How do you make sure a projects funds are safe? - page 3.

yazher

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You own the pen

Quote from: Surmount on July 11, 2021, 03:40:55 PM

Hey everyone,

How do you verify that a projects funds will not be stolen by the devs?

What would you like to see DAO projects do in the future that would help build trust and make sure funds are secure from theft?

The devs themselves need to be transparent and have constant updates to their followers and investors about the development and the progress of the project. Many people don't review the team before they put their money in which is the riskiest thing you could do when you invest. knowing the team behind the project is crucial and also makes your heart feel at ease when they also publish about their partnership which you can also search if it's true or not. if they have those traits then consider your funds are safe and have some low chance to be stolen.

xiboothrezi

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Quote from: LordMiguel on July 18, 2021, 03:31:58 PM

there are various ways to do this. check the smart contract. check whether the team really exist. also check the community behind the project to verify if they are in for a hype. check the partnership. WITH These, you can also check the team the audited the platform and their report. this is the most important on the project. the report from the team that audited the project.

even after doing all that we can still get caught in a scam project. There are many fraud scenarios that fraudsters can commit. that is why when investing we must be really prepared to lose, and only use free funds, only invest what you can afford to lose.
I remembered Merlin. one of the projects that was quite successful in the BSC network, its farming and staking offered huge profits, even it was audited by certik, but the ending was painful because the dev team argued that they were under attack so liquidity was destroyed and prices actually fell. many argued that it was a sinister scenario and the dev team ran away.
That being said, there are a lot of surprises in this ecosystem, so really think about the risks and don't just rely on luck.

wxa7115

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Quote from: ?? on ??

Well it's difficult to verify if that project is real or a scam but if they already developing the product I guess that is enough to me that I trust the project but of course we should not put all our money or our life savings to the project, it is risky. Only invest with extra money.

This is nowhere near enough to verify that your funds are safe when you invest in a project, after all there are thousands of projects that have been left without being finished and any scammer can grab that code and claim that they have been working on an independent project for a very long time and show the code as evidence of their work.

But then you find out that this was nothing more but a ruse to deceive investors but by the time that you do it it is simply too late and it is impossible for you to recover your money, so you need to be very careful as scammers are incredibly ingenious when it comes to try to deceive people in order to get their money.

sukmo

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Moonbet.io

You can join their official social media group, inside that group you will get a lot of important information from fellow members about the progress and development of the project.
Don't forget to also read the whitepaper and research who's joining the team to make sure you invest and anticipate bad things in the future.

DarkDays

legendary

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Quote from: LordMiguel on July 18, 2021, 03:31:58 PM

there are various ways to do this. check the smart contract. check whether the team really exist. also check the community behind the project to verify if they are in for a hype. check the partnership. WITH These, you can also check the team the audited the platform and their report. this is the most important on the project. the report from the team that audited the project.

So unless you're able to understand programming to be able to go through the smart contract you can check for many things to see if investing in a project is going to pain you later or not.

Some of these is to check who their funders and partners are, how much they raised, the team behind it like do they have any experience, do they have a in house developer etc. On the media side you can check for their social channels and looks at their community growth and engagement. Tokenomics, checking for vesting schedules and team allocation is also crucial.

All of these little pieces will hopefully help you determine what type of project you're about to include/exclude from your investment portfolio, a decision based on facts rather than feelings.

Flowzer

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Quote from: ?? on ??

Quote from: Flowzer on July 19, 2021, 07:52:30 PM

I dont really know, but many new projects claim that they are safe because already lock liquidity and doxxed by any trusted third party.
Its a good thing maybe, but for indicator i usually see how professional the team took care of its community and follow the roadmap.

Yes, and I think that's a natural thing too because every new project really needs to make such a claim in order to attract investors to them so the team always says good things at the beginning of the project and one of them is as you said.

Doxxed is a new mechanism to kyc-ing the team, i think its really reduce the risk of scam because the identity of the team are revealed to the third party.

zasad@

legendary

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Quote from: Surmount on July 11, 2021, 03:40:55 PM

Hey everyone,

How do you verify that a projects funds will not be stolen by the devs? Many projects hold ICO's or some other sort of sale to raise money for development and many have turned out to be scams where the dev steals the money.

What are you looking for to verify that they won't run away with the cash?

Any ideas on how a project can build trust with the community on this topic?

What would you like to see DAO projects do in the future that would help build trust and make sure funds are secure from theft?

Choose projects that sell their tokens through the site https://coinlist.co
There, project creators undergo a full security check and verification.
Choose those projects in which I invest large cryptocurrency investment funds.
Check out the projects at https://ventures.coinbase.com/
which can be added to the coinbase exchange

Flowzer

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Quote from: Surmount on July 11, 2021, 03:40:55 PM

Hey everyone,

How do you verify that a projects funds will not be stolen by the devs? Many projects hold ICO's or some other sort of sale to raise money for development and many have turned out to be scams where the dev steals the money.

What are you looking for to verify that they won't run away with the cash?

Any ideas on how a project can build trust with the community on this topic?

What would you like to see DAO projects do in the future that would help build trust and make sure funds are secure from theft?

I dont really know, but many new projects claim that they are safe because already lock liquidity and doxxed by any trusted third party.
Its a good thing maybe, but for indicator i usually see how professional the team took care of its community and follow the roadmap.

dhemasm

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Moderator

Quote from: caffu chino on July 14, 2021, 09:04:12 AM

from their smart contract address, usually the developer keeps the funds from the token sale there. although not for a long time, but we can see how much money they actually raise. and how do we see whether the funds are used for development or not, that's easy. we only need to look at the progress, if the development progress is good then the funds are used according to what was planned.

I suppose it was only for DeFi or any Launchpad that held on some dApps like BakerySwap, DXSale, Unicrypt where it will be locked and the liquidity too but it can't apply to some ICO that running an mainstream sale, It's really hard to consider which one will not becoming exit scam. The only ways too do just make sure invest on asset that you can afford to lose and always do research before investing.

wxa7115

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Quote from: Surmount on July 15, 2021, 06:40:40 PM

Interesting.

So to summarize the major points, what investors like to see are:

*Roadmap and roadmap completion
*Wallet addresses
*Information on team members and activity on social media

Minor points are:

*Team competency
*Verification by bounty managers or certification services

What I find interesting is that almost no one mentions any sort of governmental or institutional regulation.

It is not really that odd after all this market is composed still by people that see what the governments are doing with the economy and do not trust that governments are going to do a good job, and even if we wanted them to intervene I do not think they really want to make this market safer as this plays against them.

I still think that the best solution are the ones that the community can provide by itself and an independent escrow that has a good reputation will be the best option, but most developers do not want to give up control of those funds and as such this is not very common.

RussianEnglishTranslation

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Quote from: Surmount on July 11, 2021, 03:40:55 PM

Hey everyone,

How do you verify that a projects funds will not be stolen by the devs? Many projects hold ICO's or some other sort of sale to raise money for development and many have turned out to be scams where the dev steals the money.

What are you looking for to verify that they won't run away with the cash?

Any ideas on how a project can build trust with the community on this topic?

What would you like to see DAO projects do in the future that would help build trust and make sure funds are secure from theft?

Easy, you invest in mineable projects like 0xMR and RVN that have no dev wallet, no IDO, and no pre-mine. That way the devs can't dump on you or exit scam.

llecrf

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Quote from: Surmount on July 11, 2021, 03:40:55 PM

-snip-

It's hard to see new projects will be successful in the future or the developers are committing fraud, but we can see some important partners or teams that are in each project, for example the smartcontrack audit conducted by Certik and several exchange partners as in the list of 10 cmc rankings, that will make investors comfortable because the project looks convincing, but still nothing guarantees the project can be successful because every time new projects come up with new ideas that are better than the previous one.

LordMiguel

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ITSMYNE

there are various ways to do this. check the smart contract. check whether the team really exist. also check the community behind the project to verify if they are in for a hype. check the partnership. WITH These, you can also check the team the audited the platform and their report. this is the most important on the project. the report from the team that audited the project.

imamusma

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Quote from: Reosta_ on July 15, 2021, 07:15:15 PM

Except the big and well-known cryptocurrencies in the market, actually I can't be 100% sure about a project. I do everything I need to do to know better about that project before even thinking about investing into it. But still, I rarely invest into that kind of projects.

Investing is about understanding risk in terms of looking for profit, so obviously it really needs careful and strong consideration for this, because now there are so many new projects that are sometimes not worth investing in.

flagpara

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Quote from: Surmount on July 11, 2021, 03:40:55 PM

Hey everyone,

How do you verify that a projects funds will not be stolen by the devs? Many projects hold ICO's or some other sort of sale to raise money for development and many have turned out to be scams where the dev steals the money.

What are you looking for to verify that they won't run away with the cash?

Any ideas on how a project can build trust with the community on this topic?

What would you like to see DAO projects do in the future that would help build trust and make sure funds are secure from theft?

Definitely your topic is about new altcoins, new altcoins are tough to choose from all the scam projects. I believe in only partnership from history and other advice. New projects are building partnerships to bring trust where old projects don't want to lose their reputation. New projects can't launch their projects with a big partnership, that is also my point.

guydin

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www.fintropy.io

Actually, it is very important to do research before investing in any projects. Personally I investigate the idea and docs, then I overview the team members and I also check if any “whales” are going to invest in it. One more important thing is definitely a marketing campaign and social media. You necessarily should investigate if there is a big community and there are many people who trust it and want to invest.

Distinctin

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Quote from: Surmount on July 11, 2021, 03:40:55 PM

Hey everyone,

How do you verify that a projects funds will not be stolen by the devs? Many projects hold ICO's or some other sort of sale to raise money for development and many have turned out to be scams where the dev steals the money.

What are you looking for to verify that they won't run away with the cash?

Any ideas on how a project can build trust with the community on this topic?

What would you like to see DAO projects do in the future that would help build trust and make sure funds are secure from theft?

The funds must be held through escrow or a third party that will be taking in-charge of the distribution. But if not, you can't assure that you will receive your rewards after the ICO has done unless if the devs are true with their promises. We can check also their wallet address but that also if they will present their holding wallet.
However, even though we can find out that the fund is intact, we can't assure that devs will scam us. As long as the money is still in their control, they can withdraw it anytime.

Reosta_

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Except the big and well-known cryptocurrencies in the market, actually I can't be 100% sure about a project. I do everything I need to do to know better about that project before even thinking about investing into it. But still, I rarely invest into that kind of projects.

Darktongue

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Quote from: Surmount on July 11, 2021, 03:40:55 PM

Hey everyone,

How do you verify that a projects funds will not be stolen by the devs? Many projects hold ICO's or some other sort of sale to raise money for development and many have turned out to be scams where the dev steals the money.

What are you looking for to verify that they won't run away with the cash?

Any ideas on how a project can build trust with the community on this topic?

What would you like to see DAO projects do in the future that would help build trust and make sure funds are secure from theft?

Now I don't invest in any ICO, but if I have to, I will start a big partnership. I don't believe any ICO without partnership, strong team or good exchange IEO. Just think about the devs when you are good at hoarding. Top exchange listed coins are safe even though I can remember the name of INS token. These altcoins were delisted from the Binance exchange and then Kucoin. Sometimes top exchange listed altcoins aren't safe without a good team.

JaoBadjap

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If you check there websites, they have address.
Picture And The Names of developers. And a lot of info that you could verify.
However, the thing is even its legit 100%.
Sometimes you cant say, if the developers just decided to quit.
You cant stop them from doing that though.

Topic: How do you make sure a projects funds are safe? - page 3. (Read 895 times)