everyone please guide me, how can I understand which will be the legit and profitable project. Leave your comments here to help.
Cryptocurrency is a venture capital area, so no one is sure that you will make a profit from the projects you join and the profits earned from projects that you choose bitterly are also difficult to say, because it depends on many different factors. I have a little experience in evaluating projects and hopes that can help you!
I often evaluate projects based on the following principles:
1. Basic things like: development team, project concept, white paper, long-term development strategy must be clear
2. Evaluate project potential based on ability to apply and solve problems in real life. What does it solve for life, how does it apply blockchain technology?
3. How to build community, organize events, meet, conferences. A good project must have a strong community and a large ecosystem
4. How to protect investors: it is best not to have bounty, airdrop, gleam programs.
5. The most important thing of a project according to me is the technology and the financial potential behind the project.
You can see a lot of good projects like Steemit, NEM are in top 50 CMC projects but they have a lot of difficulties when the market goes down. Therefore, a project that wants to develop in the long term in the bear market conditions must have a lot of funding.