Do Your Own Research or Digest Your Own Regrets
A bull market is possibly around the corner, and we are here to see it - not to take profits because we don’t learn cycle after cycle. And while there is the opinion, that the bad projects die during the bear - which is actually true - with the bull, new garbage will start floating in the space, and you probably will be swimming in the middle of the sharks, and get bitten. It is a cycle, it repeats, everybody knows by now, and we should act accordingly.
Anyway, today I would like you to get familiar with the crypto slang. You may have heard many expressions when it comes to crypto, such as HODL, diamond hands, FUD, etc. So, perhaps, you heard the expression DYOR before? Is not a perfume brand, (that’s DIOR) and is not a remotely cool acronym, but hey, that’s what we have to work with. So DYOR means DO YOUR OWN RESEARCH, and if you want to be remotely successful you will have to put in the work. Even if you are a lazy bastard, just like me.
In my opinion, DYOR, is one of the most acronyms out there, because it actually means something. Not that the other expressions don’t mean anything, but this one is especially important, considering the amount of projects going around there, that have 0 good intentions towards their community, followers, and users of their protocol.
Even though you may have heard the expression before, how do you become a part of it? I mean, how can you DYOR? Well the Y stands for YOUR, so each one has its own method, but in my case, I do it like this:
Since we are speaking about crypto and about you buying tokens, the word tokenomics has to be a part of your dictionary. There is no way around it. Understand the utility of the token within the project's ecosystem. Research how the token is used, its function within the platform, and if it has a reason to be. Analyze the token's total supply, including the circulating supply and any plans for future issuance. You won't get dumped on!
Well, as you are entering a decentralized territory, the community and its members, are one of the biggest parts, of this big charade that is crypto. Maybe you want to stick close and understand what the community of "XYZ" project is all about. After all the project also depends on the degens that are "backing" it. Check the engagement, initiatives within the community, and their endgame. It will give you a clear picture, of what the people are really interested in.
Who is the team behind the project? What they have done previously? Are they doxxed? Do they have LinkedIn, or any other social? Are they active? Their ethos seems “balanced”? Are they new to Web3, or do they have experience in the industry? All of this is important to understand who is the team behind the project, and if they are builder which you can rely upon.
If not partnerships, maybe backers of the projects. Nowadays if a project uses a MacBook, probably the same project will state that has a partnership with APPLE… So take this with a grain of salt. Of course, that is better to have partnerships than no partnerships, but make sure to fully understand the nature of the partnership between both parties (Integration, Strategic).
Join the official communication channels of the project, such as community forums, social media, and chat platforms. Check how the project communicates. Are there red flags? I mean they discuss prices and are letting you know the token price will go up?! Get out asap. Your funds may be in danger. Does the project also create FUD regarding other projects? Do you want to be associated with a project with this kind of dirty tactics? That's up to you to decide. Are they promising listings on Tier 1 CEX without even having users and a big community? Hmm... No bueno. That's why you DYOR.
Short-term and long-term vision are crucial to understand what the project is about. I mean, are you in for a short trade or a long-time HODL? What does the roadmap of the project look like? Are there real integrations, challenges to be accomplished, and specific details? Or it's all fugazi/filler? Of course, this may be subjective to each one of us, therefore the importance of DYOR. Just remember "All of that other BS is here today and gone tomorrow..."
Well, that was it! that's how you DYOR! I mean, it's "your research", so you will find the items that suit you better, but in my case, there is something that I personally believe that bring the best results. And don't forget to read the whitepaper... I know I know... no one does, but you don't want to be caught in the middle of some bullsh*t, that you will end up paying for ( literally).
So, go little Sherlock, and be the best detective out there you can be. Experience will be your best friend, and perhaps, (just perhaps) this cycle, you can actually take profits. Hope you do, and I hope I do too.
Thank you very much for reading. Hope you have enjoyed the article! Would really appreciate it if you could drop a follow on 👉🏽Twitter(X)👈🏽
See you soon fam!