Topic: How to identify SCAMS? (Read 316 times)

There are 4 factors that you have to carefully research:
1. Team: Investigate the core team behind the project. Find out if the team members actually exist or really participate in the project.
2. The Technology: For the more technically inclined, check whether the project’s code is open for scrutiny on github
3. The Concept: Discovering if competitors already exist in the market and how the new project can gain traction in this area is a good question to begin with. It’s important to try to attempt to determine if the project will be able to acquire a share of the market space with their product innovation or services.
4. The Token: If a token is listed on an exchange ahead of their ICO, double check by comparing the listings of other exchanges.

Problems with technical support, Too much advertising, Abnormal superprofits...
Study the reviews, watch the news, pay attention to sponsors and partners, and most importantly - carefully research the project.

By reading whitepaper and checking linked in profile of team helps you to find if the project is scam or real.

Another sign of an ICO scam is that the developers are unable to clearly articulate a valid use case for the token. The token should serve a key purpose in the startup's platform. If it does not, the token will not sustain its value over the long term. Related to this problem is tokens that advertise themselves merely as digital currencies without offering any real innovations or improvements upon existing cryptocurrency technology. Scammers go to length to appear trustworthy but there are things you can do recognise and take action against scams.

Things that I consider before joining ICOs are:

1. Transparent team
2. Well written Whitepaper
3. Active social media (At least 3 posts per week)
4. KYC passed on ICO Bench
5. Unique platform

 Search this forum. There are some topics that are updated daily with scam ICOs.

Great info here for newbies like myself. I would like to ask how to identify a scam when we are looking for privacy coin for example? Most of the time team running the whole team won't reveal its identity. I have found just legit projects so far, but I would appreciate more info regarding this.

Good suggestion

thank.

Recent time I often hear about this Cryptics. I think this planform worth attention if people so often write about it. Gonna check up their website.

Any successful ICO matches the address of their token sales, and a scam hides their address.
This means that no one will determine the exact amount raised and the remaining time for the ICO sales token.

Doing one's due diligence before investing in ICO's cannot be over emphasized.
Check :
1)The profiles of the Team members.
2) Whitepaper and it's authenticity
3) Check Bitcointalk Ann for possible information from others about the project.
4) Check Twitter and telegram community.

For me, I have observed a similar pattern in most of the scams and it includes pitching about the returns in terms of money instead of explaining the core philosophy and road map of the project. This is definitely not a full proof method of identification of scam but in most of the cases, I don't have to do any further research if the other party is just concerned about my money as the investor.

Indeed, just make sure whenever you want to pay, you have understood the project well from every aspect

Read and research first before investing on ICO...  if you have group or people around that can help you in doing such thing go and ask... more heads are better than 1...

You can search that project on this forum and see what people talk about it.
You can ask your friends.
You can consult the opinions of ico websites.
You can do your own research and see if the concept, team, and execution make sense.

For example when reviewing the whitepaper, you should understand that ICO are mainly talking about blockchain technology project which to solve or improve the current existing problem in reality, no matter in which field. Therefore, the whitepaper should be indicating the problems first, and introduce how they will develop a blockchain technology, in a professional manner and data or model support.
Then you should have a look on their road map, whether they are having a sufficient and reasonable roadmap as an ICO project takes time to develop in both their sales part and development part. As long as you think it is reasonable, you can then proceed to (i) social media handling (ii) team / advisor for the project
(i) social media / community manager can show the relationship and the interaction from the team with the potential investors. The team may not be able to develop a super perfect idea and project, but from expectation and comments from potential investor, they can gain a lot information and knowing where to improve from different angles
(ii) for sure some famous or well-known tech developer would give this project a very good expectation, or else you can briefly read the profession from the team member or advisor. It is definitely a bonus if the team has developed similar projects before, experience speaks.

Although the review is kinda subjective, but as long as it can convince you, i think it worth your support and investment first. Failure of ICOs may not be due to the initial development process, may not mean it is a scam.

this topic is one of the topics that we should  look at it very serious because those dishonest people so call scammers are living with us, day in and day out they give as the same problems. To add some few words, let me take this advantage to ask some few questions
#1  What should we do to root out this cancer?
#2  How do we do to trace those people?
#3  Whom should we alert if we are been scam?

Scammers are very good with what they are doing. Scam a lot people out from their money. Always we should do our diligence before get into anything.

Currently what I do now is to follow the reputable companies who mange ICOs as well as their bounties. The success rate with such groups are a bit better than others. Anyways this is crypto, scam can haooen everywhere and so we should be careful and invest wisely amd with caution

I have 10 items that help me evaluate the project.
One of them is White Paper, if I see that the project is promising, then I invest.