Imagine first investing in a company like Apple or Google when it was based out of a Silicon Valley garage. Getting in on the ground floor offers the potential for exponential growth, and the same can be true in the crypto world. If you can find the next Bitcoin or Ether, for example, while the coins are just getting ready to launch, you might be able to buy in at a far lower price than what the coin eventually grows to.
That said, successful launches sometimes obscure significant risks, as many early-stage investments can end up failing, or at least not living up to the hype. Before you take a gamble on a new crypto coin, do your research and make sure you’re comfortable with the risks.
Here, we’ll take a closer look at how to find new crypto coins early and how to evaluate them.
How to Find New Crypto Coins Before They Launch
There are many different ways to stay on top of new or recently launched crypto coins, but it can be a very involved process. If you’re willing to put in the work and take the chance on some unproven coins, the potential rewards can be high. Consider steps such as the following:
Monitor Token Launch Platforms and Crypto Launchpads
You can review upcoming offerings through crypto launchpads and platforms like the Binance Launchpad, DAO Maker, Polkastarter, Seedify, and Best Wallet’s Upcoming Tokens feature.
Through these types of platforms, you can access new launches, such as initial DEX offerings (IDOs) through decentralized exchanges and initial exchange offerings (IEOs) through centralized exchanges. You can also find initial coin offerings (ICOs) where project developers sell or reward initial backers directly with new coins.
Depending on the project, there are different ways to access these new offerings. In many cases, you will have to stake a platform’s native token to buy in, or you might be able to conduct activities like promoting a project on social media to earn initial tokens.
In any event, even if it seems like you can access initial rewards for free, be sure to review a project’s whitepaper, roadmap, and audit status before putting your time, reputation, or money behind a new, unproven project.
Use Coin Listing Calendars and Aggregator Sites
You can find new and upcoming launches on many different types of crypto websites like CoinMarketCap, CoinGecko, and CryptoRank, which have different lists and filters you can use to find cryptocurrencies you might want to invest in.
These sites can help you identify listing dates and pre-sale schedules, along with information such as the exchange it will list on and some of the tokenomics. But again, do your due diligence for any potential project rather than relying solely on these sites.
Follow Blockchain Development Platforms
Another way to find new crypto coins early is to go to the source by getting involved with blockchain development platforms. For example, you can follow along with GitHub activity to see crypto works in progress. You can also use tools like Token Terminal to review active development.
Following these projects early and looking for signs of innovation and things like new commits can help you identify potential future listings that could be worth investing in.
Join Crypto Communities and Alpha Groups
Aside from development platforms and groups, you can also join other types of communities that might inform you about new opportunities. For example, you can join certain Telegram, Discord, or Reddit communities like r/CryptoMoonShots that tend to post about new projects. You might also find that private communities, conferences, or local crypto meetups help you find under-the-radar opportunities.
Track NFT, Gaming, and DeFi Ecosystems
Because new coins are often tied to the launch of NFTs or projects in areas like gaming or DeFi, scouring these ecosystems might help you find upcoming or recently launched cryptocurrencies.
You might even be able to score free crypto, like governance tokens or other rewards for early adopters, by participating in the project, potentially leading to large gains if the project pans out. For example, participating in a testnet might help you gain free or discounted access to new coins.
Where to Buy New Crypto Coins Once You Discover Them
Once you find the new crypto coins you want to buy, you can complete the purchase in several ways, such as through:
Decentralized Exchanges (DEXs)
On decentralized exchanges (DEXs), such as PancakeSwap, SushiSwap, and Uniswap, you can often get access to newly listed coins before they have enough volume to trade on centralized exchanges (CEXs).
To buy new coins or tokens on a DEX, you typically need to connect a self-custody wallet like MetaMask or Best Wallet where you hold eligible crypto for swapping. Then input the relevant token contract, ideally by pasting the address so you don’t accidentally type in the wrong one — and always double check it.
Be cautious of things like copycat exchanges or cryptocurrency, which could scam you into swapping real crypto for counterfeit or worthless coins. Do a cursory search to ensure there isn’t an exchange or coin with the same or nearly identical name. Some platforms have security measures built in. For example, Best Wallet has a scam scanner that flags risky tokens.
Centralized Exchanges (CEXs)
Sometimes you can find new coins on CEXs, like through Binance Launchpad or KuCoin Spotlight, but you might not find as many as with DEXs. However, the advantage of CEXs is typically that they offer higher liquidity and more straightforward interfaces. Yet the formality of these exchanges, which also typically custody assets for you, also tends to coincide with more regulatory requirements like Know-Your-Customer (KYC) guidelines for new token sales.
Peer-to-Peer (P2P) Buying or OTC Deals
Another option is to buy new coins directly from early holders or over-the-counter (OTC) platforms, which are sort of like private exchanges for high-net-worth or institutional investors.
These more direct exchanges may offer unique access to new coins, but can introduce additional risk, such as low liquidity and requiring a level of trust between parties. Consider adding additional steps like using escrow services rather than directly exchanging funds.
Tips for Evaluating New Crypto Coins Before You Invest
While investing in new crypto coins can have high potential, there’s also a lot of risk. To improve your chances of buying into a successful project, consider the following tips:
Analyze Tokenomics and Supply Model
Don’t buy on a whim. Make sure you look at the underlying tokenomics, including factors like the total supply, circulating supply, and vesting schedules. A limited initial supply that gradually grows, for instance, might indicate the developer is focused on the long term, rather than trying to quickly cash in and then doing a rug pull. Still, don’t assume that everything is above board just based on supply. Consider other factors too, like if there are hidden developer allocations or if too much is distributed to a select group of investors, which can lead to volatility later on.
Review the Project Team and Advisors
Transparency is key. A new project team ideally reveals their identities and has verifiable experience that you can check on social media or sites like GitHub. If the developers have a good track record in terms of developing past projects in crypto or related areas or if they’ve received prior vetting such as with VC backing, those can be good signs.
Security and Audit Status
Lastly, review the project’s security protocols and see if it has been audited by trusted third parties, such as CertiK or PeckShield. If it is unaudited, then unfortunately there might be a higher risk of rug pulls and other crypto scams. You can also use tools like RugDoc or Token Sniffer for extra assurance when evaluating smart contracts.
Frequently Asked Questions (FAQ) About How to Find New Crypto Coins Early
How do I find new crypto coins before they are listed on exchanges?
You can find new crypto coins before they list on exchanges by joining social media communities, following along on development platforms, and looking for upcoming launches on crypto launchpads.
Are new crypto coins safe to invest in?
The safety of new crypto coins varies by project, but in general, the risk is higher than with more established coins. Look for green flags like transparent developer teams and roadmaps with good tokenomics.
How can I tell if a new coin is a scam or legitimate?
Consider factors such as the transparency of a given project and whether it has been audited. Looking at the track record of project founders can also help, but try not to make too many assumptions. Always keep your guard up and review new coins thoroughly before investing.
Created by the Commerce team at Business Insider with Best Wallet.
