With the development of cryptoindustry, it becomes more difficult for users to select promising coins. Cryptocurrencies that differ from bitcoin and etherium appear more often, but it is not always clear whether to buy them. Hundreds of ICO tokens do not add certainty. How to compare the cryptocurrencies in this variety and what criteria for this exist? We will describe in this article!
It is necessary to choose at least in two stages. At the first, an investor selects several dozens of those that he considers promising from hundreds of cryptocurrencies. On the second – from several dozen selects the currencies corresponding to his strategy.
This requires a sophisticated selection scheme, which the investor will adhere to, until he consciously decides to change it due to some objective reasons – for example, when changing strategies or when the situation on the crypto market changes radically.
Criteria can be equally important with different investment strategies. However, it may be that one criterion will be more important for a long-term investor, and another one for a short-term one, therefore, it is always necessary to compare cryptocurrencies with an eye to strategy.
The difficulty with the choice of cryptocurrency is that the industry is developing rapidly and the comparison criteria within a few time frames become obsolete. New ones appear regularly, which previously had no special meaning.
Previously, any new cryptocurrency caused a noticeable interest, and its course was growing, and today the appearance of new ones is of no interest to anyone, because anyone can make a fork. However, crypto users are beginning to be interested in other issues.
And this is not a complete list of future selection criteria. Significant changes are obviously worth waiting for regarding technical criteria. If crypto-market laws are more or less formed, the technical field is currently developing, but still far from being formed.
The criteria will most likely be changed in terms of infrastructure – for example, most likely, there will be a criterion of “legal protection of investors” and others.
All this must be monitored by every investor who plans to make money on the crypto terminal, because it is impossible to earn the maximum today using the criteria that were important yesterday.