Topic: Scam ICO checklist (Read 604 times)
information is very valuable, providing education to many people to be vigilant in investing. many have experienced ICO and it turns out to be a fraudulent project.
Very informative post, just a suggestion, why don't we post here the possible scam ICO's out there? It will surely help us a lot to track which ICO to avoid to lessen the hassle. But before posting it here, we need to justify it first and prove why is that ICO is a scam. I know that there will be a disadvantage if we will post it here like shit posting because they are just assuming that it is a scam ICO. But it will benefit more investors to know which are legit ICO.
Hey crypto-buddies,
I decided to create checklist for scam ICO´s
100% profitability - Guaranteed yield: any funds, ICO projects and investment platforms, that promise a stable interest are likely to be scammers. These are, as a rule, projects of cloud mining, casinos and projects related to binary options, as well as those where the sale of tokens is carried out according to the principles of net marketing: existing investors attract new ones. And, of course, the pyramids, in which old customers receive payments from the contributions of new customers, until the pyramid bursts ...
Celebrities: musicians, athletes, actors who can not know anything about the blockchain and the cryptowrold, and even more to be the guarantors of the fact that this is not a scam, seems exactly the opposite.. Celebrities are used to distract investors from the essence of the project, which is most likely dummy.
Team analysis - It is suspicious that a project team can not be found in social networks or when team members are not connected with each other.
Unintelligible concept - to check the concept you need to study white paper – document, where described the idea of the project and the purpose of raising money. In 90% of cases, scammers compile several documents, and the originals can be easily found in the Internet.
Structure of project costs - If 10% of the investments are reserved for team, 10% will require development, and for marketing will go 80%, then this is a guarantee of the scam. It is also strange if there is no plan for future "monetization" of the project, also a bad signal if there is noticed a lack of investors protection.
Token description - If it has less than two-three functions and it can be replaced by any other altcoin or bitcoin, then this is another bad signal.If the token is not integrated into the project economy, then probably its purpose is simply collecting money. While choosing a coin, you must first think about its use - who and why will buy and use this coin. The second - about the problems that this coin solves. If it does not have these signs - do not invest.
Project Code - It should be uploaded on GitHub and a simple research in the Internet can check the code for plagiat. If the project does not have a link to GitHub or topics on the Bitcointalk, it's a reason to think twice.
Legal structure - should be described in details and easily understandable (at least about the persons issuing tokens)
Investor´s rights -The rights of investors and their guarantees should be described.
The issue of tokens should be within reasonable limits and controlled
UPD: TOGETHER WE CAN CREATE LIST OF SCAM ICO'S, YOUR THOUGHTS ?
I decided to create checklist for scam ICO´s
100% profitability - Guaranteed yield: any funds, ICO projects and investment platforms, that promise a stable interest are likely to be scammers. These are, as a rule, projects of cloud mining, casinos and projects related to binary options, as well as those where the sale of tokens is carried out according to the principles of net marketing: existing investors attract new ones. And, of course, the pyramids, in which old customers receive payments from the contributions of new customers, until the pyramid bursts ...
Celebrities: musicians, athletes, actors who can not know anything about the blockchain and the cryptowrold, and even more to be the guarantors of the fact that this is not a scam, seems exactly the opposite.. Celebrities are used to distract investors from the essence of the project, which is most likely dummy.
Team analysis - It is suspicious that a project team can not be found in social networks or when team members are not connected with each other.
Unintelligible concept - to check the concept you need to study white paper – document, where described the idea of the project and the purpose of raising money. In 90% of cases, scammers compile several documents, and the originals can be easily found in the Internet.
Structure of project costs - If 10% of the investments are reserved for team, 10% will require development, and for marketing will go 80%, then this is a guarantee of the scam. It is also strange if there is no plan for future "monetization" of the project, also a bad signal if there is noticed a lack of investors protection.
Token description - If it has less than two-three functions and it can be replaced by any other altcoin or bitcoin, then this is another bad signal.If the token is not integrated into the project economy, then probably its purpose is simply collecting money. While choosing a coin, you must first think about its use - who and why will buy and use this coin. The second - about the problems that this coin solves. If it does not have these signs - do not invest.
Project Code - It should be uploaded on GitHub and a simple research in the Internet can check the code for plagiat. If the project does not have a link to GitHub or topics on the Bitcointalk, it's a reason to think twice.
Legal structure - should be described in details and easily understandable (at least about the persons issuing tokens)
Investor´s rights -The rights of investors and their guarantees should be described.
The issue of tokens should be within reasonable limits and controlled
UPD: TOGETHER WE CAN CREATE LIST OF SCAM ICO'S, YOUR THOUGHTS ?
Thank's for your effort and concerned my friend, this is very helful for us, it's serve us a guide about to choose the right ICOs.Because through this information that you give us we must be aware to be the victims of the scammer's ICOs this is great!!.
When I was choosing an ICO on ICObench I found one that has a HUSBAND in ICOTeam. And his WIFE (as a independent Jury) has rated his project as the best project and an excellent team and has gave him 5 points.
Could you name this project?
When I was choosing an ICO on ICObench I found one that has a HUSBAND in ICOTeam. And his WIFE (as a independent Jury) has rated his project as the best project and an excellent team and has gave him 5 points.
Even if we check all the boxes on the list, it won’t guarantee that the project will not turn out to be a scam. Scams are usually hard to figure out, this is why people still lose money.
Yeah, Gleb Gamow created even a topic where were gathered 100+ celebrities promoting crypto https://bitcointalksearch.org/topic/the-definitive-list-of-celebs-et-al-embracing-bitcoincrypto-wlinks-proof-3199334 
Celebrities: musicians, athletes, actors who can not know anything about the blockchain and the cryptowrold, and even more to be the guarantors of the fact that this is not a scam, seems exactly the opposite.. Celebrities are used to distract investors from the essence of the project, which is most likely dummy.
Good post, man. Nice guide for newbie-investors.Celebrities just want money and usually they don't care about quality of project they promote. Centra & Floyd Mayweather is good example.
I also remembered it immediately after read celebrity part. not only centra, Floyd Mayweather also endorsed by some different ico projects, and now I think that projects are disappear or abandoned. LOL
I thought here will be a list of such projects (examples), but still thanks to the author for the work
That´s not my topic but you could check it here https://bitcointalksearch.org/topic/the-scams-ive-seen-in-crypto-3209170.
Hey crypto-buddies,
I decided to create checklist for scam ICO´s
100% profitability - Guaranteed yield: any funds, ICO projects and investment platforms, that promise a stable interest are likely to be scammers. These are, as a rule, projects of cloud mining, casinos and projects related to binary options, as well as those where the sale of tokens is carried out according to the principles of net marketing: existing investors attract new ones. And, of course, the pyramids, in which old customers receive payments from the contributions of new customers, until the pyramid bursts ...
Celebrities: musicians, athletes, actors who can not know anything about the blockchain and the cryptowrold, and even more to be the guarantors of the fact that this is not a scam, seems exactly the opposite.. Celebrities are used to distract investors from the essence of the project, which is most likely dummy.
Team analysis - It is suspicious that a project team can not be found in social networks or when team members are not connected with each other.
Unintelligible concept - to check the concept you need to study white paper – document, where described the idea of the project and the purpose of raising money. In 90% of cases, scammers compile several documents, and the originals can be easily found in the Internet.
Structure of project costs - If 10% of the investments are reserved for team, 10% will require development, and for marketing will go 80%, then this is a guarantee of the scam. It is also strange if there is no plan for future "monetization" of the project, also a bad signal if there is noticed a lack of investors protection.
Token description - If it has less than two-three functions and it can be replaced by any other altcoin or bitcoin, then this is another bad signal.If the token is not integrated into the project economy, then probably its purpose is simply collecting money. While choosing a coin, you must first think about its use - who and why will buy and use this coin. The second - about the problems that this coin solves. If it does not have these signs - do not invest.
Project Code - It should be uploaded on GitHub and a simple research in the Internet can check the code for plagiat. If the project does not have a link to GitHub or topics on the Bitcointalk, it's a reason to think twice.
Legal structure - should be described in details and easily understandable (at least about the persons issuing tokens)
Investor´s rights -The rights of investors and their guarantees should be described.
The issue of tokens should be within reasonable limits and controlled
That's helpful! Thanks for sharing your opinion about your basis in selecting a good and scam ICO. The thread you've made will benefit more the investors and even bounty hunters who are always participating in ICO. I hope that the people who scammed by ICO will lessen by following this guidelines. I decided to create checklist for scam ICO´s
100% profitability - Guaranteed yield: any funds, ICO projects and investment platforms, that promise a stable interest are likely to be scammers. These are, as a rule, projects of cloud mining, casinos and projects related to binary options, as well as those where the sale of tokens is carried out according to the principles of net marketing: existing investors attract new ones. And, of course, the pyramids, in which old customers receive payments from the contributions of new customers, until the pyramid bursts ...
Celebrities: musicians, athletes, actors who can not know anything about the blockchain and the cryptowrold, and even more to be the guarantors of the fact that this is not a scam, seems exactly the opposite.. Celebrities are used to distract investors from the essence of the project, which is most likely dummy.
Team analysis - It is suspicious that a project team can not be found in social networks or when team members are not connected with each other.
Unintelligible concept - to check the concept you need to study white paper – document, where described the idea of the project and the purpose of raising money. In 90% of cases, scammers compile several documents, and the originals can be easily found in the Internet.
Structure of project costs - If 10% of the investments are reserved for team, 10% will require development, and for marketing will go 80%, then this is a guarantee of the scam. It is also strange if there is no plan for future "monetization" of the project, also a bad signal if there is noticed a lack of investors protection.
Token description - If it has less than two-three functions and it can be replaced by any other altcoin or bitcoin, then this is another bad signal.If the token is not integrated into the project economy, then probably its purpose is simply collecting money. While choosing a coin, you must first think about its use - who and why will buy and use this coin. The second - about the problems that this coin solves. If it does not have these signs - do not invest.
Project Code - It should be uploaded on GitHub and a simple research in the Internet can check the code for plagiat. If the project does not have a link to GitHub or topics on the Bitcointalk, it's a reason to think twice.
Legal structure - should be described in details and easily understandable (at least about the persons issuing tokens)
Investor´s rights -The rights of investors and their guarantees should be described.
The issue of tokens should be within reasonable limits and controlled
Thank you for this content it is really helpful and detailed.
very good list! i will use it next time i want to invest in an ico. there are really many things that have to be considered, before investing.
More and more Ico emerged, Moreover, the adoption and growth of crypto is still in the early phase, so in the future there will be a lot of ICO projects emerging and can be utilized. The above post is very useful for us all.
Thanks for making this checklist 
Its very useful to have it all together like this
Its very useful to have it all together like this
Hey crypto-buddies,
I decided to create checklist for scam ICO´s
100% profitability - Guaranteed yield: any funds, ICO projects and investment platforms, that promise a stable interest are likely to be scammers. These are, as a rule, projects of cloud mining, casinos and projects related to binary options, as well as those where the sale of tokens is carried out according to the principles of net marketing: existing investors attract new ones. And, of course, the pyramids, in which old customers receive payments from the contributions of new customers, until the pyramid bursts ...
Celebrities: musicians, athletes, actors who can not know anything about the blockchain and the cryptowrold, and even more to be the guarantors of the fact that this is not a scam, seems exactly the opposite.. Celebrities are used to distract investors from the essence of the project, which is most likely dummy.
Team analysis - It is suspicious that a project team can not be found in social networks or when team members are not connected with each other.
Unintelligible concept - to check the concept you need to study white paper – document, where described the idea of the project and the purpose of raising money. In 90% of cases, scammers compile several documents, and the originals can be easily found in the Internet.
Structure of project costs - If 10% of the investments are reserved for team, 10% will require development, and for marketing will go 80%, then this is a guarantee of the scam. It is also strange if there is no plan for future "monetization" of the project, also a bad signal if there is noticed a lack of investors protection.
Token description - If it has less than two-three functions and it can be replaced by any other altcoin or bitcoin, then this is another bad signal.If the token is not integrated into the project economy, then probably its purpose is simply collecting money. While choosing a coin, you must first think about its use - who and why will buy and use this coin. The second - about the problems that this coin solves. If it does not have these signs - do not invest.
Project Code - It should be uploaded on GitHub and a simple research in the Internet can check the code for plagiat. If the project does not have a link to GitHub or topics on the Bitcointalk, it's a reason to think twice.
Legal structure - should be described in details and easily understandable (at least about the persons issuing tokens)
Investor´s rights -The rights of investors and their guarantees should be described.
The issue of tokens should be within reasonable limits and controlled
I decided to create checklist for scam ICO´s
100% profitability - Guaranteed yield: any funds, ICO projects and investment platforms, that promise a stable interest are likely to be scammers. These are, as a rule, projects of cloud mining, casinos and projects related to binary options, as well as those where the sale of tokens is carried out according to the principles of net marketing: existing investors attract new ones. And, of course, the pyramids, in which old customers receive payments from the contributions of new customers, until the pyramid bursts ...
Celebrities: musicians, athletes, actors who can not know anything about the blockchain and the cryptowrold, and even more to be the guarantors of the fact that this is not a scam, seems exactly the opposite.. Celebrities are used to distract investors from the essence of the project, which is most likely dummy.
Team analysis - It is suspicious that a project team can not be found in social networks or when team members are not connected with each other.
Unintelligible concept - to check the concept you need to study white paper – document, where described the idea of the project and the purpose of raising money. In 90% of cases, scammers compile several documents, and the originals can be easily found in the Internet.
Structure of project costs - If 10% of the investments are reserved for team, 10% will require development, and for marketing will go 80%, then this is a guarantee of the scam. It is also strange if there is no plan for future "monetization" of the project, also a bad signal if there is noticed a lack of investors protection.
Token description - If it has less than two-three functions and it can be replaced by any other altcoin or bitcoin, then this is another bad signal.If the token is not integrated into the project economy, then probably its purpose is simply collecting money. While choosing a coin, you must first think about its use - who and why will buy and use this coin. The second - about the problems that this coin solves. If it does not have these signs - do not invest.
Project Code - It should be uploaded on GitHub and a simple research in the Internet can check the code for plagiat. If the project does not have a link to GitHub or topics on the Bitcointalk, it's a reason to think twice.
Legal structure - should be described in details and easily understandable (at least about the persons issuing tokens)
Investor´s rights -The rights of investors and their guarantees should be described.
The issue of tokens should be within reasonable limits and controlled
Thank you very much for the synthesis of knowledge takes a lot of time, effort and money. The newbie will need articles like this, can i share in my Facebook ?
extraordinary analysis.
quality posts as needed when hundreds of potentially fraudulent ICOs are scattered in this forum.
we really have to read and check more carefully to avoid the ICO scam.
quality posts as needed when hundreds of potentially fraudulent ICOs are scattered in this forum.
we really have to read and check more carefully to avoid the ICO scam.
Hey crypto-buddies,
I decided to create checklist for scam ICO´s
100% profitability - Guaranteed yield: any funds, ICO projects and investment platforms, that promise a stable interest are likely to be scammers. These are, as a rule, projects of cloud mining, casinos and projects related to binary options, as well as those where the sale of tokens is carried out according to the principles of net marketing: existing investors attract new ones. And, of course, the pyramids, in which old customers receive payments from the contributions of new customers, until the pyramid bursts ...
Celebrities: musicians, athletes, actors who can not know anything about the blockchain and the cryptowrold, and even more to be the guarantors of the fact that this is not a scam, seems exactly the opposite.. Celebrities are used to distract investors from the essence of the project, which is most likely dummy.
Team analysis - It is suspicious that a project team can not be found in social networks or when team members are not connected with each other.
Unintelligible concept - to check the concept you need to study white paper – document, where described the idea of the project and the purpose of raising money. In 90% of cases, scammers compile several documents, and the originals can be easily found in the Internet.
Structure of project costs - If 10% of the investments are reserved for team, 10% will require development, and for marketing will go 80%, then this is a guarantee of the scam. It is also strange if there is no plan for future "monetization" of the project, also a bad signal if there is noticed a lack of investors protection.
Token description - If it has less than two-three functions and it can be replaced by any other altcoin or bitcoin, then this is another bad signal.If the token is not integrated into the project economy, then probably its purpose is simply collecting money. While choosing a coin, you must first think about its use - who and why will buy and use this coin. The second - about the problems that this coin solves. If it does not have these signs - do not invest.
Project Code - It should be uploaded on GitHub and a simple research in the Internet can check the code for plagiat. If the project does not have a link to GitHub or topics on the Bitcointalk, it's a reason to think twice.
Legal structure - should be described in details and easily understandable (at least about the persons issuing tokens)
Investor´s rights -The rights of investors and their guarantees should be described.
The issue of tokens should be within reasonable limits and controlled
Good post, thank you.I decided to create checklist for scam ICO´s
100% profitability - Guaranteed yield: any funds, ICO projects and investment platforms, that promise a stable interest are likely to be scammers. These are, as a rule, projects of cloud mining, casinos and projects related to binary options, as well as those where the sale of tokens is carried out according to the principles of net marketing: existing investors attract new ones. And, of course, the pyramids, in which old customers receive payments from the contributions of new customers, until the pyramid bursts ...
Celebrities: musicians, athletes, actors who can not know anything about the blockchain and the cryptowrold, and even more to be the guarantors of the fact that this is not a scam, seems exactly the opposite.. Celebrities are used to distract investors from the essence of the project, which is most likely dummy.
Team analysis - It is suspicious that a project team can not be found in social networks or when team members are not connected with each other.
Unintelligible concept - to check the concept you need to study white paper – document, where described the idea of the project and the purpose of raising money. In 90% of cases, scammers compile several documents, and the originals can be easily found in the Internet.
Structure of project costs - If 10% of the investments are reserved for team, 10% will require development, and for marketing will go 80%, then this is a guarantee of the scam. It is also strange if there is no plan for future "monetization" of the project, also a bad signal if there is noticed a lack of investors protection.
Token description - If it has less than two-three functions and it can be replaced by any other altcoin or bitcoin, then this is another bad signal.If the token is not integrated into the project economy, then probably its purpose is simply collecting money. While choosing a coin, you must first think about its use - who and why will buy and use this coin. The second - about the problems that this coin solves. If it does not have these signs - do not invest.
Project Code - It should be uploaded on GitHub and a simple research in the Internet can check the code for plagiat. If the project does not have a link to GitHub or topics on the Bitcointalk, it's a reason to think twice.
Legal structure - should be described in details and easily understandable (at least about the persons issuing tokens)
Investor´s rights -The rights of investors and their guarantees should be described.
The issue of tokens should be within reasonable limits and controlled
I'd like to put emphasis on team analysis. It's really important and leads to results faster than the other methods.
Also, some of the teams put famous people on the list of advisors without their knowledge, which IMHO is unethical and I think of such projects as untrustworthy.
Sometimes its very hard to find a scam initial coin offerings. These criminal people are not stupid, and they try everything. They even take time to make everything look proffessional. So even when you look at all those points, you will maybe be scamed. And asking other people on message boards or telegram will not help you, because there are always people who think the some initial coin offering is a scam. So also you need always some luck.
Hey crypto-buddies,
I decided to create checklist for scam ICO´s
100% profitability - Guaranteed yield: any funds, ICO projects and investment platforms, that promise a stable interest are likely to be scammers. These are, as a rule, projects of cloud mining, casinos and projects related to binary options, as well as those where the sale of tokens is carried out according to the principles of net marketing: existing investors attract new ones. And, of course, the pyramids, in which old customers receive payments from the contributions of new customers, until the pyramid bursts ...
Celebrities: musicians, athletes, actors who can not know anything about the blockchain and the cryptowrold, and even more to be the guarantors of the fact that this is not a scam, seems exactly the opposite.. Celebrities are used to distract investors from the essence of the project, which is most likely dummy.
Team analysis - It is suspicious that a project team can not be found in social networks or when team members are not connected with each other.
Unintelligible concept - to check the concept you need to study white paper – document, where described the idea of the project and the purpose of raising money. In 90% of cases, scammers compile several documents, and the originals can be easily found in the Internet.
Structure of project costs - If 10% of the investments are reserved for team, 10% will require development, and for marketing will go 80%, then this is a guarantee of the scam. It is also strange if there is no plan for future "monetization" of the project, also a bad signal if there is noticed a lack of investors protection.
Token description - If it has less than two-three functions and it can be replaced by any other altcoin or bitcoin, then this is another bad signal.If the token is not integrated into the project economy, then probably its purpose is simply collecting money. While choosing a coin, you must first think about its use - who and why will buy and use this coin. The second - about the problems that this coin solves. If it does not have these signs - do not invest.
Project Code - It should be uploaded on GitHub and a simple research in the Internet can check the code for plagiat. If the project does not have a link to GitHub or topics on the Bitcointalk, it's a reason to think twice.
Legal structure - should be described in details and easily understandable (at least about the persons issuing tokens)
Investor´s rights -The rights of investors and their guarantees should be described.
The issue of tokens should be within reasonable limits and controlled
I decided to create checklist for scam ICO´s
100% profitability - Guaranteed yield: any funds, ICO projects and investment platforms, that promise a stable interest are likely to be scammers. These are, as a rule, projects of cloud mining, casinos and projects related to binary options, as well as those where the sale of tokens is carried out according to the principles of net marketing: existing investors attract new ones. And, of course, the pyramids, in which old customers receive payments from the contributions of new customers, until the pyramid bursts ...
Celebrities: musicians, athletes, actors who can not know anything about the blockchain and the cryptowrold, and even more to be the guarantors of the fact that this is not a scam, seems exactly the opposite.. Celebrities are used to distract investors from the essence of the project, which is most likely dummy.
Team analysis - It is suspicious that a project team can not be found in social networks or when team members are not connected with each other.
Unintelligible concept - to check the concept you need to study white paper – document, where described the idea of the project and the purpose of raising money. In 90% of cases, scammers compile several documents, and the originals can be easily found in the Internet.
Structure of project costs - If 10% of the investments are reserved for team, 10% will require development, and for marketing will go 80%, then this is a guarantee of the scam. It is also strange if there is no plan for future "monetization" of the project, also a bad signal if there is noticed a lack of investors protection.
Token description - If it has less than two-three functions and it can be replaced by any other altcoin or bitcoin, then this is another bad signal.If the token is not integrated into the project economy, then probably its purpose is simply collecting money. While choosing a coin, you must first think about its use - who and why will buy and use this coin. The second - about the problems that this coin solves. If it does not have these signs - do not invest.
Project Code - It should be uploaded on GitHub and a simple research in the Internet can check the code for plagiat. If the project does not have a link to GitHub or topics on the Bitcointalk, it's a reason to think twice.
Legal structure - should be described in details and easily understandable (at least about the persons issuing tokens)
Investor´s rights -The rights of investors and their guarantees should be described.
The issue of tokens should be within reasonable limits and controlled
thanks for the guide bro, this is very helpful for us especially the newbe
This is really very useful information for investors looking for investment projects. I think these rules will help many people choose a good project. I would like to add more about the projects that promote the celebrities, this is really true, almost all of these projects are a scam.
Hey crypto-buddies,
I decided to create checklist for scam ICO´s
100% profitability - Guaranteed yield: any funds, ICO projects and investment platforms, that promise a stable interest are likely to be scammers. These are, as a rule, projects of cloud mining, casinos and projects related to binary options, as well as those where the sale of tokens is carried out according to the principles of net marketing: existing investors attract new ones. And, of course, the pyramids, in which old customers receive payments from the contributions of new customers, until the pyramid bursts ...
Celebrities: musicians, athletes, actors who can not know anything about the blockchain and the cryptowrold, and even more to be the guarantors of the fact that this is not a scam, seems exactly the opposite.. Celebrities are used to distract investors from the essence of the project, which is most likely dummy.
Team analysis - It is suspicious that a project team can not be found in social networks or when team members are not connected with each other.
Unintelligible concept - to check the concept you need to study white paper – document, where described the idea of the project and the purpose of raising money. In 90% of cases, scammers compile several documents, and the originals can be easily found in the Internet.
Structure of project costs - If 10% of the investments are reserved for team, 10% will require development, and for marketing will go 80%, then this is a guarantee of the scam. It is also strange if there is no plan for future "monetization" of the project, also a bad signal if there is noticed a lack of investors protection.
Token description - If it has less than two-three functions and it can be replaced by any other altcoin or bitcoin, then this is another bad signal.If the token is not integrated into the project economy, then probably its purpose is simply collecting money. While choosing a coin, you must first think about its use - who and why will buy and use this coin. The second - about the problems that this coin solves. If it does not have these signs - do not invest.
Project Code - It should be uploaded on GitHub and a simple research in the Internet can check the code for plagiat. If the project does not have a link to GitHub or topics on the Bitcointalk, it's a reason to think twice.
Legal structure - should be described in details and easily understandable (at least about the persons issuing tokens)
Investor´s rights -The rights of investors and their guarantees should be described.
The issue of tokens should be within reasonable limits and controlled
I decided to create checklist for scam ICO´s
100% profitability - Guaranteed yield: any funds, ICO projects and investment platforms, that promise a stable interest are likely to be scammers. These are, as a rule, projects of cloud mining, casinos and projects related to binary options, as well as those where the sale of tokens is carried out according to the principles of net marketing: existing investors attract new ones. And, of course, the pyramids, in which old customers receive payments from the contributions of new customers, until the pyramid bursts ...
Celebrities: musicians, athletes, actors who can not know anything about the blockchain and the cryptowrold, and even more to be the guarantors of the fact that this is not a scam, seems exactly the opposite.. Celebrities are used to distract investors from the essence of the project, which is most likely dummy.
Team analysis - It is suspicious that a project team can not be found in social networks or when team members are not connected with each other.
Unintelligible concept - to check the concept you need to study white paper – document, where described the idea of the project and the purpose of raising money. In 90% of cases, scammers compile several documents, and the originals can be easily found in the Internet.
Structure of project costs - If 10% of the investments are reserved for team, 10% will require development, and for marketing will go 80%, then this is a guarantee of the scam. It is also strange if there is no plan for future "monetization" of the project, also a bad signal if there is noticed a lack of investors protection.
Token description - If it has less than two-three functions and it can be replaced by any other altcoin or bitcoin, then this is another bad signal.If the token is not integrated into the project economy, then probably its purpose is simply collecting money. While choosing a coin, you must first think about its use - who and why will buy and use this coin. The second - about the problems that this coin solves. If it does not have these signs - do not invest.
Project Code - It should be uploaded on GitHub and a simple research in the Internet can check the code for plagiat. If the project does not have a link to GitHub or topics on the Bitcointalk, it's a reason to think twice.
Legal structure - should be described in details and easily understandable (at least about the persons issuing tokens)
Investor´s rights -The rights of investors and their guarantees should be described.
The issue of tokens should be within reasonable limits and controlled
This is a very useful guide to check if an ICO is a scam or not....
Another thing to look at are social networks, if for example there are lots of followers with few posts it’s strange... in these cases I first do a twitteraudit for this profile and check also telegram to check if group is really active or not.
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