“Read the distribution mechanism in the white paper because you don’t know how much dilution you might experience with new token issuances down the road.”

(click to tweet)

The white paper is everything.

It distills the complex world of cryptocurrency into layman’s terms. Without it, we are just as lost as the next non-techie. But with it, we are able to learn the technology in a way that empowers us to hold our own inside conversations with crypto technologists.

On today’s episode of The Bitcoin Crypto Mentor Mastermind show, we are discussing two points we must look for when we read a crypto’s white paper. First is the token distribution mechanism; how will dilution work when new tokens are issued? And the second is: what are the project milestones and what is the company’s progress to reaching them?

Don’t forget! You can also listen to The Bitcoin Crypto Mentor Mastermind Show on Spotify! Click “Follow” and let me know what you think!

“A consistent pattern of execution tends to increase the value of a token over time.”

(click to tweet)

Points to Keep In Mind

• Red flag if the white paper doesn’t list the project milestones
• Companies that hit their project milestones tend to do better over time
• An ICO or token-generation event typically has an investment period that lasts anywhere from 3-6 weeks
• • The sooner you participate the bigger the bonus you get
• Read the white paper’s stakeholder distribution mechanism and fundraiser allocation
• Understand what potential dilution you might experience with new token issuances down the road