ICO Guidelines and On-boarding

Tropyc does not rate ICOs as investment vehicles, but provides a free and open-source checklist, based on objective variables, which attempts to assess the transparency level of token sales.

With reference to our rating framework and listing variables, here's an introduction to our methodology and our way of doing business.

1. We do not accept payment for rates

The rating is open-source and follows objective variables. Therefore we don't (and can't) receive any payment to impact one's score positively. However, we're happy to help projects better understand how our methodology works, and make sure the rate fully reflects their level of transparency.

2. Valuation

We show the full valuation of the network, not only the hard capitalisation of the sale. For instance, if you sell 1% for 1,000 ETH, your network capitalisation is 100,000 ETH.

Investors need to understand what is the valuation of the entire network and how much is sold to make an informed decision.

3. Projects we do not accept

Although we'd like to list every initial coin offering, some may be harmful to investors. Here's a list of token sale features we will not accept on our platform:

a. Projects without any team members

It does not have to be about a biography of all team members; however, we expect the bare minimum: team's names or pseudonym, that's it.

b. Guaranteed return is a no-no

We cannot accept any tokenised sale that guarantees returns to its prospective investors. It is not viable nor possible.

c. If blockchain is the USP

A terrifying technique to attract less tech-savvy investors is to promote an upcoming coin/token by appropriating general blockchain advantages and showcasing them as the ICO's unique selling point. We're aware of immutability and decentralisation, find something better.

d. We accept jokes...

Jokes aren't scams. Want to raise funds for your next pub round or you old cat? Be our guest: but you need to be honest about it, and we'll list you as your are.

A joke.

e. ... but not scams

Trying to sell a cloud mining solution? Promoting the latest bitcoin fork? Building an MLM micro-lending product?

There's a subtle difference between straight-up fraudulent projects and incompetent teams or overambitious project. We're okay with noobs, not with scammers.

4. Stage of development

We consider five stages of development when publishing an initial coin offering. Here, we're assessing the stage of development of the organisation behind the token sale rather than the product that is being introduced during the token sale.

a. Idea

The project does not have any users or minimum viable product. It has a business case study, a white/black/yellow/blue paper and a website.

b. Prototype

The founding team has revealed a prototype of its product. It can include mockups or test networks and should give a first glance of future usability.

b. Minimum Viable Product

Not be confused with a prototype! An MVP means the product is viable, has a few users and is functional.

c. Users

The project has built a stable product that gives tangible value to users. Still at a growth and expansion phase, the project has a proven track record of pushing valuable products or services to its users.

d. Revenue

The organisation behind the tokenised sale is a profitable "blue chip" company with a proven track record.

3. Industry

There's a limited amount of industries that capture the whole crypto-economy. Therefore, a token sale has to fall under our proposed range of industries and we will not create tailored ones.

If you feel our assessment is incorrect, we're open to feedback and more than happy to act accordingly.

5. External stakeholders and partnerships

Our rating methodology includes several types of partnership a token sale can have, including corporate partners, lawyers, smart contract auditors, government, industry alliances, media, venture capital and so on.

Here's a set of guidelines to get a partnership added on tropyc:

a. General

  1. The partner needs to have a branded live website. If it's not self-explanatory, it needs to describe its activity.
  2. The site should have English content (except for Media, see below)
  3. The ICO project should list the logo of the partner on its website with a backlink to the partner's website.
  4. We take the liberty of refusing any partnership we find irrelevant to an ICO's activity and market.

b. Specific to media

  1. We accept non-English media content; however, the website should gather more than 50,000 users per month as per SimilarWeb.
  2. The ICO project should list the media mention on its website with a backlink to the specific article (and not the homepage of the media website)
  3. Tropyc does not consider other listing and review sites as a media mention.

c. Specific to auditors

  1. We do not accept individual lawyers as a law audit - only law firms with a web presence. Similarly, a technology and smart contract auditor should be conducted by a company or a firm, not an individual.
  2. We accept launchpads who undertake 360-degree audits.