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Cryptocurrency

5 Ways to Research and Spot the Next Great Cryptocurrency

2024-12-04

In the ever-evolving world of cryptocurrency, the quest for the next big thing can be both exciting and perilous. With scammers lurking around every corner and countless memecoins vying for attention, it's crucial to approach crypto research with caution and diligence. This article will guide you through the process of researching cryptocurrency like the pros, helping you find that hidden gem that could skyrocket in value over time.

Uncover the Potential of Cryptocurrency with In-Depth Research

1. Dive into the Cryptocurrency's White Paper

The starting point for any serious crypto research is the cryptocurrency's white paper. This document serves as a blueprint, detailing how the cryptocurrency functions, the problems it aims to solve, and its technical underpinnings. Tokenomics, a crucial aspect, reveals how the coin's supply is managed, the number of coins issued, and the issuance rate. For instance, Bitcoin stands out with its limited supply of 21 million coins, while Ethereum and Dogecoin have unlimited total issuance but an annual limit. A controlled or deflationary issuance can significantly impact a cryptocurrency's value. 2: By thoroughly analyzing the white paper, investors gain valuable insights into the cryptocurrency's core principles and potential. It helps them make more informed decisions and understand the long-term viability of the project.

2. Track Coins with Impressive Price Appreciation

Given the immense potential in cryptocurrency, traders don't always need to be early adopters to make substantial profits. Bitcoin, for example, has seen remarkable price appreciation in just a few years. While finding the next big thing can be thrilling, the vast number of crypto coins (over 20,000) makes it a daunting task. Instead, focus on established coins like Bitcoin that have already attracted significant attention and investment. 2: Cryptocurrency's value is highly dependent on sentiment, and popular coins with a proven track record of strong trader sentiment are more likely to continue performing well. Coins with a solid price history over multiple years are more likely to maintain their value in the future.

3. Uncover Coins with Robust Functionality

When researching cryptocurrencies, pay close attention to their functionality. A high level of functionality can attract developers and traders, leading to further investment and adoption. Consider aspects such as network speed, scalability, transaction costs, and efficiency. Also, look at the number of projects based on the cryptocurrency and whether that number is growing rapidly. 2: In contrast, some new cryptocurrencies may be nothing more than lottery tickets with little to no actual functionality. By evaluating a cryptocurrency's functionality, investors can identify those with real potential and those that are likely to fizzle out.

4. Stay Informed with Expert Opinions

Since sentiment plays a crucial role in cryptocurrency, it's essential to stay connected to what experts in the crypto world think. Follow experts on social media, in Discord, and other chat rooms to gain insights into their views on existing and emerging cryptocurrencies. 2: Ask yourself what these experts think about a particular cryptocurrency, which coin ecosystems they are using for their next projects, and where they see the crypto world heading. However, be cautious as scammers can easily pose as experts.

5. Identify Projects with Proven Leaders

Whether investing in stocks or crypto, finding proven leaders is a key strategy. Look for well-regarded crypto investors or community pillars with a solid track record. Consider their past projects, how they are regarded by the crypto community, and if they have been involved in any dubious activities. 2: When interested in early-stage crypto projects, knowing the leadership is invaluable as you don't have the benefit of price appreciation or other proofs. Proven leaders can add credibility and increase the likelihood of a project's success.Bottom line: Finding the next great cryptocurrency requires significant effort, but it's essential for understanding the opportunities within a given coin. By becoming more knowledgeable about the crypto world, you increase your chances of discovering those hidden gems.Editorial Disclaimer: All investors are advised to conduct their own independent research into investment strategies before making an investment decision. In addition, investors are advised that past investment product performance is no guarantee of future price appreciation.

President-elect Donald Trump made a significant announcement on Wednesday as he nominated Paul Atkins to lead the Securities and Exchange Commission. Atkins, a pro-business former federal regulator with a friendly stance towards the budding cryptocurrency industry, brings a unique perspective to the role.

Trump's Choice for SEC: A Pro-business Regulator with Crypto Ties

Background and Role of the SEC

The Securities and Exchange Commission serves as an independent oversight agency with a crucial mandate. It aims to protect Wall Street investors from fraud and misconduct while promoting fairness and efficiency in the market. Under outgoing chairman Gary Gensler, there have been clashes with Wall Street over the past four years. However, with Atkins' nomination, expectations are that the SEC will swing towards a more deregulatory approach.This is of great importance as a well-functioning SEC is essential for the stability and growth of the financial markets. It ensures that investors have confidence in the system and that companies operate within the bounds of the law.

About Paul Atkins

Atkins, 66 years old, is the CEO and founder of Patomak Global Partners. His firm has clients including cryptocurrency firms and exchanges, which highlights his expertise and connections in the evolving digital asset space. He served as a Republican SEC commissioner under former President George W. Bush from 2002 to 2008 and is well-known among Republican business circles. He is also co-chairman of the Digital Chamber's Token Alliance, which has been advocating for Bitcoin and other digital currencies by fighting SEC regulations that target the industry.This background gives him a deep understanding of both the traditional financial markets and the emerging digital asset sector. His experience and perspectives are expected to bring a new dimension to the SEC's operations.

Atkins' Views on Financial Innovation

In a pro-crypto podcast last year, Atkins emphasized that the financial system contains "lots of ways in which the rules impede financial innovation." He believes that the SEC should be attuned to the changing market dynamics and try to accommodate activities that are not criminal and enable markets to flourish.For example, the SEC's actions against Coinbase, Kraken, Binance, and others under Gensler have raised questions about the regulatory environment for the crypto industry. Atkins' stance suggests a potential shift towards a more flexible approach that recognizes the importance of innovation while still safeguarding investors.This approach could lead to a more balanced regulatory framework that promotes both the growth and stability of the financial markets. It also shows Atkins' understanding of the need to adapt to the rapidly evolving digital landscape.

Major League Baseball (MLB) has long been exempt from antitrust law, a situation that has drawn significant attention. However, recent events have raised questions about the future of this exemption and MLB's television structure.

Unraveling MLB's Antitrust Dilemma and Television Shift

Baseball and Antitrust Law

1: Section 1 of the Sherman Antitrust Act generally prohibits agreements that unreasonably restrain trade. In the case of MLB, the Supreme Court's rulings in the Federal Baseball case of 1922 and subsequent cases have created a complex web of exemptions. MLB benefits from two main antitrust exemptions. The first, established in 1922, exempted baseball from antitrust scrutiny as it was not considered interstate commerce. Despite subsequent challenges, this exemption remains in place in some areas. The second exemption, passed in 1961, exempts "football, baseball, basketball, or hockey" teams from antitrust law when selling television rights. However, this exemption has its limitations. 2: MLB's antitrust exemption has withstood many legal challenges over the years. For example, in the 2020 decision to reduce the number of minor league affiliates, four clubs sued, alleging violations of antitrust law. But they lost at the district and appellate court levels. The plaintiffs' goal was to have the case reviewed by the Supreme Court, but MLB settled the case instead.

MLB's Current and Future (?) Television Structure

1: MLB teams play a large number of games, with the majority being broadcast by local television networks. While national television deals are significant, local rights are also crucial. However, the recent bankruptcy of Diamond Sports Group has disrupted MLB's business model. As a result, MLB is now considering overhauling its television rights structure by selling all clubs' rights to a single network or platform. This would consolidate the distribution of MLB games and potentially increase revenue. 2: Major League Soccer (MLS) recently made a similar transition by selling all games to Apple TV. But this decision has raised questions about fan access and the value of the deal. In contrast, MLB's proposed plan may face similar challenges. For example, the New York Yankees, which receive a significant amount of revenue from their local rights, have expressed skepticism about giving up their rights.

Antitrust at the Plate

1: MLB's proposed television plan presents typical antitrust concerns. Consolidating the rights into a single product could lead to higher prices and limit consumer access. While the Sports Broadcasting Act may not protect the plan, MLB may argue that its antitrust exemption protects it. However, the Nostalgic Partners case has raised doubts about the future of this exemption. 2: Even without the exemption, MLB's plan may face antitrust challenges. The NFL's experience in a similar lawsuit shows the difficulties in establishing that sports leagues' broadcast agreements are illegal. But MLB's plan may also face internal challenges, as teams like the Yankees have their own interests to consider.