Topic: What tips you will give to a new investor to identify scam projects early ? - page 2. (Read 1071 times)

Give an example (with data and facts) of a big scam that could open his eyes that not all projects have the same responsibility, because to this day many projects are slow to develop and abandoned also when the sale is closed. Sadly and this is still happening. cheap prices are not a guarantee and expensive prices cannot be identified as the best projects.

I myself read more tokenomics and Twitter (especially which followers managed to be mentioned and justified and I usually see active followers and not bots above 100,000 followers) or some people who have a big influence. Because if the developer is transparent with investors, nothing is covered and natural, of course it is more and reflects professionalism than the whitepaper and roadmap are brilliant but there is no care and interaction, of course it is the same nonsense, the project needs a community for marketing, and good involvement. and users need developers to consider what progress is being released.

All projects can plan as high as the sky but solidarity creates a wave of market gaps in the enthusiasm of new altcoins. Indeed, the final result is that no one knows about the scam or developing project, but the attitude that is seen should be able to reflect the character of the developer in running his project even though it is slowly.

Researching about project and team consist of finding what degree of work had been made on creation and planning of the project. A roadmap and plans to increase uses in future. A scam won't provide a detailed plan and it might be a copy of something else.
It's rare to find the details about the people behind a new project these days but of those that provide, it's easy to find more about those people on internet. Most of the scams have shady linkedin and twitter profile while popular real people are also covered in news (real ones).
The forum sure is a good place to see discussion but you won't find good gems early here as most new coin suggested are likely shill post. I look for listing on popular exchange and look for their utility, compare the alternatives and look when I might get a price deal on the projects as most of them pump at the initial listing.

well, basically they will do everything they can to attract the attention of investors. In fact, for scammers who are so intent on defrauding investors, they will create a really good project, and as you said, they will probably try to copy another project's whitepaper to make people feel that this is a good original project.
However, the solution in this case is to continuously carry out research, starting from the team, even to the community. Apart from that, don't forget to ask other people who are more experienced, or maybe ask on this forum.

A lot of times, projects that have evil intentions often copy the content of the whitepaper of a different and similar project that they are copying, and I've seen this myself. I remember, there was a project, probably a scam, that had a lot of similarities with another project that was released or started earlier, and upon checking, I found out that a lot of the content on their website and whitepaper are simply copy-pasted from the other project, word by word.

In such situations, a person who doesn't know about the other project would think it's a legit project because it has a very good whitepaper and very good content. However, if someone does a simple research using the content, they can easily find out about it. So, I always advise people to do a simple Google search with the content of the project's website and

You provide good advice for new investors in identifying fraudulent projects. In addition to these suggestions, there may be additional steps that can help identify fraudulent projects early.

1. Check the project whitepaper carefully. See if the information is clear, credible and detailed enough. Avoid unconvincing project whitepapers.

2. Explore the background of the development team members. Check the background of the development team members. whether their team's experience, expertise and track record. A transparent project will have a verifiable team and a convincing track record.

3. Be alert for suspicious signs related to fraudulent projects, such as promises of big profits that don't match the reality.

4. Ponzi schemes, or unreasonable requests for funds. If something like that happens then be careful.

Identifying scam projects early is like navigating a minefield; they're getting smarter. I've been burned by a seemingly solid project that went kaput, draining all capital. Despite having a good team and product, they just pulled the plug. I recall us developing the app, and suddenly, the CEO dropped a bomb, canceling the project. For me, a doxxed CEO and team is a plus. It means they won't sacrifice their reputation for a crime. It might fail, but at least it's not a scam or rug pull, a tough lesson in the unpredictable world of crypto ventures.

Be wary of premature project partnership announcements. Especially if the project has not existed for a long time. Building a strong reputation among companies such as venture capital firms, media or large stock exchanges takes time and effort. Questionable endorsements or celebrity given token boosts, can also contribute to making a project seem more important than it actually is. Remember, the scammer's goal is to increase the perception of the project's importance, which then translates into positive price action, further generating FOMO in its eventual victims. Therefore, we must carry out careful in-depth research in order to avoid losing money, especially as finding the latest forms of fraud is not always easy.

Well I think a new investor needs to be careful with investing in a new project. There is thousands of projects that we know are going to fail or will in the end do a 'rug pull'.

But a new investor will still want to invest if project can look profitable. We need to be careful how the project handles itself on forums and social media. If it does sound like the profits is too good to be true then it is good chance to avoid the project.

Shitcoin is not something you can see, but meme is something that promotes itself. If something comes up with a name "apeshibadogecoin!" and you see that, know that it's full fake and horrible. I have seen one called PEPEAI, it was using pepe and also AI in the same name just to make sure people buy.

And there wasn't even anything AI about it neither, it literally had zero AI in the system, it was just using the name, and promising something related to AI will be added on later when you give them enough funding, I am sorry but I can make an AI product if you give me enough funding too, or you can too, everyone can do that if you give them enough funding, that is not really why people like to fund projects, you need to have something in your hands.

Yep, those are the signs that we can easily recognize sh*tcoin things. Checking smart contracts helps us somewhat know the quality of that project, but most people who come into contact with hype projects expect big and fast profits, like playing the lottery. Of course, if you don't have skills, or even if you have skills, you can easily be attracted by promises of profit. After many trends have appeared, we all understand that this field has seen a shift in current trends. When scammers are more active, they break the nature of trends and even seasonal things. So there are many beginners who make mistakes when starting out. I always feel sorry for those who start without learning the basic principles of the investment process.

If an investor is really looking to put their money in a project that is just being released, they really need to put the project under the microscope and look for anything, no matter how small, which could indicate that it is a scam, thankfully if you know what you are doing it is not difficult to find some inconsistencies in a matter of minutes and avoid investing in that project as a result of your due diligence, however probably one of the saddest realizations you will make if you do this is that most projects are being released by scammers and there are very few real projects out there.

Do everything possible to know the team members in that projects before embracing the project, because it will be difficult to see potential investors around fake projects in the community because they have all the tools to identify them easily. Try to carry out your personal research before making your final decision in that particular projects no matter the evidence you get from members in that particular projects but ensure you research how strong the teams are and how old are they in the community before investing your money.  Always ask questions when you notice some things you have never experience before in the project, and the answer you will get from the question will determine if the project is fake or real.

Investigation is necessary but sometimes a person Investigate about a project but after sometimes the project become scam. Actually in bear market lots of project become down so they are mostly consider as scam project. It will be helpful if we try to know about the project manager as we can search about the history or can see past results of project created by that manager but a person with little knowledge will not take it serious to search about desire project.

Investigate about the aims and vision of the project and also know the listing mechanism and exchange at which it's coins will listed can also be beneficial in order to accept or reject certain project. You can search about the value of token but sometimes token does not have any value but when they listed on exchange then these token can make a person lucky.

A scam project has one common characteristic. Most of them use greed to attract investors to them. They offer a high APR, bonus, imaginary future rewards or some kind of benefits that is not easy to resist for an investor even they identify them as an scam project. What they do is distribute rewards to their early members and they are the ones who market that project throughout the crypto industry. Later participants are the ones who took the financial loss. There are some scam identifier project in twitter you can follow them as well.

The best thing that a newbie investor can look at is with the developers and everyone who's part of a project. Looking at the team, if you are familiar with some known notorious developers then you're not going to waste your time looking at them.
And if you find someone that's not real like a grabbed photo and name then that's another factor why you need to avoid that project and even if they're good in the marketing and enticing you as investors.

some investors have already mastered knowing the right entry and exit strategies so they might be able to profit from memecoins

most memecoins are definitely best for short-term only so that should be kept in mind some investors who have been investing for a long time might not be as eager to “waste” time and resources in memecoins or they might not be as knowledgeable about memes in general

Here are a few more tips:

1- Not Realistic promises:
If a project is making unbelievable claims of guaranteed high returns or quick profits with little risk(like they will say give 1x and they will give 10x in few hours). Don't fall in these kind of projects.

2- Lack of transparency: Scam projects don't provide clear information about their plans team or progress. If you get any problems to find detailed information about the project so be careful and never invest in these projects.

3- Poor support: If the project team don not respond to questions so in my point of view it's a warning sign. Good projects always give a good support to the users and will give answers of your questions.

4- Copying from others: Scam projects copy content from reputable projects or websites.If you see a project that has copied content so you ( newbies) should think before investing in it.

Always do your own research and never invest according to the others suggestions.

Maybe it's good but in my opinion It's a bit difficult to identify fraudulent projects early and requires in-depth research, critical thinking and vigilance. one way is to look at the whitepaper, evaluate the partnerships they have established, whether there are any red flags and of course this at least increases the chances of avoiding fraudulent projects and making the right investment decisions.

Well there are had been some projects whose social media always give prompt updates and replies to enquires in all their social media platform yet the project ended up a scam this is from personal experience, I invested in that project in 2018 it was well packaged, promoted and well advertised with a well define roadmap, I so much had confidence in the project that it going to be a successful project, they did a successful bounty campaign here launched an ICO phase 1 and phase 2 and all their investors were looking forward to the successful launching of their token in a reputable exchange Lo and Behold they suddenly disappeared without any traces it was a big disappointment henceforth I can invest with the money I can afford to lose in any new project.

My opinion on identifying a potential crypto scam early is to conduct thorough research. Look for any flaws or red flags in the project. Some people, however, tend to prioritize finding what will hype them up, often investing first and researching later. They search for green flags even when the value of their investment has dropped significantly, perhaps to ease their fears or maintain the belief that their tokens/coins will eventually surge.

My advice would be, for instance, if you've found a crypto project you really like and are certain about investing, plan ahead. Establish exit prices for both downturns and upswings to manage your investment risks effectively.