Does your ICO pass the smell test? | Bitcointalksearch.org

gabecolors

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Activity: 61

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Quote from: bbc.reporter on October 03, 2017, 08:23:40 PM

3) It is not we who decide what passes the smell test. If it passes your smell test but it does not with the SEC then you still made a bad investment.

Hmm, interesting. Did other folks think I was talking about regulation? Legality?
I meant my question to qualify valid use cases in the market, in the real world. Does it increase efficiencies and security? Is the token solving a real problem in a much better way than is already provided by existing tokens, or more specifically traditional/existing solutions? Maybe because I am just a newbie, but to me the qualifying lens (smell test) of asking "why use the blockchain when a database could solve this problem just if not more easily" helped me focus when reading white papers.

An example I heard (sorry no links, just heard from friend) was a proposed blockchain to qualify organic food-- it needs to be transparent (people aren't going to just trust Whole Foods) and it needs to be accessible to all.

Perhaps I am still stuck on the personal conundrum where ICOs in many cases seem antithetical to the core precept of being decentralized.

bbc.reporter

legendary

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Quote from: gabecolors on October 02, 2017, 01:37:49 PM

Recently saw some posts about detecting "scam" ICOs-- but what about detecting just "bad ideas" for ICOs?
What's your smell test?

(1). Check the management team, check for people who have a history of previous successful ICOs.
(2). Read the white paper and consider-- why can't this just be done with a database? What's the true use value of the token? Why does it benefit from being decentralized? Is it truly decentralized?
(3). What is your smell test for ICOs?

1) Developers who have made previously successful ICOs only mean that they are good in marketing their product. It does not mean they are technically qualified in developing good cryptocoin protocols.

2) But we do not have enough technical knowledge to know if the whitepaper is good or not. Whitepapers have also become marketing tools to trick less knowledgeable people like us.

3) It is not we who decide what passes the smell test. If it passes your smell test but it does not with the SEC then you still made a bad investment.

gabecolors

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Activity: 61

Merit: 1

Quote from: zidanaltaer on October 02, 2017, 10:24:10 PM

Well, some methods like this that I use to detect smell ico scam, but I also see a proportional allocation for tokens, balanced bounty allocation, smart contract, clear roadmap and their lighpaper

Great points, would you share any examples of what you consider "proportional allocation for tokens", "balanced bounty allocation"?
It seems like they are all weighted to some degree to favor early entry, so how does one determine what's OUT of proportion?

panorama

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I think the best thing you can do is find a couple of like-minded investors and just share your thoughts with each other.

Talk through the pros and cons of a coin to see if it passes the smell test for both of you. It's best if you deal with people who have a diverse background where you're each knowledgeable in different areas.

gabecolors

jr. member

Activity: 61

Merit: 1

Quote from: sidhujag on October 02, 2017, 09:59:28 PM

To date there are 1500 blockchain employees and out of that Id say 100 of them would.be qualified developers of.blockchain.

I love that you stated this! This has been a burning curiosity for me (though not sure what a "blockchain employee" is)-- could I rephrase to say that "there are only 100 developers in the world who could write from scratch the code Satoshi created in 2008?"

Jalum

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Look ARROUND!

Quote from: gabecolors on October 03, 2017, 07:20:39 PM

Quote from: Hyperme.sh on October 02, 2017, 04:20:36 PM

When they do not pick up the phone.

GENIUS!!!! Just call!
Love it when old school methods prove true. Adding this to my list.

BTW, I've recently launched a (currently) newbie/intermediate audience focused podcast called Coloring Crypto. Sounds like you could be incredibly educational. First episode is released: https://itunes.apple.com/us/podcast/from-medicis-to-modern-banking-what-is-so-special-about/id1291606679?i=1000392985764&mt=2

Would you be willing to be a guest on my podcast? You can contact me @ColoringCrypto or call me directly

8oh8-two-five-oh-4825

Going to the place that they have listed on their website and giving it a review so that the investors could see if it's legit.

gabecolors

jr. member

Activity: 61

Merit: 1

Quote from: jjdub7 on October 02, 2017, 04:47:34 PM

On blockchain must be stored only critical data.

Thanks, have you got any good links or clear explanations on how to assess "critical data" on the blockchain? Are you referring to the limitations in amounts of data? Or is there more to it than that?

gabecolors

jr. member

Activity: 61

Merit: 1

Quote from: styca on October 02, 2017, 04:41:04 PM

No instant smell test, just research, which covers points 1 & 2.

I hear you and appreciate your advice-- aint no quick fixes-- but my question was really trying to get at some of the more underappreciated yet obvious (once laid out) red flags....

gabecolors

jr. member

Activity: 61

Merit: 1

Quote from: Hyperme.sh on October 02, 2017, 04:20:36 PM

When they do not pick up the phone.

GENIUS!!!! Just call!
Love it when old school methods prove true. Adding this to my list.

BTW, I've recently launched a (currently) newbie/intermediate audience focused podcast called Coloring Crypto. Sounds like you could be incredibly educational. First episode is released: https://itunes.apple.com/us/podcast/from-medicis-to-modern-banking-what-is-so-special-about/id1291606679?i=1000392985764&mt=2

Would you be willing to be a guest on my podcast? You can contact me @ColoringCrypto or call me directly

8oh8-two-five-oh-4825

gabecolors

jr. member

Activity: 61

Merit: 1

Quote from: Ging on October 02, 2017, 02:32:13 PM

for me the whitepaper give it all from it you can see the idea behind the ICO

You are probably right, though I do wonder if whitepapers will go the way of "business plans" from the 1990's and be replaced with Slide Decks and MVPs. What do you think?

Endikadija

hero member

Activity: 1458

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Quote from: gabecolors on October 02, 2017, 01:37:49 PM

Recently saw some posts about detecting "scam" ICOs-- but what about detecting just "bad ideas" for ICOs?
What's your smell test?

(1). Check the management team, check for people who have a history of previous successful ICOs.
(2). Read the white paper and consider-- why can't this just be done with a database? What's the true use value of the token? Why does it benefit from being decentralized? Is it truly decentralized?
(3). What is your smell test for ICOs?

I give you an example about some projects that have owned the idea that doesn't make sense in my opinion at least senseless. THe number one is about the healthcare by used the blockchain system, for me sounds bad to see the some people just aim to get a lot of money without consider about the chance to implement the blockchain for medical. and you must even understand the economic still didn't adopt the blockchain .

zidanaltaer

full member

Activity: 340

Merit: 100

idap.io

Well, some methods like this that I use to detect smell ico scam, but I also see a proportional allocation for tokens, balanced bounty allocation, smart contract, clear roadmap and their lighpaper

shandi albert

full member

Activity: 308

Merit: 101

FXPay.io

In addition we should pay attention to their activities on all the sites, when we ask questions they always give a positive response, and their communication is not interrupted
This can also be an added value when we determine the success of ico

sidhujag

legendary

Activity: 2044

Merit: 1005

Quote from: Hyperme.sh on October 02, 2017, 04:50:50 PM

Quote from: jjdub7 on October 02, 2017, 04:47:34 PM

Just need to use common sense.

That is not sufficient. As has already been explained by myself above and @kkofor, but you are not addressing my point that most investors are incapable of accurately judging the difference between slick presentation and actually sound technology.

Another smell test are ICOs which make claims which are not objectively provable material facts. They obviously do not care that they are stating claims about the future which they can not be sure of (which is also an illegal activity if the ICO is issued as a security, as is nearly always the case).

99% of ICOs will fail these smell tests, because just as in the Dot.com bubble and bust, 99% of them will be entirely useless other than to FOMOiate a bubble of selling empty bags to greater fools.

Quote from: kelsey on October 02, 2017, 07:41:01 AM

biggest problem with this community; people have lost the real point to, and potential of having a true p2p currency.

whats the point in creating an alternative to the worlds greedy bankers' fiat if we ourselves become the greedy bankers.

Quote from: Cicada1033 on October 02, 2017, 09:51:18 AM

Quote from: HardFireMiner on September 29, 2017, 08:54:35 AM

Quote from: Ligrev on September 29, 2017, 08:20:31 AM

As stated in the title, what do you think is the biggest problem in the Crypto Community?

Greed.

Nailed it. Most of the new people comming into crypto don't even care about the tech and don't try to help getting this gamechanging software foreward. They only care about profits. That's why we have so many panic sellers. All they think of is how to get rich over night. We need more passion again.

Developers that know what they are doing are worth their weight in gold around here. To date there are 1500 blockchain employees and out of that Id say 100 of them would.be qualified developers of.blockchain. To pass a smell test you can pay a qualified.developer to read the whitepaper and give professional advice.. that is really the only way to go. Ive been seeing the trend for the past few years.. interesting times ahead for.those that know what they are doing

Hyperme.sh

member

Activity: 98

Merit: 10

Quote from: jjdub7 on October 02, 2017, 04:47:34 PM

Just need to use common sense.

That is not sufficient. As has already been explained by myself above and @kkofor, but you are not addressing my point that most investors are incapable of accurately judging the difference between slick presentation and actually sound technology.

Another smell test are ICOs which make claims which are not objectively provable material facts. They obviously do not care that they are stating claims about the future which they can not be sure of (which is also an illegal activity if the ICO is issued as a security, as is nearly always the case).

99% of ICOs will fail these smell tests, because just as in the Dot.com bubble and bust, 99% of them will be entirely useless other than to FOMOiate a bubble of selling empty bags to greater fools.

Quote from: kelsey on October 02, 2017, 07:41:01 AM

biggest problem with this community; people have lost the real point to, and potential of having a true p2p currency.

whats the point in creating an alternative to the worlds greedy bankers' fiat if we ourselves become the greedy bankers.

Quote from: Cicada1033 on October 02, 2017, 09:51:18 AM

Quote from: HardFireMiner on September 29, 2017, 08:54:35 AM

Quote from: Ligrev on September 29, 2017, 08:20:31 AM

As stated in the title, what do you think is the biggest problem in the Crypto Community?

Greed.

Nailed it. Most of the new people comming into crypto don't even care about the tech and don't try to help getting this gamechanging software foreward. They only care about profits. That's why we have so many panic sellers. All they think of is how to get rich over night. We need more passion again.

jjdub7

hero member

Activity: 938

Merit: 502

Quote from: gabecolors on October 02, 2017, 01:37:49 PM

Recently saw some posts about detecting "scam" ICOs-- but what about detecting just "bad ideas" for ICOs?
What's your smell test?

(1). Check the management team, check for people who have a history of previous successful ICOs.
(2). Read the white paper and consider-- why can't this just be done with a database? What's the true use value of the token? Why does it benefit from being decentralized? Is it truly decentralized?
(3). What is your smell test for ICOs?

Point 1 is not a must. For me most important is the team ICO to be build of successful people. Not just in crypto projects.

Point 2 is a good one. On blockchain must be stored only critical data.

Just need to use common sense.

Hyperme.sh

member

Activity: 98

Merit: 10

Quote from: styca on October 02, 2017, 04:41:04 PM

No instant smell test, just research, which covers points 1 & 2.

Disagree. We have provided some instant smell tests. And research is useless for most investors, because they can be easily fooled by verbiage and presentations that seem awesome, but for an expert are clearly nonsense or bullshit.

The problem is that n00bs should not be allowed to invest in early stage ventures except by some expert crowd equity platform vetting and limitations on how much n00bs may invest. Otherwise, the ecosystem will become FOMO-retarded.

styca

sr. member

Activity: 1078

Merit: 354

Quote from: gabecolors on October 02, 2017, 01:37:49 PM

(3). What is your smell test for ICOs?

No instant smell test, just research, which covers points 1 & 2.

This is a great topic and I'm glad you started it. People always need to research anything that they're going to put money into. There are thousands of coins out there these days. A lot of them have a genuine use, but a lot are useless.
Research is the key. Never jump in due to FOMO. Always take time to understand what it is you're backing.

kkofor

sr. member

Activity: 365

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only 1 - check ICO team profile and their advisor. If they dont have any experience in blockchain and information not clear. next!

Hyperme.sh

member

Activity: 98

Merit: 10

Quote from: Ging on October 02, 2017, 02:32:13 PM

for me the whitepaper give it all from it you can see the idea behind the ICO

Disagree. 99% of the investors are not qualified to evaluate a whitepaper. They can be easily fooled by technobabble that sounds great but is actually fundamentally bullshit.

Quote from: gabecolors on October 02, 2017, 01:37:49 PM

Recently saw some posts about detecting "scam" ICOs-- but what about detecting just "bad ideas" for ICOs?
What's your smell test?

(1). Check the management team, check for people who have a history of previous successful ICOs.
(2). Read the white paper and consider-- why can't this just be done with a database? What's the true use value of the token? Why does it benefit from being decentralized? Is it truly decentralized?
(3). What is your smell test for ICOs?

When they do not pick up the phone. (Because most of them are afraid to receive a call from an expert, because we will ask deep technological questions. And because they’re lazy and just want to be left alone to spend our money.)

If the team raises $10 million yet isn’t contactable for business opportunities on their email nor Instagram, and if they decide to relocate to Costa Rica and code in their pajamas in the prone position (is being a vegetarian a prerequisite for being one of their developers?), whilst professing to be a world changing blockchain design but not even having any design innovations over existing proof-of-work or proof-of-stake…

Example: Nimiq.

This ecosystem is a hornet’s nest of scammers, underqualified junior-level developers overselling themselves as highly capable/accomplished, and shills just trying to sell bags to greater fools.

Also I requested to speak to http://e11.io as well about collaboration, but they refused to make themselves available for a verbal conversation so I can determine if these guys are legit developers (e.g. programmer-to-programmer type of conversation):

Quote from: e11io on October 02, 2017, 07:40:21 PM

Quote from: Hyperme.sh on October 01, 2017, 01:51:07 PM

Quote from: e11io on September 30, 2017, 10:14:42 PM

Quote from: Hyperme.sh on September 30, 2017, 12:45:47 AM

When can we talk?

Read this:

https://bitcointalksearch.org/topic/m.22377718

Do you have Skype?

Read also this:

https://steemit.com/blockchain/@anonymint/re-spykemajeska-re-anonymint-2017823t83758729z-20170824t032839631z

Hey, what's up?

Just read the steem post. Interesting.

What would you like yo discuss? We are actively looking for the 300 members of the community, is this something that interests you?

Thanks

I want to talk with you guys about creating apps for my decentralized ledger project.

I think it will help you gain even more enthusiasm and support for your project.

You can continue with your ERC-20 plans simultaneously. The problem you have is the Ethereum blockchain will never scale enough for the types of projects the users are going to want eventually. You need a two-pronged strategy.

I have invented the perfect decentralized ledger. And we will end up defeated EOS and Ethereum. I have the Bitcoin killer.

We will soon be making news.

You should talk with me immediately.

Also I am interested personally in visiting (and perhaps having some vacation property) in Argentina where you guys are apparently based.

Are you guys legit s/w developers?

We're focused on building Experimental right now.

If you're interested in joining our PRE-ICO, let us know!

Thanks,

Topic: Does your ICO pass the smell test? (Read 526 times)