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Test March 9, 2022 0 Comments

The phrase has now permeated into popular culture, and is widely used to encourage amateur investors in any arena to navigate a minefield of misinformation. Get the latest news and best offers from the crypto community by joining our newsletter. But many of these so-called experts are simply shills, who often have their own motives for discussing, or indirectly promoting, a certain digital asset.

Unfortunately, this means that there are a lot more scams than in traditional financial markets. It’s vital to know the function of the cryptocurrency you’re thinking about investing in. Examining the quality of a project’s partners can be a great way to figure out how promising their solution—and thus the potential value of its cryptocurrency—is. Find out whether the company behind a given crypto project has previously raised venture capital and/or private equity. If they have, go a step further and look into which investment firms and angel investors have invested. “Do your own research.” Or, simply, “DYOR.” It’s an acronym you see a lot in the crypto and overall investment space.

Why Doing Your Own Crypto Research Matters

People with malicious intent can quickly create multiple fake accounts, attempting to trick investors into purchasing a cryptocurrency based on a “popular” post within a social media platform. But, it is not always easy to spot the fake accounts, so it is important to remain skeptical and do your own research. How many people are transacting using a coin or a token and how many more users have it gained in the past week?

dyor meaning

They can help make sure you never miss a money making moment. Secondly, you get access to a personalised dashboard when you trade on Cointree. It gives you a quick overview of your portfolio, so you always know how your coins are performing.

For example, let’s say that a new investor called Bob joins the cryptocurrency market by creating an account on Binance and funding his account. He has heard about Bitcoin, Ethereum, Litecoin, and all the other fancy names but he is interested in profiting much more by buying altcoins flying under the radar. This is important to include in the DYOR process because it’s ultimately the team that is responsible for the value of the underlying cryptocurrency. If the solution they’re building doesn’t turn out to be what they said it would, the price of the cryptocurrency will most likely struggle. If the crypto project has existed for a while already, it’s worth looking over their roadmap and past blog posts.

What does Do Your Own Research (DYOR) mean in crypto?

These records are available to anyone who wishes to access them. Data stored on the blockchain are mainly records of transactions involving the native coin and tokens in a smart contract blockchain. To assess how much a blockchain is being used, the number of transactions executed at a period of time is a good way to start. Also, by listing it as a trading pair with BTC, or one of the other major exchange pairs like ETH or BNB, this indicates that there is sufficient liquidity for an accurate price discovery to take place.

  • When investing in a volatile asset like cryptocurrency, it’s important to take your risk appetite into account.
  • DYOR is a very important concept to follow in crypto as well as other areas.
  • A consistently high trading volume suggests a thriving project, and investors look out for this as proof of sufficient demand and liquidity as well.
  • They memorize unnecessary information, never bother to test a process or experiment, fail researching past surface-level information, and overall never grasp the core meaning of a subject.

Market capitalization shows a cryptocurrency’s total value at a point in time. It is calculated by multiplying the current price per token and the circulating supply. Asset tracking platforms like CoinGecko provide you with an overview of the token in circulation, its current price, and the total market cap. You’ve learnt how to do your own research and identify which crypto to buy now. You’re well on your way to building an impressive crypto portfolio filled with exciting digital assets. The journey isn’t over once you’ve made your crypto investment.

A couple of weeks ago, the crash of two linked cryptocurrencies caused tens of billions of dollars in value to evaporate from digital wallets around the world. Whether you create your own strategy or follow a premium community leader, we believe the power to automate belongs in the hands of every crypto investor. After you sign up and connect your first exchange account, you’ll deploy an investment-maximizing strategy in as few as 5-minutes. Each day Shrimpy executes over 200,000 automated trades on behalf of our investor community. Staring at charts, looking for candle patterns, checking up indicators, and testing new trading strategies is everything that you need to do in order to succeed with technical analysis.

Trading Volume and Liquidity

If it’s the other way around, the project is probably overvalued. This data should always be used together with other metrics such as the current state of the crypto market and some events particular to the project. You can also look at acquiring tokens that have not been listed on an exchange yet if you believe it meets your qualitative and quantitative standards. It’s possible for prices to rise rapidly after listing, but this usually happens for a very short interval of time while price discovery is taking place. A consistently high trading volume suggests a thriving project, and investors look out for this as proof of sufficient demand and liquidity as well.

dyor meaning

Disclaimer – Information found on our website is not a recommendation or financial advice. Our website and marketing collateral use reference rates as an indicator only and should not be used for decision making. Content may not always be entirely accurate, complete or current.

What Does Hodl Mean? A Glossary of Bitcoin Slang

To view a project’s white paper, click on Whitepaper on the asset page. A white paper is an official informational document that outlines the features and goals of a project. The whitepaper can also contain a breakdown of the tokenomics and the project’s roadmap. New users will also need to create a wallet on the chain or transfer the smart contract token to their wallet. When any of this is done, it reflects on the chain as a new address. ‘New address’ data can be used to assess how many new investors and adopters the project has gained in a period of time.

This will help you determine how tightly the team sticks to their deadlines, or whether they have a history of delaying releases. For example, work tokens (e.g. Livepeer’s LPT token) are fundamentally different to utility tokens (e.g. the Brave browser’s Basic Attention Token ). And these are fundamentally different to cryptocurrencies (e.g. the Bitcoin network’s bitcoin ). What’s the real-world industry or sector that the project is looking to disrupt? Knowing that answer will indicate how much potential value could flow to the cryptocurrency, assuming the crypto project’s solution is better than what currently exists.

To evaluate a project, an investor considers internal and external factors that could contribute to the performance of the projects in the future. Some of the Dyor family moved to Ireland, but this topic is not covered in this excerpt. More information about their life in Ireland is included in all our PDF Extended History products and printed products wherever possible. The numbers never lie, so let’s see what they have to say about Terra . It’s important to remember that figures can change quickly in crypto, so it’s a good idea to periodically check these metrics as you manage your crypto portfolio.

The cryptocurrency community does not have a set of commandments nor does it enforce a strict set of rules. However, one approach commonly proselytized by investors is that everyone should bloom by relying on personal research. A term used as a generic disclaimer by anyone when discussing or recommending certain coins, NFTs or anything else in life. Very often people will shill absolute crap and after a 30-minute YouTube video pushing people to buy the terrible token they will attempt to seem objective and prevent lawsuits by saying DYOR and NFA. DYOR is a very important concept to follow in crypto as well as other areas. In crypto, it’s especially important because regulations over crypto remain vague and underdeveloped.

Beyond the overall 24 hour trading volume, you can also look into the 24 hour volume of specific asset pairs on individual exchanges listed on CoinGecko. A project’s financial metrics include data on the traded asset, liquidity, and supply mechanisms. You can use a platform like CoinGecko to do research on a project’s financial metrics, with all the necessary dyor meaning crypto information in one place. Regardless of whether you’re considering established cryptocurrencies or newer tokens, it’s important to understand what you’re investing in. In this article, we’ll look at how to do your own research through fundamental crypto analysis, along with an in-depth look into the different quantitative and qualitative factors to consider.

Top Sellers

A marketing strategy used to spread fear and insecurity among customers, traders, or investors. Overall, Australia stands as the 15th most crypto-ready country in the world, tied with the Netherlands. Factors assessed included distribution and accessibility of crypto ATMs, legislation and taxes regarding cryptocurrency, the amount of blockchain start-ups and active searches for cryptocurrency.

That’s why it’s our job as an investor to put in the work and select the very best projects. It’s easy to get overly excited in crypto, but research keeps us rational. We need look no further than these bitcoin millionaire stories to see that! However, there are no guarantees in investing, so it’s important that you research thoroughly and apply clear thinking to move the odds in your favour. In crypto, the uses of DYOR are various and contradictory, earnest and ironic sometimes within the same discussion.

What Are Rug Pulls in Crypto and How to Avoid Them

Finally, you will receive a free multi-coin wallet to store all of your coins when you trade on our crypto exchange. If you’ve decided that a cryptocurrency is worth investing in, it’s time to make your move. Investors could dollar-cost average into a position expecting to ride out the waves, make an initial investment only, or trade daily. The important thing is to take action and follow the investment strategy that is right for you and your investment goals. Any good investor checks the figures before they invest and it’s no different in the crypto industry.

Early Notables of the Dyor family (pre

Actively trade – Buy and sell the coin to take advantage of market moves. To research cryptocurrency in even more depth, check out our article on the three types of cryptocurrency analysis. If you want to purchase a large amount of a crypto with low 24hr volume, it may be best to buy it OTC so that you don’t significantly increase the price with your purchase. The number of users and active addresses are a great way to measure the network growth of a protocol. Cryptocurrencies with smaller market caps can have a greater upside, but are often more risky investments. You can find the above key crypto metrics on every single coin page on our website.

Early Origins of the Dyor family

The Best Resources & Data for Crypto FA Want to engage in fundamental analysis but have no idea where to start? The end result of Bob’s crypto journey is that he bought a digital asset by relying on the word of others, rather than reaching a conclusion on his own. If lucky, he might have truly struck gold but as we said, that is sadly a rare occurrence in the sometimes predatory world of investments. DYOR stands for Do Your Own Research and it represents a powerful acronym that urges newcomers to learn on their own and not to rely on others. More specifically, DYOR is pushed by the community in order to protect new investors who search for good investments and fall into the trap of being shilled by other investors who want to pump their bags.

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