> For the complete documentation index, see [llms.txt](https://docs.ongate.io/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.ongate.io/guidance/investor-advices.md). # Investor Advices You should be aware that, unfortunately, there are still many bad faith actors in the cryptosphere. To assist new investors, we have compiled a handy checklist of the most important things to look out for. **This is not investment advice.** ### **Signs of a bad project** * Hardcaps for meme projects are pretty high. * Except for projects that have already proven to be trustworthy, long presale end times of more than one day are generally suspicious. * Avoid anything with a softcap less than half the hardcap. Avoid anything that has a higher DEX listing rate than a presale rate -> The token's price will be lower on the DEX. * Avoid anything with a DEX listing rate that is half or less of the presale rate -> On the DEX, you get fewer tokens per BNB than on the presale. ### **Whitepaper / Litepaper** The majority of projects use whitepapers to introduce their token to the general public, but not all whitepapers are created equal. If a whitepaper is only two pages long and packed with buzzwords, you're probably looking at something too good to be true. If you come across one with a solid argument, technical analysis, and a potential use case that lacks the flashiness of marketing jargon, there may be more to it. ### **The team behind the project** Consider establishing a sterling reputation through hard, honest work. Imagine losing it all because you wanted to make a quick buck by defrauding others. Doesn't make sense, does it? People with a good track record have skin in the game and are thus less likely to simply take the money and run. Check to see if there is any available information (e.g., LinkedIn) and if they have previously been involved in other projects. ### **Professional online presence** It takes time and effort to establish a proper online presence. This translates into higher project costs. Scams are typically designed to be as low-cost/high-yield as possible, so homepages are frequently overlooked. That doesn’t mean scammers don’t have them, but most of them are at best rudimentary. **Tip**: Many scammers simply reuse the assets from their homepages. Be extra cautious if you have a mild case of déjà-vu. ### **Active community support / Voice and video chats** All scammers are liars, but fortunately, the majority of them are terrible at it. It's difficult to keep convincing people of the alleged greatness of a bad project. As a result, most dubious projects avoid active community support entirely in order to avoid the ongoing scrutiny that comes with it. If you still have the chance and have questions, don't be afraid to ask them. ### **Web Resources for Research** There are numerous websites that can be used to research projects. We recommend using sites like "[tokensniffer](https://tokensniffer.com/)," "[bscheck](https://www.bscheck.eu/)," or "[poocoin](https://poocoin.app/)" to check for potential rug pulls. Simply enter the project's contract address and let the results speak for themselves. Another crucial metric is how many tokens are stored in how many, or how few, wallets. To test this, use "[bscscan](https://bscscan.com/)" or "[etherscan](https://etherscan.io/)" with the same method. Too many large wallets increase the likelihood of large dumps. So keep that in mind. --- # Agent Instructions This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com. ## Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://docs.ongate.io/guidance/investor-advices.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.