Author: Ronin
Translation: Deep Tide TechFlow
Over the past 6 months, I have invested in 189 private / KOL rounds and identified the best allocation strategies.
“Oops, why am I reading this stuff!?”
Having a great product and a community built around a project is fantastic.
But this does not guarantee further growth of the token, especially if the token economic model is designed for only 1-2 years in the future.
First and foremost, fundamentals should address major pressures, which is why I am sharing this information with you.
The best token economics I will invest in have a TGE unlock of 5-7%.
Yes, we want to profit quickly, right now. But we also want to taste the flavor of profit ahead of time at launch. Through this type of TGE, we can achieve: low token circulation (leaving a lot of room for rapid market value growth) stable and growing token prices opportunities to offload during a bull market driven by investors at TGE 11-15% circulating supply
The unlock system is as follows:
Launch 11-15% -> End of Year 1 20% -> End of Year 2 30-35% -> Then, linear unlocking continues for several years with a lock-up period of 3-6 months
Investing within a 12-month lock-up period is a very foolish idea, as our unlock will occur in a bear market. However, a 6-month lock-up period can help retail investors have more confidence in the token, leading to more purchases and additional liquidity.
If retail investors are confident, then investors and market manipulators will be very cautious. This means that we will steadily grow over several months or years, which is why we will sell our tokens at market peaks. Team vesting after investors (rule) Linear vesting Daily – very good Monthly – good Quarterly – not good Best allocation 30-40% for community / ecosystem 15% for investors 15% for founders 25% for reserves 5% for advisors / KOL 5% for market makers and CEX
Ideally, the unlock ratio on the day of the TGE (Token Generation Event) should be 4% for investors / advisors, 5% for public sales, and 6% for community / reserves, totaling 15%. Conclusion
If you decide to invest in any altcoin, please check against the standards I described above.
If you decide to invest in any private / KOL rounds, also carefully check the standards I provided (but sometimes, you can find better, faster deals).
I hope my losses over these 6 months can teach some people, so you can make greater profits in your investments.
Remember! If you trade – you are gambling.
If you analyze and trade based on news – you are a master.
Trading solely based on speculation, smart money movements, or technical analysis is a bad idea. You also need to follow fundamentals and current news (this is the only secret to success).
