What is Do Your Own Research (DYOR)?
DYOR is an acronym in the financial and investment space that means ‘Do Your Own Research.’ The acronym began gaining traction in crypto when the number of scams also began to increase. Due to the increasing crowdfunding projects, people would easily invest in scam ICOs. Bloggers and analysts would encourage investors to do their own research before investing in any ICOs.
This term is still gaining popularity today as crypto adoption increases, and risks also grow. It encourages people to do in-depth investment analysis before putting in money.
While DYOR may be pretty involving, it’s a crucial aspect of any crypto trader. DYOR does not fully end the losses. But, it helps reduce the cases of being scammed. Since you understand a project and its team, you can distinguish the genuine from the scam projects.
How To Do Your Own Research
So, how can you DYOR on a project? Here are a few things to consider when DYOR;
- The first step to DYOR is identifying potential investment options. At this stage, you check the available investment options in the market. You can check out the trending crypto, the top-performing ones, and other options.
- The second stage involves creating a list of investment goals. Goals include the length of investment and your profit needs.
- Set aside your investment funds. At this point, you want to identify the value of money you are ready to risk and lose.
- Do some technical analysis. Technical analysis involves looking into the market situation of the asset. It’s a good thing for day traders since it focuses on prevailing conditions.
- Look into the blogs and articles talking about a particular project.
- Make your final decision. Choose the investment option, and amount to put in.