1. Why You Need a Framework

Most people analyze projects based on:

• Hype

• Influencers

• Price movement

  
  

👉 This leads to:

• Poor decisions

• Late entries

• Avoidable losses

  
  

Key Insight

2. The 6-Step Web3 Analysis Framework

STEP 1: Problem & Use Case

Ask:

• What problem is this solving?

• Is it a real problem?

• Does blockchain improve it?

  
  

👉 Strong projects solve:

• Real

• Expensive

• Frequent problems

  
  

Example:

Uniswap→ solves permissionless trading

👉 If problem is weak→ Project will struggle

STEP 2: Product & Utility

Evaluate:

• Is there a working product?

• Is it usable today?

• What can users actually do?

  
  

👉 Categories:

• DEX

• Lending

• NFT platform

• Infrastructure

  
  

👉 No product = speculation

STEP 3: Tokenomics & Value Flow

Ask:

• Why does the token exist?

• Where does value come from?

• Who benefits?

  
  

Look for:

• Revenue-backed tokens

• Fee distribution

• Utility-driven demand

  
  

Example:

GMX→ earns fees from traders

👉 Bad tokenomics = short lifespan

STEP 4: Team & Execution

Evaluate:

• Experience

• Track record

• Development activity

  
  

Signs of strong execution:

• Regular updates

• Product improvements

• Clear roadmap

👉 Execution > idea

STEP 5: Traction & Adoption

Look for:

• Active users

• Volume

• Growth

  
  

Example:

MetaMask→ grew through real usage

👉 Real usage = real demand

STEP 6: Risks & Weaknesses

Identify:

• Smart contract risk

• Token inflation

• Liquidity risk

• Competition

  
  

👉 Every project has risk

👉 Good analysts understand them

3. What Most People Do Wrong

Common Mistakes

• Only looking at price

• Ignoring tokenomics

• Trusting hype

• Skipping risk analysis

  
  

👉 This leads to:

• Buying tops

• Holding weak projects

  
  

4. The “Value Flow” Concept (Advanced)

Ask:

Example:

• Users pay fees

• Protocol earns revenue

• Token holders benefit

👉 If value flow is unclear→ System is weak

5. The Simple Analyst Checklist

Use this every time:

1. Problem

✔ Real and meaningful

2. Product

✔ Working and usable

3. Tokenomics

✔ Sustainable

4. Team

✔ Capable

5. Traction

✔ Growing

6. Risk

✔ Understood

👉 If most are strong→ High-quality project

6. What Smart Analysts Do Differently

Most users:

❌ React to market

Smart analysts:

✅ Study before acting

✅ Understand deeply

✅ Think independently

👉 They don’t follow

👉 They evaluate

7. Real Insight (Critical)

👉 Short-term:

• Hype can win

  
  

👉 Long-term:

• Fundamentals always win

  
  

Final Takeaway

To analyze any Web3 project:

Don’t ask:

❌ “Will this go up?”

Ask:

✅ “How does this create value?”

👉 That’s the difference between:

• A gambler

• And an operator