While a lot of crypto trades revolve around existing coins and tokens, like Bitcoin and Ether, multiple new projects are listed on a regular basis. And some of these projects offer crypto presales or early access fundraising.
In some respects, crypto presales resemble other types of presales you might be familiar with, such as event ticket presales. A presale period lets you buy in early, potentially at a lower price. But crypto presales often go a step further, with perks like bonus tokens and voting rights. Plus, getting in early can increase the potential for a high ROI.
Still, crypto presales are far from a sure bet. With potential reward often comes more risk, and there’s no shortage of crypto scams out there, so you want to make sure you find reputable presales.
In this crypto presale guide, we’ll examine how to find and buy top crypto presales, including red flags to watch out for.\
What Are Crypto Presales and How Do They Work?
Not all crypto projects conduct crypto presales, but they can be an important part of how these projects raise funding.
To put it simply, a crypto presale is a fundraising phase where a select group of investors can buy a particular cryptocurrency before it’s available to the general public. Those who buy the coins or tokens during the presale get a chance to buy in early, which could mean getting in before other investors potentially bid up the price. Presale investors might also specifically gain access to discounted prices, along with other potential perks, like voting rights that general sales might not carry.
The way this presale group is selected can vary by project. Some might operate on an invite-only basis, while others might be open to anyone. You might have to dig a little deeper to find a presale than you would with a general public launch.
Crypto presales can overlap with initial coin offerings (ICOs) and initial DEX offerings (IDOs), but these are still separate crypto terms to understand. ICOs are the overall process for a coin going from private to public, which might involve a presale or might directly involve selling coins to the general public on a specific launch date. An IDO is a type of ICO that specifically occurs on a decentralized exchange (DEX).
However, crypto presales contrast with another way that projects can go public, known as a fair launch. A fair launch could still be an ICO or IDO, but it means that everyone has access at the same time, and there’s no presale period.
Still, crypto presales aren’t necessarily the first fundraising stage. A crypto project might start with a fully private sale, where only certain types of investors, like venture capital firms, gain access. From there, it might open up a larger presale phase where retail investors can participate before moving on to the fully public launch. However, projects do not have to follow this order exactly. They might skip private sales, or the private sale might essentially act as a presale, before going right into a public launch.
Crypto presales can have different pricing phases, where the earlier in the presale process you buy, the lower the cost of the coins or tokens. There also may be vesting schedules, where the crypto you buy or commit to buying doesn’t fully get released to you all at once, but instead over time, for example, releasing 25% of what you purchased every three months (though schedules can vary dramatically by project). To actually take part in a presale, you’ll typically need both a compatible wallet and access to a launchpad or platform hosting the sale, which is where tools like Best Wallet’s crypto launchpad can come in.
Why Finding Presales Early Matters
Finding crypto presales can provide many early-entry benefits, such as:
Lower pricesBonus tokensGuaranteed coin or token allocations
Still, there are many risks to consider with crypto presales, such as:
Falling for potential scams, e.g., phishing scams, to gain access to your crypto walletLimited liquidity, which can make trading harderProject failure or underperformance
As such, it’s important to do your own research to make sure you feel comfortable with the potential risks and rewards.
Best Ways to Find Upcoming Crypto Presales
To find upcoming crypto presales, consider avenues such as:
Crypto Presale Tracking Websites
Some websites are focused on or have dedicated sections for upcoming presales. Some examples include:
Once you’ve found a project on a tracking site, you’ll usually follow the project’s official link and connect a compatible wallet before you can join the presale.
These are just a few examples of sites where you can find presales, and you can often filter projects by factors such as the blockchain network they run on, the category of project (e.g., meme coins or gaming-focused ones), and the project start date.
Launchpads and IDO Platforms
Launchpads are crypto platforms that provide an organized way for new projects to raise funding by connecting with buyers looking for early access. IDO platforms are a subtype of launchpads for projects conducting IDOs. Other launchpads might be focused on broader ICOs, for instance.
These platforms could be a good way to find presales, as they typically provide their own vetting of projects and make it easy to connect investors with new projects conducting early token sales. Still, you should always do your own research on specific projects and platforms.
Some popular launchpads include Binance Launchpad, BSCPad, DAO Maker, and Seedify. Best Wallet also has a crypto launchpad and lets you set up a self-custody wallet, so you can both discover presales and buy into them from the same app.
Depending on the platform, you may have to create an account and go through Know-Your-Customer (KYC) requirements to prove your identity, or you may be able to trade anonymously. You also might have to meet other criteria for certain presales, like token staking. With a self-custody wallet like Best Wallet, you can often connect directly to certain IDO platforms without going through exchange-style KYC, although individual presales may still have their own criteria.
Social Media and Community Channels
Another popular place to find crypto presales is on social media or community channels, such as X, Telegram, and Discord. On these networks or channels, you can follow influencers who provide tips on new presales, or you might join a group that tracks these early access events and gives you whitelist access to take part in the presale.
However, don’t forget to keep your guard up. Anyone can say anything. It’s easy to quickly post messages on social media that sound legitimate and urgent, but are really setting you up for a scam or just pumping up an unimpressive project.
Crypto News and Aggregator Sites
While social media might be fast, you might get more in-depth insights into presales through crypto news websites, email newsletters, and news aggregators. These sites might have their own sections tracking new tokens or upcoming projects, as well as articles and commentary about crypto presales to keep an eye on.
There are a lot of crypto news sources out there, though, so consider publications that have a track record and solid reputation, such as CoinDesk, Decrypt, and BeInCrypto, to name a few.
On-Chain Tools and Blockchain Explorers
For more advanced crypto investors, analyzing on-chain tools and blockchain explorers like DEXTools, DexScreener, or TokenSniffer can help you spot newly minted tokens that could indicate a presale is underway or will soon take place, which might prompt you to dig into the project details more to try to gain access.
With these tools, you might be able to examine details such as the token creation date, how many holders there are, and liquidity. Doing so might even enable you to spot suspicious activity, like unusual distributions of tokens among holders. The tools themselves might even provide audits for you, indicating areas that seem suspicious.
Still, this all requires some advanced technical knowledge, so it’s not a great option for beginners. Many investors combine on-chain tools with a trusted wallet or launchpad, using explorers to research a project before connecting a wallet to actually take part in the presale.
How to Evaluate a Crypto Presale Before Investing
While it’s easy to get lost in the excitement of a presale, you want to do your due diligence first to make sure the project is legitimate and aligns with your goals.
Some important steps include the following:
Check the whitepaper and roadmap: A legitimate project should lay out details in a whitepaper and project roadmap. Use these to form your own opinion on whether it’s likely to lead to a successful project launch and ongoing success.Verify team identities: While some projects are anonymous, which potentially increases risk, others might disclose the identity of their founding team. Reviewing and verifying their backgrounds, such as cross-referencing their stated experience in their whitepaper with LinkedIn profiles (and reviewing those profiles to make sure they don’t seem like they were just set up for the purposes of pushing the crypto project), can help you feel more confident in the project’s direction.Review audit reports if available: Not all projects conduct third-party audits, but if one is available, reviewing that could help you feel more secure in the project’s ability to operate ethically and soundly.Review tokenomics: In the whitepaper or on its website, a project also typically discloses its tokenomics, which lays out how its tokens are distributed, such as for the founding team’s allocation, presale allocation, liquidity, and marketing. There are no right answers, per se, but you can weigh whether you think the tokenomics will lead to a successful project.Look at community engagement and partnerships: Consider if a crypto project has built a community or is generating buzz, such as on social media, to get a sense of whether it has legs. Also, consider any partnerships that the project may have, such as with wallets or other project developers, which might help with marketing.
Common Red Flags and Scams to Avoid
As mentioned, it’s important to keep your guard up before buying crypto presales. Watch out for red flags or outright scams, such as:
Fake tokens or cloned websites: Names can be quite similar, so make sure you’re visiting the right website or buying the right token. Carefully check spelling and visit sites directly.Unrealistic promises or guaranteed returns: All investing carries risk, and if something sounds too good to be true, it probably is. If a project is trying to convince you to buy in during the presale by making unrealistic promises — especially guaranteed returns beyond those that might come from fixed rates, like for staking — that’s a red flag.Anonymous teams or missing audit information: While not evidence of a scam, anonymous teams or a lack of audits might be a reason to take extra precautions, since it’s harder to verify the project’s legitimacy.Safety Tips
After reviewing a crypto presale and deciding that you want to buy a particular coin or token, consider the following best practices:
Use a secure wallet, such as Best Wallet, and protect your recovery phrase and private keys so no one else can access your funds.Double-check that you are connecting your Best Wallet (or any wallet) only through verified links from reputable launchpads or the project’s official channels.Start with small amounts, and only what you can afford to lose.Keep up with updates post-presale, such as tracking exchange listings and vesting schedule releases, which could affect the coin or token’s performance and liquidity.
Frequently Asked Questions (FAQs) About Crypto PresalesWhat is the best site to find crypto presales?
There are many sites to find crypto presales, such as PinkSale, along with launchpads like Best Wallet, that can list new tokens with presales and connect directly to your self-custody wallet. The best place to find presales depends on your preferences, such as whether you’re looking for a project you spot on social media or one that’s more widely discussed on a relatively mainstream crypto news site, like CoinDesk.
How do I get into a crypto presale early?
You can get into a crypto presale early by tracking upcoming launches and establishing yourself in a crypto community. For example, you might learn about a new crypto presale and get on the whitelist by being part of a Discord group, or you might look for updates on a crypto launchpad to try to buy in as soon as the presale opens.
Are crypto presales profitable?
There’s no saying whether or not a particular crypto presale will be profitable for investors, as it depends on how the coin or token’s price moves in the future. For project developers, raising funding through a presale might be helpful and lead to more profitability.
How can I avoid crypto presale scams?
While there’s no universal way to avoid crypto presale scams, following best practices like carefully reviewing the project whitepaper, using verified links, and not giving up private information like your wallet seed phrase can help you avoid scams.
Do I need KYC for crypto presales?
Whether or not you need to complete KYC verification for crypto presales depends on the platform. If you’re buying into a presale through a regulated exchange, for example, that would likely require KYC. But an IDO with a presale may enable you to buy in with a self-custody wallet that does not require KYC, like Best Wallet, even if the launchpad or project itself sets separate eligibility rules.
Created by the Commerce team at Business Insider with Best Wallet.