With thousands of crypto projects launching each year, not all are built to last. Before you invest, do your homework. Here are 5 red flags to watch out for 👇
🚩 Anonymous Team with No Track Record:
If you can’t verify who’s behind the project, there’s less accountability. A strong, transparent team is the backbone of long-term success.
🚩 Tokenomics That Favor Insiders:
Unbalanced token distribution often signals profit over purpose. If early investors hold all the power, your upside is limited.
🚩 Cult-Like Community Behavior:
If questions are shut down and blind loyalty is encouraged, be cautious. Healthy communities welcome feedback and critical thinking.
🚩 Dead Socials:
An empty Discord or silent Twitter is a major warning sign. Healthy projects have ongoing channels and engaged users.
🚩 Rushed Launch With Bugs and Security Risks:
Speed shouldn’t come at the cost of quality or safety. If smart contracts are pushed live without proper audits, it’s a recipe for disaster.