Nov 25, 2021
Why Old Gems are a Safer Bet
Learn why the latest and brightest tokens aren’t always the best
“As time goes on, you’ll understand. What lasts, lasts; what doesn’t, doesn’t. Time solves most things. And what time can’t solve, you have to solve yourself.”
― Haruki Murakami
Andy, your old from school (who hasn’t shaved since the height of the pandemic), swears up and down that WARPY token is going to finally crack faster-than-lightspeed travel. “They’ve even got a whitepaper!”
You do your research, you’ve checked out their website. The token’s only a few hours old. You’ve seen the same website template 12 times in the last week. There’s a nagging voice in your head, begging you to be rational. But Andy takes another sip of his Coca-Cola Classic, looks you in the eyes and whispers, “whitepaper…”.
You buy the token. You watch the chart, and minutes later…
Damn it. Not again! Licking your wounds, you jump back onto Agents of I.N.U. and notice that Shiba Squid Girl had just gone up 1000%.
The Lindy Effect — The Easiest Way to Avoid Scams
The Lindy Effect (or the Copernican Principle) is your best friend when it comes to avoiding scams.
The idea is simple. The longer something has been around, the longer it’s likely to stick around. A token that’s only a few hours old is likely to only survive another few hours. A token that’s a week old should last another week. And a six-month-old token is safe as houses (as safe as any house can be in the DeFi space, anyway).
New tokens might have huge potential, but the vast majority are going to be scams or go nowhere.
Old tokens, on the other hand, are much less likely to be scams. If they’ve been trading for months without issue, it’s likely they’ll continue to do so for months to come.
Using Our App to Find Older Tokens
So how do we find old tokens worth investing in? That’s where our Token Tracker comes into play.
Our powerful filtering makes it easy to find older tokens that might be ready for the next leg up. Here’s a filter that you could use:
You’ll get a list back of all the tokens that match the filter criteria:
So where to from here? Some ideas on how to find tokens to invest in:
- Tokens that have increased in price over the past 1 week / 24 hours
- Tokens with healthy volume, especially relative to their liquidity
- Do your research. Does the token have a website, an active Telegram or a Twitter account? Is there any news to justify the recent increase in price?
- Have a look at the price chart. If the chart has recently broken the all the high, or is approaching it, there’ s a good chance that the price will continue to go up.
- Check out the buyers and sellers on a charting tool like Poocoin or Dextools. If most of the big buys are from one or a few wallet, it might be a pump and dump trap. If there’s lots of different buyers, it could present as a good buying opportunity.
Examples
Some examples of tokens I’ve found using this strategy. (Remember — past performance is not an indicator of future performance).
Come up with your own strategies
This is not financial advice and always do your own research. The above are some tactics that I’ve used successfully. It pays to spend the time to find out what approaches work best for you.
Agents of I.N.U. gives you the power to look for tokens that match your criteria. As always, we’d love your feedback! Let us know what you love, what you hate, and what you’d like to see in future updates.
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