Did you know there are more than 4,000 cryptocurrencies in existence as of January 2021? While many of these cryptos have little to no following or trading volume, some enjoy immense popularity among dedicated communities of backers and investors so how does a new investor determine what ones really matter and what ones will last and have long-term use cases. The typical answer you might get for this would be to read the whitepaper but it could take months to read out the white papers. The amount of time to study the dynamics of any given crypto project could honestly be even more mind-boggling than reading stock financial reports.
With the info above and all the new crypto players that have come on board since 2020 it got me thinking of what is missing from many of the exchange platforms and what came to mind was a multi-factor crypto screener similar to a stock screener that can narrow companies by industry, dividend yield, growth potential, and other factors. A similar tool for crypto would be extremely valuable. Think of being able to narrow possible coin choices through things such as use cases, length of existence, transaction rate, potential yield through DeFi apps and other structures. It could even help developers find more efficiencies by showing the compatibility of a chain or protocol to work with their project or fee structure for developing or other factors. This would bring ease of learning to crypto which currently doesn't exist with growing industry and is honestly one of the biggest hurdles to bringing on new users as the first thing they go to when asked what they don’t do crypto is they don't understand it and can’t easily see the vision of it.
How would one build this screener. that I am not 100% percent sure on but that is another reason why it is needed. A starting point may be expanding the event application build by The Graph as it would provide a base level query protocol to retrieve the data for the screener. You would also need to sort the data and allocate results through various variables but once completed would be a great feature and would pull many new users into crypto as they could do their own research as is expressed for them to do. It would allow for a simple and advanced pull structure for high-level and deep-dive research and would help many to understand what they are investing in better vs. going by a popular tweet.
With many talking about a potential bear market or potential alt season this would be the perfect time to build it as well as both are times of quality project showcasing as there are always coins that can do great things and the way not to miss the opportunity is to have the ability to do the research and put emphasis on why the investment matters through real data. This helps you invest in what will survive a bear market or what will grow most steadily during an alt season.
Anyway, just some thoughts on things that would be great for the crypto industry. As always this is not financial advice and should not be taken as such.
