How to judge the legitimacy of a Polkadot ecological project?

In the background of the PolkaWorld community and public account, people often ask "Is the XXX project a Polkadot ecological project?". In this regard, we also wrote a "Guidelines for Identification of True and False Polkadot Ecological Projects" to help you identify them. Recently, Polkadot Wiki, the official document of Polkadot, updated a chapter "How to Identify Legal Projects", which mentioned some very practical identification methods. Friends who are interested in Polkadot ecological projects can read it carefully. This article was translated by PolkaWorld. There are many projects built on Polkadot/Kusama, or planning to build on both. However, there are also many who claim to do so without actually having such intentions. They don't have the resources to really fix the problem, or they're outright defrauding everyone by abusing Polkadot and Kusama's brand. It is not always easy to distinguish legitimate projects from "less honest" ones. This guide is intended to help you do your own research to determine whether an item is legal. But what it can't do is directly help you decide whether a particular project is legal or not. This article simply helps you make your own decision by providing a list of common characteristics of legitimate items compared to non-legal ones. Finally, a legitimate project does not necessarily mean it will be successful, so this guide should never be considered financial or investment advice. In addition to doing your own research to determine the legitimacy of the project, you will also need to do your research on the project's prospects for success before deciding whether to invest. The “Powered by Polkadot” statement is present on many project websites, which often causes confusion. This statement usually means that the project is using Substrate to build or intends to build in the Polkadot ecosystem. But any project can claim this, so the presence of such a statement on a project website cannot infer that the project is legitimate, and such statements are certainly not a "letter of approval" by the Web3 Foundation. Treasurer Investigation Agency | Under the epidemic situation, how should blockchain companies respond? : Cultivate my armor and walk with you. Under the epidemic, how should blockchain companies respond? At 15:00 this afternoon, Tong Yang, partner of Jinse Finance and Economics, had a conversation with Bella Fang, founder of WBF Exchange, from the Investigation Bureau of Jinse Finance and Economics, and talked about WBF's response measures during the "COVID-19" epidemic. For more details, please click the original link or scan the QR code to enter the group to view. [2020/2/13] 1. It has obtained Web3 Grant Web3 Foundation Grants are a method of subsidizing projects built on Polkadot. They have very specific application criteria and are thoroughly reviewed by a review team. Therefore, the approval of its application is the first sign that the team is committed to their project. Once the first milestone is delivered, they can add a "Web3 Grants" badge to the project website. Obtaining a Grant is a strong indicator of a project's legitimacy. If they hit all the milestones, chances are the quality will be good. However, the Grant does not guarantee the continuity of the project. If the project violates the program rules, the Grant can be terminated at any time, so you need to pay attention to this. Finally, the Grant does not represent an endorsement by or a partnership with the Web3 Foundation. You can find a full list of projects that have successfully applied for Grants, where you can see what each project has delivered, and which projects have had their Grants terminated: https://github.com/w3f/General -Grants-Program/blob/master/grants/accepted_grant_applications.md 2. Open source Open source projects can increase transparency, build trust, and ensure that project teams are not doing anything suspicious behind the scenes. Moreover, it makes it very easy to track the progress of the project and see how active-zce the team is. Voice | U.S. Chamber of Commerce Julie Stitzel: The United States must think differently about how to apply existing regulatory principles to digital assets: according to Cointelegraph, Julie Stitzel, vice president of the U.S. Chamber of Commerce Capital Market Competitiveness Center, said that the U.S. has adopted and revised legal frameworks in the financial sector Its history has resulted in a strong regulatory structure that stabilizes the market and manages risk effectively. While the digital asset market is still in its infancy, there are risks and concerns that the U.S. could fall behind—missing opportunities to leverage emerging technologies to foster innovation, create jobs, and grow the economy. As the world’s largest economy, the U.S. must think differently about how to apply existing regulatory principles to digital assets — including cryptocurrencies. Properly classifying digital assets and identifying the federal entities with authority to regulate and oversee digital assets is one way to provide regulatory clarity to innovators. [2019/8/5] However, this does not mean that any closed-source project is illegal, or that the team behind it is covering up something. Many teams will choose to keep their code private to protect their intellectual property. Several teams that have done so have received General Grants, and members of the Grant Review Team review their proprietary code. So, closed source projects are not necessarily a red flag, but open source is definitely a big plus. 3. Active development If the project team is constantly updating their product, then this is always a good indicator that the project is legitimate. Regularly releasing new features and upgrades, fixing bugs, updating the website and notifying the community of these changes are all clear signs of a legitimate project. And, as mentioned above, open source projects have the added advantage of being able to easily observe development activity through the project's GitHub repository. 4. White Paper For any project that wants to be taken seriously, the existence of a white paper should be considered mandatory. However, a white paper needs more than just some infographics, some bullet points, and token economics. A legitimate project, or furthermore a serious project, will have an in-depth analysis of all aspects of its project: the use case, the problem to be solved, and the technical aspects of the project. How Bitcoin became \"hard currency\" in Venezuela with hyperinflation: According to news on March 26, according to foreign media reports, around the world, Bitcoin is mainly a speculative investment, and its soaring price is often seen by people. Considered a digital currency bubble. In Venezuela, due to the country's abnormally high inflation rate, holding digital currencies has become a means of survival for local people. [2018/3/26] A well-written, detailed white paper that focuses more on technology than token economics is always a good sign that the project is legitimate. Of course, the same principle can also be applied to the project itself, that is to say, always focusing on technology rather than token sale is always a plus. 5. Well-known, reputable teams Legit projects will often feature their team members prominently on their website, as well as the social media profiles (often LinkedIn) and GitHub accounts of development team members. This allows potential users and investors to verify the team's credentials, background and professionalism. Additionally, having core team members interact directly with the community increases trust and transparency of the project. Projects seriously considering building on Polkadot often interact with the broader Polkadot community in addition to their own communities. They are active-zce in various Polkadot and Kusama channels, and it is always a good sign if someone on the team is a Polkadot ambassador. 6. No tokens are issued on other chains. Since Polkadot and Kusama do not yet support smart contracts, the project has a common practice of issuing tokens on Ethereum or other chains of the Binance Smart Chain to raise funds, and promises to Migrate tokens to Polkadot when the time is right. However, if a project does not issue tokens on another chain, it shows their dedication to the ecosystem and their commitment to actually building on Polkadot. They broke the boat, limiting delays in going live, and removing the possibility that they might eventually decide not to build on Polkadot and use another blockchain instead. South Korea will hold a "Virtual Currency Institutionalization, How to Approach" seminar in the National Assembly on the 7th: recent concerns and concerns about virtual currencies, virtual currency-related academic and industry experts and key government personnel will be held at 9 am on the 7th, Korean time At 30:00, a seminar on 'Institutionalization of Virtual Currency, How to Approach' will be held in the second conference room of the National Assembly of Korea. [2/6/2018] However, several projects are advertising their "multi-chain" solutions. Under such circumstances, it is natural for the project to issue tokens on multiple chains, but it also increases the possibility that the project may not be built on Polkadot in the end. 7. Parallel Candidates There are many ways in which projects can be built on Polkadot. However, the most immediate and impactful way is to plan to become a parachain. There is a particularly easy way to see if a project is actually building a parachain: just go to the Rococo Testing Parachains and Parathreads page on polkadot.js.org. Every project that aims to be a parachain will test their chain on the Rococo chain as a parachain or parathread before migrating to Kusama and eventually Polkadot. They will also experiment with crowdloans and auctions on the Rococo testnet and should be active-zce in the Rococo chat. Of course, there is no guarantee that projects will have a parachain slot on Polkadot or Kusama, projects need to win the auction for the slot they are interested in, otherwise they may choose to become a parathread (this should be explained to their community). However, testing their software on the Rococo testnet is certainly a strong indicator of the legitimacy of the project. Check out the Rococo testnet parachain: https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Frococo-rpc.polkadot.io#/parachains The first response after the storm’s stock price skyrocketed after the blockchain experiment How to avoid the risk of speculating in coins: It is understood that Cui Tianlong, the person in charge of Bokuyun and CEO of Baofengxinying, explained the phenomenon of BFC speculation that speculators may exist. Cui Tianlong said, "We definitely don't want to see this kind of hype. But if it happens, we still have a lot of means to control it." He cited as an example, "For example, a very simple method, I only need to bind the price of BFC points and the exchange of my products on my official website, basically anchoring its value, which will greatly limit the hype of BFC.” [2017/12 /13] View Rococo testnet parathreads: https://polkadot.js.org/apps/?rpc=wss%3A%2F%2Frococo-rpc.polkadot.io#/parachains/parathreads Rococo chat room: https://matrix.to/#/!WuksvCDImqYSxvNmua:matrix.parity.io?via=matrix.parity.io&via=matrix.org&via=web3.foundation 1. A simple way to identify illegal projects is based on the quality of its website. The site is poorly done, with typos and grammatical errors, or is poorly styled; the site is made from a template and no serious effort has been made to improve or change it; there is little information about the project on the site, and no Links to their GitHub or other resources; sites often feel unprofessional. These are all signs that the team is not serious about the project. But, be careful! Many projects with no substantial construction planned yet still have decent or even beautiful websites. They invest a lot of resources in visual presentation as a way to mislead others. So, a good website doesn't necessarily flag a legitimate project, but a bad website usually flags an illegal project, but you always want to check everything listed here before jumping to conclusions. 2. Anonymous or fake teams. As opposed to a real-name, highly engaged team, if a project mentions team members but provides no information about them or links to social media or GitHub accounts, it indicates the existence of some problems. Google searches for team members, if you can't find them, or the only search-zce results are related to the project, then this may indicate that their team members have fake identities. The photos on their website (if they have one) may also be stock photos, in other words, fake too. These are usually easy to identify, but if you'd like a more comprehensive look, here's a guide on how to do a reverse image search. Image search-zce guide: https://helpdeskgeek.com/how-to/free-reverse-image-search-tools/ Of course, if no team member is mentioned at all and only screen names can be found in their Telegram groups, This is also a red flag. 3. Don’t trust behaviors on social media. Although having an active-zce community is a good indicator of a legitimate project, many fake projects will use robots to flood the group to fake a large number of members and participation. This is especially common on Telegram and Discord, although under Discord's terms any bot user is required to identify themselves, scammers don't bother with these terms and conditions. So, don't trust the behavior in Telegram or Discord, and what people say in these groups. They are most likely bot accounts. 4. Use public mailboxes If project or team member emails come from Gmail or Yahoo or other public mail providers, it shows that the project is not serious, especially if these mailboxes do not appear to be personal mailboxes, or even valid emails. . Any team that is serious about the project will use their domain name to register email.

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