Part 1: How To Decide If You Should Invest In A DeFi/Crypto Project?
The purpose of this short research analysis article is to help you decide if you should invest in a DeFi project or not. There are many factors to consider before reaching a decision, and so, I put together this simple process to help you with your investment decision/s.
This is a two-part research article that covers these aspects from both angles, what a reject vs an approved project looks like. Shall we???
Ramifi Research/ Due Diligence
Intro: Synthetic commodity whose value as a stablecoin is determined by a dynamic weighted basket of commodities. This tracks inflation in real time, enabling users to be certain of the real-time value of their underlying assets.
Pros:
- Nice website: good design, intuitive
- Fair seed/private prices: no massive discount or instant multiplier for early-stage investors
- Developer telegram: attempting to coordinate with community developers
- Public facing team
Cons:
- Fairly good idea, but has been done before to some capacity
- Inexperienced team: only one developer
- Small community
- Low-quality investors
- Weak tokenomics; large team allocation, short vesting, fast release schedule
Closing arguments
Not a unique idea, plenty of competitors, doesn’t meet market needs. No long-term value adding investors. These are likely to flip at TGE and suppress the market. Not a strong team. Early team allocation release which is not conducive to a long-term development plan. Such dramatic inflation in the first few months after launching indicates Ramifi will struggle to secure listings on major exchanges. Weak community presence.
Verdict: Reject
Due to the above reasons, Ramifi is not a project with long-term tractability.
