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.
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.
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.
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.
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.
Not be confused with a prototype! An MVP means the product is viable, has a few users and is functional.
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.
The organisation behind the tokenised sale is a profitable "blue chip" company with a proven track record.
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.
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:
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.
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:
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.
We cannot accept any tokenised sale that guarantees returns to its prospective investors. It is not viable nor possible.
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.
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.
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.