​​Every year, with the numerous presales, IDOs, and ICOs listed, early investors seek answers on how to buy a coin before it launches.

To help you make informed decisions, this guide explains the different ways and methods of purchasing coins before they are listed. Knowing where to look and how to evaluate them lets you decide if investing in them is worth it.

How To Buy New Crypto Before Listing – Overview

When a new crypto project launches, it typically needs to raise funds. This is no different from a conventional startup raising money through a venture capital firm, or an initial public offering (IPO).

In the case of crypto projects, the developers will initially often look to raise capital from private investors. This will typically come from angel investors that have proven experience in the specific field that the crypto project is involved in.

After that, the project will hold a presale launch, otherwise referred to as a presale initial coin offering (ICO). This should not be confused with the main ICO, which follows the presale.

So, to recap, when raising capital for a new crypto project, the three stages are often as follows:

  • Raise money from private, angel investors that typically can inject a large amount of capital
  • Next is the presale ICO – which is open to the public – but will often come with small allocation of available spaces
  • Finally, there is the main ICO, which is also open to the public but will usually look to raise much more than the presale ICO

In terms of the fundamentals, the crypto project will distribute its own coin in return for raising funds from investors. For example, when Ethereum launched its presale ICO, investors received ETH.

There will often be a fixed exchange rate offered by the ICO that gets more competitive as it goes down the so-called food chain.

For example:

  • Angel investors might pay the equivalent of $0.20 per coin, while the presale ICO is offered at $0.30
  • Then, the main ICO might be offered at $0.50

As per the above – and as we explain in more detail shortly, the earlier an investor is able to access a new crypto project, the lower the cost price of the respective coin.

Finding an ICO or Crypto Presale

When learning how to buy a coin before it launches, the most challenging part is finding a suitable presale or ICO.

After all, the internet is now oversaturated with crypto-centric products and services, which can be difficult for crypto projects to get the word out to the masses.

Nonetheless, as we explain in the sections below, there are a number of ways to find solid crypto presales before the launch. For the best crypto ICOs read our article here.

Reddit

The first place to explore when attempting to buy cryptocurrency before it lists is Reddit. This social media forum is a huge hit with crypto and blockchain enthusiasts, and it is often the go-to place to discuss new projects.

In fact, For example, there is a specific sub-Reddit called r/CryptoMoonShots – which is currently home to more than 1.8 million members. This sub-Reddit is the place for new crypto projects to publish details about their upcoming presale or ICO.

reddit cryptomoonshots

This will often contain the following information:

  • The overarching concept and goals of the crypto project
  • Details of the ICO in terms of dates and times
  • The price of the new coin when it lists
  • The team behind the project and whether any anti-rugpull mechanisms are in place
  • External links to the project’s whitepaper, website, and Telegram group

Do note, that it is crucial to remember that Reddit is also a popular source for scammers.

Join a Presale Telegram Group

When learning how to buy a coin before it launches, exploring specific presale Telegram groups is the next method to consider. These groups have been set up for the sole purpose of notifying members of upcoming presales and ICOs.

In most cases, there are two types of Telegram groups to look for.

First, there are Telegram groups that simply list each and every upcoming ICO that the admin team is aware of. This will simply list the project’s name alongside its ICO date and time – plus a link to the respective Telegram group.

Alternatively, other Telegram groups in this space will take a more conservative approach. By this, we mean they will only list ICOs that appear credible and legitimate.

CoinMarketCap ICO Calendar 

Another option to consider when searching for upcoming crypto presales is the CoinMarketCap ICO Calendar.

On the one hand, it is notable that the calendar displays information about the ICO start and end date, and in some cases, the required fundraising target.

coinmarketcap.com presales

However, other than this, the CoinMarketCap ICO calendar displays little else. Moreover, the number of upcoming presales that CoinMarketCap displays on its list is often minute.

Crypto and Blockchain New Websites

It is also worth exploring popular crypto and blockchain new websites when searching for upcoming presales and ICOs.

After all, newly launched projects will often look to advertise their presale campaign on these websites, as the target audience aligns with their prospective investors.

ICOs vs. Presales

The terms ICO and presale are often used interchangeably. However, it is important to differentiate between a ‘presale ICO’ and the main ‘ICO’.

  • The presale ICO will occur before the main ICO. There will be a more limited number of tokens available during the presale ICO and the price per token will often be lower.
  • Once the presale ICO has concluded – which can happen on a specific date or when the hard cap target has been met, the project will then launch its main ICO. This will usually be at a higher price per token when compared to the presale ICO.
  • But, the main ICO will typically offer a much greater number of tokens than the presale – so more investors can participate.

Conditions sometimes apply to accessing a presale ICO before the main launch. For example, the investor might need to whitelist their crypto wallet address or complete certain tasks (such as sharing or liking social media posts).

In other cases, there are no requirements at all to engage with a presale ICO.

Public vs Private Crypto Presales

When learning how to buy a coin before it launches, it is important to remember that private investors are the first port of call for new crypto projects. Otherwise referred to as angel investors or venture capitalists, the private sale process offers the lowest price possible.

To be eligible, the private sale investor will often need to inject a sizable amount of capital into the newly launched coin. Figures will vary from one private sale to the next but will be at least five figures.

Furthermore, there are likely to be some conditions attached to the private sale. At the forefront of this is a vesting period. For those unaware, the vesting period refers to the time an investor must wait before they can cash out their coins.

Moreover, the vesting period will often be broken down across several timeframes. This ensures that the investor does not dump their entire holdings as soon as the vesting period concludes.

It is important to note that some presale ICOs available to the public will also implement a vesting period – which isn’t ideal. This is why it is important to check the terms and conditions of a presale ICO before proceeding.

What are the Best Tokens to Invest in Before Launch?

In this section of our guide, we will name and discuss some of the best presales to invest in.

Readers should be reminded that independent research is paramount and that investors should never risk more than they can realistically afford to lose.

  1. Sponge V2A hot new upgrade that is building on the $SPONGE token’s success. It has a P2E feature and a Stake-to-Bridge mechanism, creating long-term holder commitment and community growth. The Sponge V2 whitepaper also highlights how early stakers can earn passive income via a high minimum staking APY of 40%.
  2. Bitcoin Minetrix – A new PoS token that has a unique stake-to-mine concept. Bitcoin Minetrix will tokenize cloud mining and offer staked token holders Bitcoin mining power and high APYs. $BTCMTX is priced at $0.0123, with over $5.5 million raised so far – it offers staking rewards of 110% APY.
  3. Meme Kombat – A unique blockchain project that combines memes and AI to create a battle arena on the Ethereum network. It offers automatic staking benefits during the presale, diverse betting options, and a well-planned tokenomics structure for sustainable growth. Over $3.8 m has been raised, and stake rewards are 235%.
  4. yPredict – All-in-One AI-Based Trading Ecosystem. The project is named one of the hottest cryptocurrencies you can buy now, and the robust ecosystem it’s trying to create has much to do with that. It differentiates itself in this competitive market by offering predictions from the top AI developers and trading experts, as seen in the project’s whitepaper. $YPRED earns passive income and allows users to purchase prediction models developed by AI developers. $5.5 million has already been raised in presale.

Benefits of Investing in Coins Before Listing

While all cryptocurrencies carry an inherent level of risk, there are several benefits that might be considered when deciding to buy a token before listing.

Lowest Price Possible

The most obvious benefit when buying a token before it launches is that early investors will almost always have access to the best price possible.

As we noted earlier, presale ICO investors will typically get a lower price when compared to the main public launch. This ensures that the investor has an immediate upside on the coins they buy.

Sold-Out Presales Create ICO Hype

Another benefit to consider when buying cryptocurrency before it launches is that a sold-out presale often creates hype. In turn, hype typically spurns the broader crypto community to partake in the proceeding ICO, with a fear of missing out.

  • For example, let’s suppose that the crypto project is looking to sell 10 million coins in total
  • Of this amount, 2 million coins are offered on a presale basis across a 30-day period
  • Within 20 days, the 2 million coins are snapped up by presale investors
  • The remaining 8 million coins go on public sale

As per the above, there is every chance that those missing out on the presale will be encouraged to purchase the coin via the public sale, due to quickly it sold out

Exchange and CMC Listings Often Increases Demand

Once the presale and public ICOs have concluded, the next step for the project is to launch its coin on a public exchange. The project will often opt for a decentralized crypto exchange (DEX), as the listing process is both fast and efficient.

Either way, being listed on an exchange enables the general public to buy and sell the respective coin. This allows early investors to cash out their coins – should an upside be available on the listed exchange.

Another event that can increase demand from the wider crypto community is being listed on CoinMarketCap. Once again, those that invested in the respective project via the presale will often benefit the most from any upside potential.

Offered on a Global Basis and No Red Tape

When investing in a conventional IPO, the investor will need to go through a lot of red tape.

This means that they will need to open an account with a traditional brokerage that has access to the respective stock exchange. Moreover, IPOs are often only accessible by citizens that reside in the country where the exchange is based.

In comparison, presale ICOs are usually offered directly on the project’s website. For example, this is the case with AiDoge, Ecoterra, and yPredict.

Moreover, there is no requirement to open an account or provide any personal information when investing in a presale, and access is typically offered on a global basis.

Investors are only required to connect their crypto wallet to the presale dashboard to complete their purchase.

How to Invest in Crypto Private Sales

As we noted earlier, private sales are different from presale ICOs. This is because they are often only available to large-scale investors that are able to meet certain conditions, such as:

  • A minimum investment amount that is often in the five figures
  • Agreeing to a vesting period that prevents dumping

The investment process itself is much the same as a standard presale ICO, insofar that the private investor will need to pay for their purchase in crypto.

In terms of how to find private crypto presales, there is no centralized hub that provides information on listings. Instead, investors must do their own research and due diligence, through platforms like Reddit, CoinMarketCap, and Telegram.

Conclusion

This beginner’s guide has explained how to buy a coin before it launches to the public. By electing to invest in a crypto presale, investors will have access to preferential pricing, when compared to the main ICO launch.

Investing in new crypto projects carries risks, so do your due diligence first. Read the project’s white paper and research its team, advisors, and social media activity. Review partnerships and stay up to date with news.

FAQs

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