It’s a common occurrence when investing in crypto. A project goes on a bull run, bumping its price up more than 100% in 30 days. Suddenly, it’s everyone’s favourite coin! At least until the run stops and your money hasn’t yet doubled. Doing your own research is important, but where do you start? Let’s learn how with BAT, the Basic Attention Token!
At ZebPay, we list tokens that have a mission we believe in. The Basic Attention Token (BAT) fits this description perfectly. Offered as part of the Brave browser’s rewards program, users receive 70% of an ad’s revenue share in BAT.
BAT aims to help both advertisers and users better value an individual’s attention. Its price has also seen significant growth since entering 2021 at ~ ₹15, peaking at ₹98 before settling around the ₹80 price level.
A 553% return on a three-month investment is cause for celebration for anyone. But how do you make sure this is a sustainable investment?
In our experience, three criteria mark out a project with potential:
1. Development Activity
Projects with potential tend to attract the most talent, which creates a cycle of more talent following suit. After all, who doesn’t want to join a team of smart, motivated people?
(Which reminds me, ZebPay is hiring. Come join the ohana!)
A well-reputed development team is important, but in addition to who they are, it’s important to consider the role they play in the ongoing development process of altcoin. A project with an active development team is one that is more likely to deliver on their vision.
Development activity is evident via updates and patches added to the project on a regular basis. Is the team actively improving the coin, and communicating those improvements to their investors?
In short – yes. When choosing to install the Brave browser, you can opt for the release edition. This is the official version, with updates and patches released approximately every three weeks.
You can also download Brave Nightly – where tests and development are carried out in real time. Brave Nightly is updated, as the name suggests, every night. There’s also the Brave Beta, an early preview, which falls in between the first two.
You can also find Brave’s release notes and code repositories on Github here.
2. A Strong Community
A coin without a community holds no value, because there’s no one to use it.
Brave’s transparency data feed reports 25.4 million monthly active users, 37% of whom use it daily.
The BAT community is also active on reddit, boasting 62.9K subscribers on /r/BATProject.This isn’t a dead subreddit either – there are anywhere between 600 and 700 subscribers online at any given point, contributing to a discussion round the clock. The conversation averages out at about 75.8 comments per hour.
Impressive subscriber counts are one thing, but also keep an eye out for the kinds of conversations being had on these forums. Are people happy, or are they frustrated? Does the project have someone who’s active on these forums?
Brave does. About a year ago, Jan Piotrowski, Brad Flora and Des Martin from Brave’s business development team spent time on Reddit, hosting an AMA thread for the community.
3. Trading Volume and Liquidity
An active and vocal community is nice to have, but the benefit is limited if they don’t actually invest in the project. There’s no point holding thousands of dollars worth of altcoin if no one’s trading it.
BAT has a maximum total supply of 1.5 billion tokens. When you join Brave Rewards, your browser will automatically start tallying ads you receive, and send the amount of BAT you earn monthly. These monthly payouts mean BAT will always have liquidity, even if it’s from its users alone.
The ads have a fixed USD value, pegged at the time the campaign is launched. Over time, as the value of BAT rises – you get less BAT per ad. This protects the value of BAT from inflation.