🔍Project Finding

Some tips for finding a project to support.

HOW TO CHOOSE A GOOD NFT PROJECT?

When looking for an NFT project to invest in, there are key factors and questions to ask when analysing each project. This comprehensive guide breaks down what to consider within the below categories:

1. Art & First Impression.

2. Team Background.

3. Vision, Roadmap, & Utility.

4. Uniqueness, Scarcity, & Rarity.

5. Team & Community Engagement.

6. Digital Presence.

7. Other Considerations.

Not all the boxes need to be checked, but they do help determine which projects may be worth investing in. The most important thing you should learn is to always DYOR (Do Your Own Research).

1. ART & FIRST IMPRESSION

The art is typically the first thing that hooks people and creates excitement. Does the art look good to you? Is it something that sparks your interest (images, art, poetry, or anything that really speaks to your creative side)? Is this something you would like to show other people? Does it look like they hired an actual artist for this or did they use an AutoCAD design program (for example) to put this together? Does it look copied or is it unique? What purpose does the art serve in the project; i.e., what is the project about? Other considerations: research more about the artist to see what they’ve done in the past, and their thoughts about the project and artwork.

2. TEAM BACKGROUND

A team that earns your trust and respect is a crucial factor of a successful project. Are the team and artist doxxed? At this stage in the game, you should stay away from a project if you don’t know who’s creating it. What has this team or person done before? Are they in tech or crypto? What kind of success have their other projects had? Do they have Twitter, Instagram, LinkedIn, etc.? These are important to have; we need to see some sort of digital footprint. Is this someone or a team that you would bet on to do a good job based off track record. Other considerations: is the team supported by professional & reputable figures with several years of experience?

3. VISION, ROADMAP, & UTILITY

A long-term vision will inform the roadmap and utility delivered to holders. VISION Does the team have a vision for the future? What is it? Does the team want to create something like a company, group, etc., or are they just going to complete the roadmap and that’s it? Does the team talk about adding things that are not in the roadmap? Are they open to getting the community involved in the project? Do you feel connected to the vision enough to invest in the project? ROADMAP Is there a long-term plan or just some short-term pieces of art? Does the roadmap look like fluff or do they seem like tangible items that can be completed in a reasonable amount of time? Is the roadmap generic with very basic info or do they go into detail about their steps? UTILITY What is the utility of the token or product (e.g. does it look cool, serve a purpose, or grant membership into a club?) Can it be reproduced and what rights do you have to it as a consumer? Can you print it and advertise it? Does the token make you passive income via a business plan of the company or organisation’s own investments, such as backing it up with a mainstream crypto or does it have intrinsic value? Do the communities offer support groups, discussions, and giveaways as well as the team consistently financially backing their projects through their own investments?

4. UNIQUESNESS, SCARCITY, & RARITY

The unique factor applies to both the artwork and roadmap. How unique is this project in general? Is it another one of the hundreds of similar projects out there, or does it stand out on its own? How exclusive is it? How many of the tokenised items will be available to the public?

5. TEAM & COMMUNITY ENGAGEMENT

A healthy team-community relationship drives the project’s success, fosters an enthusiastic community, and increases the value delivered to holders. TEAM How active is the team in working on the project and engaging with the community? Do they answer questions, are they transparent, do they foster a fun and positive environment? Does the team recognize members who add value? Is the team receptive to community feedback, do they seek it out, and do they implement it? A big plus: the team under-promises and over-delivers. COMMUNITY Does the community talk about the future of the project and brainstorm ideas to make it better or are they only talking about floor price and pumping it up? When you go into the Discord server, can you engage in actual conversations with people or does it seem like a bunch of bots typing “LFG”, “GM”, “WAGMI,” etc.? Other considerations: the project doesn't do invite contests to pump their membership numbers. It grows instead through organic means/word-of-mouth to increase the amount of members who truly care about the project.

6. DIGITAL PRESENCE

Which social media platforms is the project on? How large is their following on each? What is the general sentiment about the project based on comments?

7. OTHER CONSIDERATIONS

Is the mint price or secondary market price an amount you can afford to lose? Keep in mind, there is no guarantee of success with NFTs. It is an incredibly speculative, high-risk form of investment. If liquidity is needed, then flip when the profit is right for you. Track sales activity after minting to ensure you flip at the optimal time. Otherwise, be patient, keep your emotions in check, trust your research, and be confident in your decision making! After reading this, you should have a pretty clear idea of what the project can or can’t deliver to you as a potential investor.