Nothing is worse than investing your hard-earned into a scam project. Let’s face it: 95% of the projects in this space are nothing more than money grabs (or an outright scam). Do we really need to keep track of bananas on the blockchain?

*Disclaimer: This is not financial advice, and the opinions expressed in this article are for educational purposes only.



Nothing is worse than investing your hard-earned into a scam project. Let’s face it: 95% of the projects in this space are nothing more than money grabs (or an outright scam). Do we really need to keep track of bananas on the blockchain?

Why does a dating app need a blockchain in the first place? Other times a project sort of ‘make sense’, but the technology isn’t very feasible (like Virtual Private Network on the blockchain … what happened to that project?)

Unwise investors dump money into projects that make no sense. It’s like having a stack of $100 bills and lighting it on fire.

You can’t completely predict a project’s success because it’s multi-variable; however, you can tilt the odds in your favorite by knowing what to look out for (which I’ll disclose in this article)

When you go into an ICO, you should aim to buy a gigantic ton of tokens for cheap, and selling it to the market at 1,500% mark-up — this is how money is made in the ICO space.

I’ll show you how to research and invest your money like a professional, so you can keep on stacking that satoshi (and fiat) gains …

Sounds good? Let’s dive deep into it.



1. Hype, lies and outright scams in the ICO space
2. How to evaluate a project before investing
3. The key to making a gigantic stack of satoshi (and fiat)
4. Final words on how the game is played
Let’s start off with the most offensive part …


Because this space is still in its infancy, there are misconceptions and (sometimes) outright lies in this space. At time of writing, there aren’t any real legal repercussions for ICOs failing to deliver (aside from some angry emails). As a result, investors are bombarded with YouTube shills and projects that are hungry for ‘free’ money — and sometimes investors do get hoodwinked into putting their savings into the modern day equivalent of the ‘Nigerian Prince Scam’.

Yes, it’s true: since it’s just a ‘utility’ token and it isn’t a security, projects can get away with not delivering.

If you had invested in ICOs in 2017, you would have seen insane returns. The market was in an euphoric state; people threw money into any project that mentioned ‘blockchain’, ‘ledger’ and ‘tokenized economy of decentralization’ in the white paper. The profit train was great: but just like everything else in life, all good things must come to an end.

Soon after the boom, governments began sniffing around this new source of income and started to clamp down; Chinese, South Koreans and Americans were barred from investing into ICOs (meanwhile, a farmer in Mongolia tending his sheep could invest in ICOs just fine).

Because these projects are mostly hype and marketing driven (with no real working product or user adoption), the prices tend to go parabolic, with early investors dumping their coins on new buyers who FOMO in.

Unlike traditional investments, ICOs aren’t legally obligated to deliver on their project. What is the worst thing that could happen? Angry people would come and flood their telegram chat with “curse the team and your families, I’m going on Reddit and Twitter to tell people you’re a scam!” Uh … Okay.

How do we discern legitimate projects from cash grabs? We’ll cover that in the next section.



We’re in a market that speculates on what others are speculating about a new speculative asset.

Sometimes the project doesn’t even make sense, but the price still goes parabolic because of the hype factor. YouTube shills, mainstream media and people on Telegram are all incentivized to shill the “next Bitcoin” and swear on their mother’s grave that it’s the next best thing (since sliced bread).

We laugh at people who fall for Nigerian scams, but many ICOs are exactly the same - but instead of a prince asking for some cash, it’s a random person asking for crypto.

As investors, we need to get smarter. We need to read the white papers and familiarize ourselves with blockchain tech. Even with a layman understanding of the technology, you can protect yourself against most of the ICO scams out there. Always ask yourself one question when reading about a new ICO: does this project need to be on the blockchain?

If it doesn’t, then it’s another money grab, especially if they’re asking for 50 million.

Note: The highest volume crypto exchange in the world, Binance, only raised USD$ 15 million … while the standard ICO usually asks for about USD$ 50 million (to put bananas on the blockchain, am I right?).

The next question is, “Does this project make sense from a technical and user adoption point of view?”.

Here at CryptoGrinders, we picked Pundi X, HT and BNB because we understood the value these projects could deliver. True enough, these projects have shown time and again that they were the right choices. HT (Huobi Token) and BNB (Binance Token) are great because crypto exchanges thrive regardless of market conditions. They also have a rapidly growing user base as cryptocurrency becomes more and more widely known.

We liked Pundi X because it had the first mover advantage. They focus on using a Point of Service (POS) machine to allow people to buy crypto as easily as buying bottled water: it is addressing a ‘need’ that will only get larger as more and more people want to enter the space, but are not technically savvy enough to use existing OTC services.

Next up, you’d want to take a look at the team members and the advisors; scour their LinkedIn profiles and look them up on Google. Do the team members have real creditability, or are their ‘resumes’ inflated? (like the guy who makes your sandwich at Subway calling himself a “sandwich artist”) A great project can fall flat if there is no one capable of executing the idea.

And finally, take a look at the marketing budget.

Because we’re in a speculative asset class, marketing is king. A project can have superior technology and use case … but if the marketing sucks and nobody knows about it, the price isn’t going to move. Is the website aesthetically appealing, or does it look like a cheap WordPress template? Are the team member pictures professionally taken, or is it a blurry selfie? The devil is in the details, because they’re indicators that the project will have good marketing, thus generating rabid buyers.

Note: nowadays, projects employ “shills” (people who hype the project). These shills go on Reddit, Telegram, and even the comments sections on YouTube to post statements such as “This project is going to the moon, buy buy buy!” There are also YouTubers who are paid to shill by creating original video content. This space is so saturated with shills that you have shills shilling to other shills.

The last thing to look at would be the hard cap and lock in period of the project.

It’s not the circulating supply of tokens that you should be concerned about; it’s the hard cap. If the project wants to fund raise 100 million, it will take a larger injection of money to move the price compared to 15 million (like BNB).

The last thing you want to observe is the lock in period. Angel investors get in early with massive bonuses (more tokens for less capital), so when the coins go live on an exchange they can dump it immediately to cash out, thus crashing the price. You want to see at least a 3 to 6-month lock in period for both investors and team members — this way, the price will not immediately plummet when it hits an exchange.


To Recap:

1. Does it need to be on the blockchain?
2. Who are the team members and advisors (it’s best to bet on the right horses)?
3. What is the marketing budget?
4. What is the hard cap and lock in period?

Got it? Good! Moving on…



How do big name YouTube shills make so much? Answer: they make backdoor deals with projects.


Project CEO: “Hey bro, can you shill our project on your YouTube channel?”
YouTube Shill: “Okay, what’s in it for me?”
Project CEO: “We’ll give you 70% bonus plus 100K free tokens”
YouTube Shill: “Your project is about putting bananas on the blockchain?”
Project CEO: “…. yes.”
YouTube Shill: “Perfect.”

YouTube shills will ruthlessly shill any projects, regardless of its calibre (everyone is in this space for the money, right? I’m not judging them).

If you want to make big money, you need to become an angel investor or get a private deal. If you don’t have the connections, then get in early during the public ICO phase.

The game is played by accumulating a massive stack early on, at a discount, only to sell it to FOMO buyers at a marked-up price. Rinse and repeat until you’re rich.

… and that’s how you win.



Crypto is where fast money can be made. Anyone can take part in the action if they simply observe, get into the (right) project early, and exit at the right time.

In the stock market (at least here in America), regular “average” people can’t buy stocks during the IPO. Only “accredited” investors (rich people) can buy … only to sell it to retail investors at a marked-up rate. It is illegal for retail investors to buy during IPO.

… indeed, the rich get richer.

But crypto is a different game. Anyone can invest in an ICOs (unless you’re legally not allowed to); even kids in school with less than USD$ 100 can invest in the latest ICOs.

What you need to do today is to get good at fundamental analysis and make your fortune by:

1. Get on a project very early
2. Research the team members, advisors and roadmap + use cases
3. Check out their marketing
4. If all of these check out, buy yourself a gigantic stack of coins and be waiting to wait for months to sell at a premium.

And this, my friend, is how you amass bitcoin. Invest seriously, and soon you’ll be on the way to the bank (in your lambo) to cash out.

Are you ready to become an ICO profit flipping king? It’s time to get started and invest into ICOs like a professional.

Thank you for reading and stay tuned for the next CryptoGrinders article. Found this article informative? Then you’ll love our Telegram channel here.

PS: Be sure to check out …

How To Construct Your Portfolio Like A Pro

How To Make Your First $100K With Crypto

A Quick Guide To Making Passive Income With Crypto (Without Mining)


Brian Li

19 June 2018