Comprehensive Business Audits
Many companies offer crypto project audits, primarily focusing on the technical aspects of smart contracts. While this is crucial, it is not sufficient for comprehensive investment evaluation. Investors must conduct their own research before making any decisions. However, some investors may lack the expertise to perform thorough business audits. We provide business audit services to launchpads and investor groups, evaluating token or NFT projects from a business perspective.
Our team has extensive experience in financial and business audits, combined with blockchain expertise, which enables us to deliver thorough business audits. Our business audit includes reviewing web3 projects from a business perspective, assessing utility, target audience, marketing activities, legitimacy of announcements and promises, analyzing tokenomics, and evaluating potential short-term and long-term outcomes. We focus on project sustainability by analyzing expected cash flows to assess the project's lifecycle. The audit process involves interviews with the project team and a review of all available documentation.
TOKENOMICS ANALYSIS
In crypto token projects, tokenomics is crucial for predicting the project's economic impact. A weak tokenomics strategy can undermine even a technically sound project, while strong tokenomics can support project sustainability through various market cycles. We perform detailed token distribution analyses to predict launch effects from private and presale stages and assess the impact of vesting rules on long-term liquidity.
UTILITY USE CASE
The longevity of a web3 project heavily depends on its utility, use case, and market demand. We analyze the utility from the perspective of all stakeholders, identifying the competitive edge of the utility compared to existing market offerings and evaluating investor responses to the team's promises.
CASH FLOW SOURCES
Sustainability and longevity for any business depend on generating incoming cash flows to cover ongoing and development costs. We review and analyze the project's promises regarding cash flow sources to ensure they are viable and sustainable.
RED FLAG REPORT
Any red flags or areas of concern identified during the audit process are summarized in a report. This allows users to follow up with project teams on these issues as the project develops. Our reports are valid as of the report date, and the results may change based on new updates and changes implemented by the project team. The audit report does not guarantee any investment results and should be used as a reference to conduct your own research.
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