According to PANews, over the past six months, 189 private/KOL rounds have been invested in, and the best allocation strategies have been identified. A good product and a community built around the project are great, but they cannot guarantee further growth of the token, especially if the token economic model is designed for the next 1-2 years.
The fundamentals should address the problem of high pressure, which is why this information is being shared. The best token economics to invest in include TGE unlocking 5-7%, which allows for low token circulation (leaving a lot of room for rapid market value growth), stable and growing token prices, and the opportunity to close positions from investor push in a bull market.
The circulation supply at TGE time is 11-15%, with the unlocking system as follows: 11-15% at launch, 20% at the end of the first year, 30-35% at the end of the second year, and then linear unlocking for several years.
A lock-in period of 3-6 months is recommended. Investing within a 12-month lock-in period is a very foolish idea because our unlocking will occur in a bear market. However, a 6-month lock-in period can help retail investors have more confidence in the token, which will bring more purchases and additional liquidity.
If retail investors are confident, then investors and market manipulators will be very cautious. This means that we will grow steadily over several months or years, which is why we will sell our tokens at the market high point.
The team's vesting period is after the investors (rule), with linear vesting. The best allocation is 30-40% for the community/ecosystem, 15% for investors, 15% for founders, 25% for capital reserves, 5% for advisors/KOL, and 5% for market makers and CEX.
Ideally, the unlocking ratio on the day of the TGE (Token Generation Event) is 4% for investors/advisors, 5% for public sales, 6% for the community/reserve, totaling 15%.
In conclusion, if you decide to invest in any altcoins, please check according to the standards described above. If you decide to invest in any private/KOL rounds, please also carefully check the standards provided (but sometimes, you can look for better, faster deals).
Remember, if you trade, you are gambling. If you analyze and operate according to the news, you are a master. Trading based solely on hype, smart money movements, or technical analysis is a bad idea. You also need to follow the fundamentals and current news (this is the only secret to success).
Jixu
