Topic: How to recognize scam - page 21. (Read 3159 times)

Vitalik Buterin has good scam filter. He, on one of conferences, just said: "Dear scammers, don't use ICO for your bad scam projects, please."

So. Do the same. You see ICO? Just have a contact with them and ask if they are scammers? If they answer no, everything is ok. You can participate))

One of the biggest signs of a scam is that if it sounds too good to be true then it probably is. The whole point of a ico is to make money if the project has alot of promise it could all well be a good idea. If the founders won't talk answer questions then that has to raise doubts.

for sure, it doesn't mean that he is a great businessman. But unwillingness to talk and answer questions is not good

You should talk to founder. No matter how busy he/she is. `a founder always have to find some time to talk to

Please also add these to your list of signs of scams

1. A ICO scam can involve going ahead as far as opening their own exchange to have their coin/token listed on such exchange in order to exhibit an air of authenticity.

2. Try and do a whois search on the ICO website. This should produce the contact details of the owner and other technical details you can use in influencing your judgement on a possible.

I never spoke to a founder in person, but keep in mind that even if someone has a good idea and speaks about it "with fire in his eyes", this doesn't necessary mean this person is a great businessman, that knows how to build a company or is able to gather the right people around him to help him doing so.

Well I figured is better to invest in a company that already has some kind of establishment or function going.  Investing will always have risk, just because a business fails does not mean it was a scam.  Look soon Ill be starting an ICO maybe,  The thing with these ICO, They take to much money and credit to themselves.  Look at Spectrocoin, they really need that much money?  There time frame is fine but that amount of money is a question.  I dont see that market very lucrative at this point to give them that much funding.  I have a product that is worth more then they are asking but I will not ask that much, because more money you get, can arrive more problems as well.

Hello everyone!

Today I've read a couple of articles and I've noticed that the most people are used to label each ICO as a scam. That is not fair, I know. Especially when you work in a startup launching ICO and do your best to make a project successful. However, having worked in ICO industry I learned how to recognize a scam just from one conversation with a Founder. I don't know how to explain this feeling. Probably, my subconscious translates knowledge, but I could not say a have a large experience.

So I decided to make a list of scam signs: (and this is just my own opinion)

- A founder and a team are not open.

Talking with a founder is always nice. They are usually full of energy and ready to talk about their project for hours. No matter how tired he/she is: when one is asking about a project, a founder starts talking about it with eyes burn with a fire. No matter who you are. When a founder deflects, tries to escape and avoids it makes you think that he/she just can't tell you anything important. What is more, it is crucial talking to a team. When a team member doesn't know how to answer a simple question about a product, it is also a bad sign.

In case of the lack of opportunity to visit an event and to talk to a team, you always can contact a founder and a team online. They should be open and answer patiently all your difficult questions. Even if you ask it every minute.

- Spending a lot of money on marketing isn't always show professionalism.

Just think. A company needs ICO to raise money for a company development. Isn't it a little bit queerly when an unknown company is too fancy. How? And Why? Why do they need ICO if they already have money on expensive advertisement? I don't know too  

- You know nothing about a founder. And you cant find any information about him/her.

Always google the founder. Always. And now I'm not talking about his/her FB page. I'm talking about his experience, education, photos, events he took part in. A founder should not be a mysterious person who came from nowhere. His background should be open to everyone.

- They don't have a readymade product.

Let's make a sober recognition. The competition is high. In the end of 2017 - the beginning of 2018 you just can't appear with an idea and ask for money. You need to develop your product before ICO. It should not be an amazing one. It could be just prototype. But investors need something real. They need to touch and try your product. However, just 16% of all ICO has a product.

And what do you think about it? What are your signs of a scam?