Note! Beginner Investors Suggested To Study Crypto Fundamental Analysis

Crypto illustration (Photo: Doc. Antara)

JAKARTA - Beginner investors who have just entered the crypto market are advised to start by studying fundamental crypto analysis, one of which is by studying crypto whitepapers.

Indodax Chief Executive Officer (CEO) Oscar Darmawan said the whitepaper in crypto is a detailed explanation of the crypto token or coin project. Where the whitepaper usually contains the name of the team involved in the crypto creation, the roadmap to be run, the technology used, as well as problems and solutions.

"Not to forget, sometimes we can see what the utility from the crypto is for. Not only on crypto, some whitepapers are also on DEFI projects and P2E games," Oscar said quoting Antara.

Oscar also advised investors to be able to pay attention to the most important points in reading whitepapers, namely the written date of the document and also who the authors are.

Another thing that is no less important, namely the abstract part which is a summary of the purpose of making the crypto project to provide solutions to solving existing problems.

Furthermore, through a whitepaper, investors are also able to find out the people behind the crypto project and do the background check education and experience they have.

However, that certainly does not apply if the token maker decides to be untraceable or anonymous. Investors can also see the phase-phase roadmap and what plans the crypto project will run in the future.

"With the advancement of technology, it is very likely that these crypto developers will change the network or some plans to be carried out. This is common considering that with blockchain technology, changes in network hard forks will always exist. Investors also need to see who the author of the whitepaper is. Usually the one who writes is one of the important people in the project, "explained Oscar.

He further assessed that the whitepaper function does not only apply to investors, but is also an important factor for the developer of a crypto project itself. With the whitepaper, developers can create more systematic and structured design for their projects.

The crypto market in Indonesia has experienced a very rapid increase. The latest data from the Commodity Futures Trading Supervisory Agency (CoFTRA) shows that the number of crypto investors in Indonesia has reached 17.14 million people by the first quarter of 2023, of which in 2020 only about 4 million investors were recorded.