/How-to-invest-in-Blockchain

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How to invest in Blockchain

Inspired by - Hung Dinh

My first version on how to doing blockchain analyst/scoring for investment and research purpose

Table of Contents

What do I have for you ?

This is my long-term research plan to be a Crypto Analyst through real-life problem and research material from books, industry leaders, online course and top-ranked course.

My main goal was to find an approach to studying block-chain that is mainly hands-on and practical for the beginner. The most common crypto hedge fund strategy is quantitative (37% of funds), followed by discretionary long/short (28%), discretionary long-only (20%), and multi-strategy (11%) (PWC 2021 report).

In retail investing and research, you get your alpha by DYOR (Do your own research) and deep research. The discretionary long-only or buy and hold is the most reasonable choice for most beginner. Quantitative, Long, Short, Future are for proffesional with advanced analytics and capitals.

“All the returns in life, whether in wealth, relationships, or knowledge, come from compound interest.” - Naval Ravikant -. Nobody become expert in blockchain market in one night, I believe in daily improvement everyday just like this project.

Please, feel free to make any contributions and feedback.

Why use it?

I'm following this plan to finding the hidden Gem in Crypto Market. I've been study and working in Finance Industry since 2013.

I think the best way for investing-learning methodology is something like 'practice — learning — practice', that means where people first come to the market with some blockchain projects with problems and solutions (practice) to get familiar with traditional methods in the area and perhaps also with their methodology. After practicing with some elementary experiences, they can go into the market and study the underlying theory, which serves to guide their future advanced practice and will enhance their toolbox of solving practical problems. Studying theory also further improves their understanding on the elementary experiences, and will help them acquire advanced experiences more quickly.

Investing is a life study plan. I am gonna update it when I have updated/trending information. Collaboration/ Team-Building is welcome.

Education Source

Investment Due Diligence Checklist:

Technology evaluation:

  • Quality Whitepaper
  • Innovation Product
  • Blockchain Technology Stack (Application, Services and Optional Components, Protocol, Network, Infrastructure)
  • Technical Roadmap
  • Adoption Rate/ Time Frame
  • Project Timeline/Code
  • Quality of Code (Github)

Founder/CoreTeam/Advisor:

  • Verified Background & Reputation (linkedln, Github,Facebook, Google Research)
  • Experiences & Achievement & Portfolios
  • Industry/Proffesional Network
  • Vision/Mission/Culture
  • Venture Capital Support (crunchbase, angel, techdealasisa)

Market Presence/Community/Supporter:

  • Website Analytics (traffic, benchmark with competitor, Growth Rate)
  • Sentiment analysis/ Social Hearing
  • PR & Branding (Coverage by top crypto media, comment sections, Podcasts, Blogs, Reddit, Twitter, ICO Platforms, Research Institutes)
  • Social Presence (Twitter, Telegram, Facebook, Discord, Medium, Slack)
  • Community Interaction

Business Model:

  • Blockchain Technology Layer (Application, Services and Optional Components, Protocol, Network, Infrastructure)
  • Project Stage(Pre-seed, Seed, Early, Growth, Expansion, Exit)

Token Generation Event/Deal Structure:

  • Token Sale
  • Tokenomics
  • Token Release
  • Capital Allocation, The use of money investment
  • Trading Infrastrucutre (Listing, wallet, ecosystem)
  • Coin Wallet

Financial/Investment/Risk Analysis

  • Market Cap (top 50, top 300, top 500)
  • Value at risk
  • Total transaction value daily
  • Market Share
  • Revenue
  • Direct & potential competitors & Peer Review
  • Value Chain Analysis & Market structure & Growth Potential

Legal/Security/Exit Plan

  • Legal (Token Safe Harbor Proposal)
  • Security (Turing, Wasm, On-Chain Governance)

Blockchain Scoring/Peer review

The first sample of blockchain scoring - the Graph, you can download and customized it to your need. I will upload a sample analysis soon. https://docs.google.com/spreadsheets/d/1cbzTXCZ0nj6FMR1bIpHHPp82_NszmyNe/edit#gid=2110209561

Other (To be updated)

Crypto Signal/Advanced Analytics:

Book List:

Bitcoin, ETH, KNC White paper, How to build your first BlockChain

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