A few weeks ago I wrote about the fact that ICO’s are only profitable in bull markets.
In the same article I also shared my ICO game-plan for the summer and advised investors to stay away from them as long as the market would be bear. I concluded by saying that I would resume investing in ICO after August 1st if BTC recovered…
Well, BTC has indeed recovered and we definitely are back in a bull market folks so I cannot wait to shove some of my hard-earned bitcoins into new exciting projects.
I have been roaming the cryptoverse for the past few days, hunting for some good ICO’s and found some interesting project that i’d like to share with you.
Today I’ll share with you an overview of the first project I am going to participate in along with a trading strategy to profit.
Introducing...
Decentraland:
What it is.
Decentraland is an ICO which will be held on the Ethereum network on August 17th. Contributors will receive MANA tokens which will be used in the world of Decentraland. Decentraland is a VR decentralized world a la Second Life which let participants/players buy lands (in scarce number) and other services for MANA.
These lands can be leased, sold and built upon: applications, communities, digital casinos, virtual art galleries, strip-clubs... there is no limit!
Why I am investing in it.
I am very intrigued by the project and looking to be a pioneer in decentralized virtual real-estate land-lordship. Decentraland lets you buy lands for MANA, these lands are available in limited number and your land ownership is secured on the blockchain. If the project takes off we could see the price of these lands seriously appreciate... Digital real-estate speculation could be the next bubble;
Virtual Reality industry is at its very beginning and is expected to grow tremendously in the next few years. For more on the economic aspects of this, I’d like to send you over to Crypto Portfolio’s article on Steemit or to his excellent Youtube video on his channel:
Yes, the project seems a bit silly, but so was the MillionDollarHomepage and I’ve learned not to underestimate the Internet’s taste for novelty;
There is a 40% bonus period for early participants and I love free tokens;
MANA tokens are not regarded as securities by the SEC according to Decentraland's blog which means that it will likely be listed on exchanges like BITTREX and possibly BITFINEX. BITTREX is a great exchange which lists most ERC-20 (Ethereum based) tokens and I believe that it will soon become the next POLONIEX in terms of price actions and insane volatility;
update 1: If you are already part of their Slack channel, you can whitelist a MEW/Parity ETH address from which you'll be able to contribute earlier than the public (15th of August);
update 2: Be careful, scammers have replicated the project's fundraising platform on the similar-looking domain decentraiand.org, which when capitalized looks identical to the real domain, do not contribute from this page.
How much will I invest into the project:
Right now the graphics in Decentraland look like dung and the team has not yet hired some big names from the gaming industry, so I am going to go easy on the size of my investment into the project so as to manage risk in case it flops (I am looking at investing maybe 2-5% of my portfolio top);
As far as trading is concerned, I will likely dump 80% of my MANA tokens within the first hours/days once it hit the exchanges to take advantage of price discovery volatility and will convert my risk capital (let’s say 1 ETH) back into BTC and keep the profit to buy back some MANA once the price crashes, from then I’ll put the MANA on my LEDGER and let it ride until I can buy lands on Decentraland later this year. If the project create some buzz, we could see lots of late shoppers buying MANA to acquire land.
So guys, what do you think about this project?
As usual do your own research before investing in a project and make sure to go easy on the size of your investment in case anything goes wrong. Don't invest money you cannot afford to lose.
Stay tuned for my next article on another exciting upcoming ICO.
#cryptocurrency #bitcoin #ethereum
Trade safe guys, and please follow and upvote if you like the content.
Dan @tradealert
I've been on SL since almost the beginning and I'm glad its still there but it never got really big. If this new project generates some buzz and "land" is less expensive than in SL and offers more benefits, then it might do well. I will look into this more. Thanks for writing about this.
Hey @kenny-crane, just a heads-up about the Decentraland ICO if you're looking at contributing:
You're welcome @keeny-crane, I have no idea how big the project can get but I'll give it a shot and will trade it carefully.
New ICO article coming up very soon :)
I think there are better ICOs coming around the corner. I wouldn't go so heavy into one investment. Still worth a shot. ;)
Definitely agree with you @imrane, I always go light with ICOs because so many things can go wrong with them