Principle and Algorithmic Checksheet for Buying Any Cryptoccurency

Principle and Algorithmic Check sheet
Purchase of a Crypto Currency:
Coin name:
Exchange:
Wallet:
Date:
Purchase Price:
Amount of coins:
Total Principle Invested:
Dividend:
52 Wk high:
52 Wk low:
% of Crypto Portfolio:
Centralized or Decentralized:
Currency or Company-tied:

Main reason purchase of this coin: __________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

Fundamentals:
• What problem is this currency trying to solve: (What is its use for):
• How big is the problem that the solution is trying to address:
• Have others tried to solve the problem? Are they still trying?
• Is this problem being solved in other ways?
• Are there alternative coins that are doing this similarly?
• How much is the price of the currency based on the expectations versus value today?
• Will this coin make big changes in the future and be adopted mainstream?

Branding (Buffets Moat test):

• How Sophisticated is the Marketing strategy
• What is the marketing saying the coin will do or provide
• Is the coin well known? Does it have a large market cap potential? Remember, if they don’t know you, you don’t exist

Social Test:

• How many Twitter followers does the coin have
• What is the volume of the coin on exchanges
• Does it have any celebrities or crypto-celebrity backings

Development Team and Technology:

• What is the new technology this coin is assisting with:
• Can this solution be easily copied
• What is unique about this team (strong, young, reputable)
  Price, Market, exchanges, Wallets:
• Does the Price pump and dump make sense? Relevant to news and other coins?
• Which exchanges does it trade on?
• Which wallets hold this coin?
  Economics of the coin:
• What is the inflation or deflation rate of the coin
• How much of the currency will be generated over time
• When will the last one be generated
• Is this a Proof of Stake or a Proof of Work model?

Coin History:

• How much has this coin progressed so far in its roadmap strategy?
• Who are the most prominent coin holders and what is there history with the coin?
• How has the coin changed over time?
• Is it at a good buy price relative to short term and long term charts?
  Cryptocurrency Regulation Challenges:
  Regulators have the power to destroy a coin over night. Some are resilient to this because of their decentralization; however, the coin holders are not. If one is declared, holders will dump them. Therefore, limiting your decentralized or anonymous coins will help prevent this.
• Does it focus on a highly controversial market?
• Allow anonymous Transactions?
• Popular on the Dark Web?
• Classified as a Scam Coin?

Mining and Transactions:

• Complexity level of mining?
• Transaction time relative to bitcoin
• Transaction fees

Risk Scale:
1------------------------------------------------3-----------------------------------------------------5
1 for Strong Moat - 3 for Rapidly Gaining audience - 5 for Highly Speculative(new coin)