Pit Avoidance Guide: Thirteen Features of Junk NFT Projects

When it comes to great NFT projects, we consider talented creators, innovative mechanics, and vibrant communities as important factors.

What are the characteristics of bad NFT projects?

Below, I've listed thirteen red flags you need to keep in mind as you explore new NFT projects, they range from issues of negligence to outright manipulation, let's protect our wallets.

Red flag 1: Untenable mint prices
There is a lot of room for what is a "reasonable" NFT mint price, and there is no single right answer here. However, if a new team charges significantly more than its "predecessors" or similar projects, it's a sign that they may be more concerned with taking your ETH than anything else.

Red flag 2: Suspicious social media activity
An NFT project party suddenly sends you a message to direct your attention to an upcoming NFT sale, say you saw an advertising tweet about a few hours ago. Now you click on the project's profile and find that (1) none of the people you follow follow the project, and (2) this new project has a large (unusual) number of followers. These are red flags! Good projects don't get personal attention through private messages or using Web2 ads, they have organic traffic and don't need to buy followers.

Red flag 3: Deliberately maintain floor prices
If you see project leaders discussing or trying to maintain a floor price for an NFT, you should leave the place, they are just running a financial plan with little real interest in cultural values or community. This insincerity will affect all future troubles they have, so be careful.

Red flag 4: Abuse of Discord
One worrying situation is that the NFT team chose to ban his Discord account when a community member asked a legitimate question. You want to see projects that are inclusive and forthright, rather than aggressive and secretive. There is no good reason for the team to abuse their moderation duties.

Red flag 5: No auditing
Audit reports from security companies are not perfect, but they do provide some basic security checks. If you're in Web3, you want to use audited DeFi and NFT projects, as unaudited infrastructure is easier to attack or exploit. The problem is that every audit firm has been inundated with demand lately, and some new NFT projects don't want to wait forever, so take the opportunity by launching unaudited infrastructure. We, however, should treat such projects with appropriate caution.