The Crypto Guarantee

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Obviously there is no such thing as a Crypto guarantee and why everyone has to do their DYOR on everything they are invested into. Some projects are easier than others to investigate as you are possibly actively involved within them. This does simplify the risk as you will most likely see and hear things if something wasn't going according to plan. I remember a few years back when Musing disappeared from the blockchain and wasn't shocked as we all guessed something was up. There were too many signs that told you things were not normal.

A project like HIVE doesn't have a CEO or someone we can go running to when things aren't going well as we have witnesses controlling the nodes that make the blockchain work. The guarantee is in the community and being part of that you have your say. This doesn't guarantee the price as there is no such thing but does guarantee there is no rug pulls or sinister behind the scenes shenanigan's.

Leofinance is another project we can relax on as they have proven over time and various launches they have our backs. Anyone investing from outside could easily see this with a little research. This can be seen as centralised however, but doesn't change how it is operated as they are developing for the community.

These are two examples that are totally different but offer peace of mind more importantly as you at least know your investments are secure. Things get trickier once you leave the HIVE eco system as you have to do some research with the importance of who is behind the project and more specifically what is the crypto project.

Regular announcements being conveyed to investors is key along with a road map linked with a time line that you can monitor. We all know the big word called "WEN" but as long as things are happening and communication lines are open that "WEN" is not that important as long as it eventually happens.

The idea of this post was obviously bought about because of the latest happenings with LUNA and the utter shambles that has since followed. Relying on someone who has an ego bigger than a superstar but had no clue what he was actually doing or the repercussions that actions taken would have. This was an individual running a billion dollar investment that had no clue and needed help.

The team behind the project is that important and why I spend the time researching as much as I can before investing. COTI for instance is made up of a board coming from various banks and investment houses like Blackrock and HSBC. This along with the developers and investors who helped set the ball rolling plus they are a legitimate registered financial institution so they have their own rules and regulations they need to follow. Centralised for now but the nodes are growing and the idea is to decentralize the Treasury entirely which is the investors earning capacity.

There are literally 1000's of crypto projects out there and there must be a very high percentage of "LUNA" equivalents that will fail. How many of these will still be around in 5 years is anyone's guess as there is no guarantees in life. Will regulation blow a number of these out of the water as I am sure that is going to happen at some point. The more money that flows into crypto the more critical it will be to be involved in genuine proper projects as there will be many more LUNA like cases as they are found out.

Finding decentralised projects is not easy as in all honesty there are not that many currently. A few will be less centralised than they are now as those projects mature but no doubt they will still have a spokes person or figure head that has to answer the tricky questions.

For those of us that found HIVE we are very fortunate as even though some argue we are not that decentralised as we all think it is still better off than 99.9% of the other projects.

Posted Using LeoFinance ^Beta