Undoubtedly, ICOs are forming an attractive part of the cryptocurrency and blockchain sectors for any potential investors. Many have been lured by the promise of fast cash or exponential growth in relatively short periods of time.
Whilst the blockchain and crypto definitely represent the future of transactions and ICOs can be a hugely positive element of that future, there are many ICOs in the market which are nothing short of scams to watch out for. What should you look out for though? Here are some of the key signs which may let you know the ICO is a potential fake:
Below Quality Website/Whitepaper
This is a highly logical point. If you have a project which is attempting to raise tens of millions of dollars, as most ICOs do, then it stands to reason you will have invested in a top quality site design and been meticulous in the preparation of your whitepaper. These are the core elements of your project after all.
It is astonishing though, how many projects just pitch up with a truly awful website and error ridden concepts throughout. This is one sure fire sign to stay far far away from any potential investment.
Generally Poor Ratings
Nowadays, there is big business to be had in rating ICOs. There are many major players in this area with some of the best being among ICOBench. It is forgivable not to be listed on-time with this one since they usually have a large backlog, however if you notice a project with general abysmal ratings across a range of these rating sites, or no listings at all, then this is usually reflective of the projects overall value.
No Team Information
This is a final dead giveaway, if there is no team information listed or the information listed is not connected to a valid LinkedIn account. With every project worth its salt, those associated with it should be proud and more than happy to be listed. If this is not the case, then you would certainly have to question the integrity of the project.