discord, where you can ask users: How did you hear about this product? What did you use before? How does it compare to alternatives? How do you see ROI and value? what will make you leave Doing so can help find vitality and lasting uses for the project.

traction analysis

In Web2, corporate data is private. In Web3, a large amount of project data is on the chain and can be obtained through some products. Using on-chain data, look for growth rates for top KPIs (e.g. volume, TVL, wallets) and compare monthly or quarterly growth to competitors.

"Why publish now"

Community

Understanding the mood, quality and durability of a community is critical. Join the community on Discord and Telegram

to assess the quality of membership. There is also a need to distinguish between bots and humans on Twitter.

Tokens and Value

If there are tokens, please take the time to understand how successful token mechanisms work. The key consideration is the value capture of the token, such as lock-up volume, issuance rate, release time, faucet, growth cycle, community promotion, popularity, etc.

competition on the track

return

According to the analysis of MessariCrypto, there are only 80 assets in the currency circle with a fully diluted market value (that is, the market value of the asset is included in the known circulation before 2050) > 1 billion US dollars.

sixth sense

Steps 1->10 can sometimes be skipped because sometimes decisions need to be made faster than you think. Be flexible throughout the analysis process, set priorities, be sure to pay attention, and don't underestimate your intuition.