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With your vote, you will directly support four DeFi projects in the Cardano ecosystem, with the opportunity to further refine their projects in terms of transparency, user protection, and accountability!

 

Thank you for your vote and your support!

CRCI Project Overview

The CRCI initiative is an innovative fundamental analysis research methodology built from the ground up.

Our Approach

Problem

Because of a general lack of resources on how to research DeFi, and the absence of oversight, standards and regulation, retail investors are particularly exposed to a variety of risks.

As a result, bad actors and ill-prepared projects can
exploit consumer trust and their investments.

Solution

Using a first-principles approach to fundamental analysis, CRCI Reviews apply an intelligently weighted point system to important metrics, generating a confidence score (CRCI Score) that measures transparency, user protection, and accountability.

Objective

To raise standards and expectations of operational processes in order to improve the quality and availability of key fundamentals from our DeFi builders.

 

This publicly available content helps reduce the impact of bad actors, ill-prepared projects, and empowers the community to make better informed investment decisions.

The Spectrum of DeFi Research

CRCI Spectrum of DeFi Research

TECHNICAL ANALYSIS

(Trader)

   Pros:

  • Studies historical on-chain data

  • Post mortem insights

  • Verification of declared intentions

  Cons:

  • Lacks context in isolation

  • Impact heavily reliant on data volume

  • Ignores fundamental and sentiment analysis

  • Struggles with new or illiquid assets

  • Relies exclusively on pattern analysis

  • Needs constant monitoring

  • Interpretations of data can vary

CRCI Logo

FUNDAMENTAL ANALYSIS

(Investor)​

   Pros:

  • First line of research (DYOR)

  • Direct study of the source material

  • Factors operational insights

  • Long-term investment consideration

  • User auditable field of analysis

  • Explores intrinsic asset value

  • Offers context beyond trends

  • Informs decisions, reduces noise

  • Includes balanced technical and sentiment considerations

  Cons:

  • Wide variety of influential factors

  • Fails at short term price movements

  • Time-consuming and complex process

  • Interpretations of data can vary

​SENTIMENT ANALYSIS

 (Speculator)

  Pros:

  • Real time social insights

  • Helps anticipate trend shifts

  • Reflects immediate market reactions

  Cons:

  • Triggers FOMO

  • Emotion-driven, lacks objectivity

  • Prone to groupthink and herding

  • Unreliable for market predictions

  • Prone to deception and fake news

  • Bad actors thrive in this domain

  • Lacks context in isolation

  • Generally ignores fundamental and technical aspects

  • Difficult to quantify and standardize

The CRCI covers
28 metrics across 8 categories

Proposal

1. Social Engagement

Quality of content. How active and engaged the project is across mainstream social channels. Communication, presence, and community awareness. Website provides all expected content.

2. Communication of Intent

Assessment of the whitepapers and other forms of presentation in terms of communication of the specific problems they are addressing and their path to intended solutions. Measurement of the impression of depth among competitive projects.

3. Tokenomics

Clarity of the tokenomic model with attention to token allocations, including vesting schedules. Consideration of the token functions. Also an overall assessment of perceived fairness and “rug-ability” exposure.

4. Team / Developers

Publicly visible and trustworthy team and advisors. Declared and/or perceived caliber of domain experience, development expertise, and any industry partners’ combined ability to execute.

Implementation

5. Audits / Track Record

Assessment of public third-party code audits, considering audit cadence congruent with updated products and services. Consideration of the performance / track record of the project. Survey of the public GitHub repo.

6. User Protection

User advocacy. Interactions on the platform are clear. Documentation, guides, education, support. The degree to which the user is protected against unintended actions.

7. Industry Accolades

Reputation. Notable sources of recognition of actions, initiatives, contributions, awards etc. These may come from the crypto community, the broader crypto industry, or credible external sources.

8. Cumulative Demerits

Project failures of any kind. Any activity, behavior, misrepresentation, lack of transparency or clarity that may either intentionally or incidentally misdirect or undermine the project’s participants, community, or ecosystem.

Making Sense of DeFi Tokenomics

The standardization of tokenomic models is an important and exclusive feature of our CRCI Review process and offers a way to compare tokenomic models more directly.

By analyzing data from from a substantial number of tokenomic models, the CRCI is able to identify industry trends and detect patterns that could suggest potential exposure to liquidation events by the project team or early investors.

CRCI Tokenomic Example Project A2
CRCI Tokenomic Example Project C2
CRCI Tokenomic Example Project B2
CRCI Tokenomic Example Project D2

How We Standardize Tokenomics

CRCI Tokenomic Categories

Extensive and Concise
CRCI Review Process Documentation

Consistency and objectivity are fundamental to CRCI's review platform. We are committed to these principles, constantly refining our processes to stay in step with the dynamic DeFi landscape.

 

Our comprehensive documentation establishes clear standards for our reviews, ensuring the CRCI Score accurately mirrors the publicly available information we review.

We are dedicated to continuous improvement, driven by constructive feedback and open dialogue. This approach embodies our commitment to accountability—a quality we champion in ourselves and we all expect from DeFi leaders.

 

By humbly embracing constructive criticism, we aim to set a precedent for transparency, user protection and accountability within the DeFi community.

  • Can DeFi projects influence their CRCI Score?
    While DeFi projects cannot directly influence their CRCI Score, engaging with CRCI for a review provides an opportunity for them to receive actionable feedback. Projects can improve their practices based on this feedback, potentially affecting future evaluations. The objective of the project is to set standards to improve the quality and availability of key fundamentals from our DeFi builders. This publicly available content empowers the community to make better informed investment decisions. By this initiative we're creating a barrier for bad actors and an overall improvement of the DeFi ecosystem.
  • How does CRCI evaluate DeFi projects?
    CRCI uses a structured methodology to review publicly available information about DeFi projects, assessing them based on our first-principles approach that covers over 25 key metrics in 8 categories. This review produces the CRCI Score that reflects these values.
  • Is the CRCI Score a guarantee of project success or safety?
    No, the CRCI Score is not a guarantee of success or safety. Projects can fail for a variety of reasons regardless of intent. In addition to market volatility the consumer faces a number of risks in DeFi. Smart Contract Risks Complexity combined with a lack of information Lack of regulatory protection Fraud and Scams Liquidity Risks Crimes of opportunity A lot of trust is implied when engaging in DeFi opportunities so it's critical to consider the code and the on chain evidence of activity, but also with the people and processes that bring the opportunity to the consumer. Success and failure are not events, they are a process. CRCI is a tool to aid in the decision-making process, providing insights into a project's commitment to key values. Investors should always conduct their own due diligence. It's worth noting that CRCI Reviews are not a direct measure of market viability or adoption potential.
  • What is the CRCI Pledge of Excellence?
    The CRCI Pledge of Excellence is a commitment by DeFi projects to uphold the highest standards of transparency, user protection, and accountability, as evaluated by CRCI and by actively committing to ongoing CRCI progress Reviews. Projects that meet these standards are awarded the CRCI Badge. Learn more here CRCI - Pledge of Excellence
  • Can projects dispute their CRCI Score?
    As part of the actionable feedback we offer projects we review, we're committed to allowing our DeFi projects to have a voice in the CRCI Review process that applies to all projects. It's worth noting that in a fast moving industry, all reviews expressed by the CRCI project have been based on the information available to CRCI at the time any reviews were prepared. All information is subject to possible correction, and any new or changed information may cause these reviews to change. The CRCI values and welcomes feedback and data correction, and while the specific processes for dispute resolution and community engagement are still under development, we encourage conversations with our DeFi projects. Similar to code audits, projects are encouraged to take corrective action from our reviews wherever possible. After all we want to elevate our best builders! All of our reviews are based on publicly available content from the projects. The CRCI approach is summarized on this page https://www.crci.review/overview. We feel being objective, relevant, fair and critical at the same time is a challenge worth pursuing.
  • How does the CRCI benefit DeFi projects?
    Enhance your project's credibility, gain actionable insights for improvement, and showcase your commitment to excellence. CRCI can help distinguish your project from competitors who may be under-prepared or purely opportunistic. Similar to how code audits can catch oversights, CRCI Reviews can validate or expose fundamentals you may not realize could be impacting your brands trust or credibility. The message the consumer needs to understand is your insistence on striving for greatness. The CRCI Review process evaluates projects based on your published content. To maintain transparency and trust, our review relies solely on this publicly available information and excludes reviewing any data that requires privileged access. Committing to the CRCI Pledge of Excellence program is a powerful opportunity for you to use to demonstrate your commitment to the consumer.
  • How often are CRCI Scores updated?
    CRCI Scores are updated based on the project's update schedule with CRCI. Significant changes in a project's public information may prompt a score review. However, all projects in the Pledge of Excellence program are still subject to "Cumulative Demerits" which can affect their CRCI Score based on project failures of any kind at any time.
  • How can a DeFi project request a CRCI Review?
    Projects interested in a CRCI Review and the CRCI Pledge of Excellence program can reach out directly through the CRCI website contact form.
  • What is CRCI?
    CRCI (Chromahex Research and Confidence Insights Corp.) is a platform dedicated to providing our first-principles approach to fundamental analysis of decentralized finance (DeFi) projects, focusing on transparency, user protection, and accountability.
  • Does CRCI review all DeFi projects?
    CRCI aims to review a wide range of DeFi projects, focusing on those that are actively seeking the opportunity to demonstrate their commitment to external review. However, the capacity to review all projects may be limited by resources.
  • How can investors use CRCI Reviews and Scores?
    Investors can use CRCI Scores as part of their research process to save a tremendous amount of time and identify projects that align with their values regarding transparency, user protection, and accountability. It's a starting point for deeper due diligence. It's important to note that CRCI Scores are not risk assessments or investment advice.

Sign up to learn more about elevating your project with CRCI.

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