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April 20, 2022

How Do We Analyse Projects? Complete Check-List

Every time we talk about analysis and research before making any decision in crypto, especially before investing. Actually, the more information you have - the better you prepared for anything, it works in any sphere of your life.

But let's come back to crypto. Each analysis is made using special check-list that includes all basic but important parameters and methods of their estimation. Although we provide review of every project before fundraising by ourselves, we want you to know this check-list and use it independently.


βœ… Website. Begin the analysis of the project by studying the site. What you should pay attention to:
πŸ“Œ An interesting and catchy design, or, if the project does not involve some kind of explosive design, then it should be concise and understandable.
πŸ“Œ It should be easy to find all the necessary information for our analysis on the site: a team with photos and social networks, documents for detailed review, an understandable roadmap, links to social networks, and more. The more information the project provides for review immediately, the more confidence it will inspire.

βœ… Study the essence of the project. What is it about? Is it a P2E game, is it a yield aggregator, or is it a fundamental change for the blockchain? Is it an NFT marketplace, an exchange, or both?
πŸ“Œ Usually this information will be immediately or almost immediately available on the site, and in all sources of information for this project.
πŸ“Œ It is necessary to pay attention to what problems the project sees and how it proposes to solve them, what new the project brings to the market and how it wants to stand out.
πŸ“Œ In which network is the project going to operate? Is it a single network (for example, Ethereum) or is it a multi-network project (Ethereum, BSC, and Polygon...)

βœ… Roadmap. A roadmap is a step-by-step project action plan within a time frame. What it plans to implement this quarter, what next quarter, and what will be in a year.
πŸ“Œ Usually this is an infographic in the form of a timeline with a step of one quarter, but it can be different.
πŸ“Œ It’s good if the roadmap shows both plans for past years and plans for future years - this may indicate that the project really does not stand still and is developed according to the plan.
πŸ“Œ Pay attention to the description of the time step - place where are the key innovations are located that the project wants to bring.

βœ… Team. It is always better when the team is opened and can be easily seen on the project website immediately with links to personal social networks (for example, Linkedin).
πŸ“Œ Pay attention to the description of the team, if the founders or owners are well-known people who have established themselves earlier, then this will definitely be discussed in more detail.

βœ… Partners/Advisors. Good partners stay behind promising projects, or at least their number reaches impressive numbers. You need to know leading funds (Tier-1 funds): Sequoia, a16z, Spartan, Three Arrows Capital, Alameda, Animoca...
πŸ“Œ Which funds have already entered / invested / showed interest in investing. This can be understood from the documents of the project, the website, which funds are subscribed to them on Twitter.
πŸ“Œ Blockchain networks and DEX exchanges are not signs of a serious partnership - it goes without saying that the project token will be in some network and can be bought on the appropriate exchange (unless ecosystems and ecosystem funds invested in the project directly. In this case, this pretty strong sign).
πŸ“Œ An example of strong backers - partners and investors, and media partners.

βœ… Documentation. In the documents, the project provides information in more detail, laying out all the technical details and any other details. We are interested in the following documents:
πŸ“Œ Whitepaper/lightpaper: a link to this document is almost always on the site. Example. Basically, these documents are responsible for the technical component and functionality of the project, but you can also find useful information about the token
πŸ“Œ Pitch deck: often a PDF file that visually provides basic information about the project (functionality, benefits, tokenomics, vesting, roadmap, etc.). Example. Pitch deck is searched in the official telegram group of the project

βœ… Social media. We analyse:
πŸ“Œ Twitter. The first main social network, we look at the number of subscribers, how long it has been registered, how often publications are posted and of what nature. We also go to the site https://coinsguru.io/ and paste the project's Twitter link. On Twitter, you need to look at who is following them from famous people/communities inΒ crypto.
πŸ“Œ Telegram. The second main social network, because itΒ isΒ there that the main activity from the community takes place. Often the project makes both a chat for communication and a channel for announcements - we look at both, but more at the chat (how many subscribers, is there any activity).
πŸ“Œ Discord. Top social network for NFT projects, but it's also very useful to see activity there.
πŸ“Œ Medium. Social network for articles and announcements. Often on the Medium, detailed conditions on tokenomics and vesting are laid out.
πŸ“Œ Linkedin. If exists.
πŸ“Œ Instagram. If exists.

βœ… Tokenomics. The most important point in the analysis of projects. This is the economics of the project: how many tokens are planned in total, how many will be sold, how many will be blocked, etc.
πŸ“Œ What were the rounds and what are going to be. Private, public, etc., as well as how many tokens in % and how much in $ is allocated for each of the rounds
πŸ“Œ Total Supply: how many tokens will be released to the market in total (maximum)
πŸ“Œ TGE Circulation Supply: the number of tokens that will flow into the market during the TGE.
πŸ“Œ Sale: how many tokens are planned to be given away for all rounds of sales.
πŸ“Œ TGE marketcap: what is the marketing capitalisation at the time of TGE (value of unlocked tokens at the time of listing, including liquidity).
πŸ“Œ Token Price: what is the price of tokens for each of the sales rounds.
πŸ“Œ Prediction. Having the data above, we calculate the approximate price at the time of listing (TGE marketcap / Circulation Supply).

βœ… Vesting. This parameter has equal importance to tokenomics in project analysis. Vesting is a period of distribution of project tokens to its customers. In many cases, the decision to enter the project depends on the vesting, because if it is too long (17-20+ months), then a lot can happen during this time.
πŸ“Œ TGE unlock: how many tokens will be issued already on TGE (listing)
πŸ“Œ Cliff: period when no tokens are issued (pause)
πŸ“Œ Linear unlock: issuance of tokens in equal shares.
πŸ“Œ Based on vesting, we look at how many tokens will already be on the market during the TGE, and how quickly the market will be saturated with tokens in the following months.

βœ… Fundraising. How much the project has already attracted investments at the time of the analysis and how much it plans to attract more. Information is not always found, it can be calculated from sales already conducted and planned.


Here is the basic but very strong check-list that will make your DYOR better and faster. Use it and increase your proficiency in projects analysis!