6 Questions You Must Ask Before Investing in Crypto

1) What does the crypto asset do? The Utility Matters, even if it is a meme then in that case the speculation on the meme becomes the use case. Example: Trump!

2) What makes the crypto unique or how it differs from its competitors if any? For example people mine LTC as the hash power required for BTC may be higher.

3) Has the project received any funding and who are the backers or any known advisors.

4) How is the investor sentiment like, how many holders are holding the token, total value locked, trading volume, volatility, level of decentralization of the asset and quality of crypto community associated.

5) Who are the founders of the project?

6) Is the crypto project profitable? Lets take an example of decentralized exchanges. Raydium and Orca make money with trading fees and more trading activity means more profits. So look at the product. Are they making money and retaining users? If yes, its a green flag.