DYOR is an acronym for “Do Your Own Research” and is possibly the most important dogma in the cryptocurrency world. The meaning is that you should never trust an ICO-project team or anyone else without first verifying any statements made with your own research. Nicole Willing has two decades of experience in writing and editing content on technology and finance. She has developed expertise in covering commodity, equity, and cryptocurrency markets, as well as the latest trends across the technology sector, from semiconductors to electric vehicles. If you’ve watched a video or read an article about crypto-related topics you’ve probably come across the word DYOR. It is one of the most powerful and must-have skills for investing in cryptocurrencies.
What were their intentions and plans with creating such an asset? The way it’s used nowadays, “research” is information gathering for the purpose of confirmation bias. Deep down we all want to find objective evidence proving what we already believe. This is a common trap many people fall in when doing their own research. DYOR is also used as a disclaimer to state that the poster is sharing personal opinions or analyses and is not necessarily endorsing the project.
The white paper should give a comprehensive explanation of the project, its purpose, utility, future prospects and underlying technology, which all good projects will go into in detail. Twitter is so useful because of the timeliness of its information. Most announcements, hints and helpful conversations happen on Twitter, especially as it’s a public space, so it helps you get in early.
At the end of the day, all the groups are eventually very noisy and there are always people spreading highly speculative (or just false) information. YouTube is much slower for real time information, because creating content takes considerably longer than just sending out tweets. However, YouTube is the best resource for in-depth content on your favorite projects, giving you a much deeper perspective and understanding of the topic, much more than any other social platform.
Their site has a great section that breaks down the basics of what the network does, reading through these will give a potential investor an excellent base of understanding. It is also often used as a kind of disclaimer by some cryptocurrency figures when they post about projects or analysis on social media platforms. Opening a topic on even some of the most obscure tokens can yield a lot of responses and opinions based on first-hand experience. Naturally, you should take into account that all and any information sourced from Reddit is based strictly on subjective personal opinions. R/Cryptocurrency is a good qualitative, not a hard-data-based quantitative research tool.
Like CoinMarketCap, CoinGecko offers information on the market capitalizations, prices, and trading activity of a wide range of different coins and tokens. CoinMarketCap is the world’s leading platform for crypto market intelligence and research. It has a vast amount of market information on nearly all the coins and tokens in existence. The amount of information is so diverse and large that many new aspiring investors may feel lost figuring out what to pay attention to.
There is a ton of cryptocurrency trading advice available online, much of it based on fraudulent advertising and, occasionally, pump-and-dump schemes. Spending hours on research is useless if your sources are not high-quality. It seems like everyone is talking about cryptocurrencies because it is such a hot topic in the investment world. For your investigation, you must use reputable information sources, or you will be wasting your time. When it comes to investing in cryptocurrencies, unfortunately, there are no strict sets of rules to follow. Doing Your Own Research (DYOR) is the most effective strategy for every crypto investor.
The tools covered above are the key to solid research and due diligence. Each of them serves a somewhat different purpose, but used together, they will help you carry out effective DYOR. While sources such as CoinMarketCap or DeFi Pulse can help you with historical insight, CoinMarketCal is a great future-oriented research tool.
By embracing the DYOR ethos, you can understand the investment’s potential for growth and profitability. You’ll start to identify any red flags, such as a lack of transparency, low liquidity, or weak security protocols, all of which can hurt your investment. And, you’ll grow as a trader through the knowledge gained simply by reading about a market participant.
The community is usually pushing for DYOR specifically to safeguard new investors looking to get rich quickly and to reduce overall risk when investing. TradingView is a social media platform for investors and aspiring investors to share their knowledge, opinions, and analysis on topics related to traditional finance as well as crypto investing. One of the key features of the platform is the great charts that community members contribute to the website. Once you find a few solid potential investments you should join their crypto communities through social media and group forums. This gives you a personal understanding of who is actually investing in these coins.
Both Coinbase and Binance have extensive learning sections on their websites that cover everything from Bitcoin to DEFI and beyond. These are excellent places to research crypto and the blockchain generally and then begin to dive deeper into particular tokens and networks. Shilling is the act of actively promoting or talking positively about a coin or NFT project repeatedly while not revealing your financial interest.