Management decisions regarding innovative projects at their early stages of development: An example of a methodology for assessing crypto projects

Abstract

Innovative projects can be very costly, and making mistakes in their implementation can be expensive for organizations and investors. Therefore, appropriate procedures are needed to minimize the likelihood of such errors, facilitate strategic decision-making, and optimize investments. This paper presents a methodology for assessing the viability and potential of cryptocurrency and blockchain projects based on evaluating individual project components and synthesizing these assessments. The proposed approach suggests considering a project as a collection of individual components with clear metrics that can be assessed; various assessments of these metrics are introduced. As a result, a project manager or investor assigns ratings to its metrics when analyzing several projects and then calculates a final assessment for each project. A project manager can determine the most promising project by comparing the reviews of several projects. This methodology stands out for its simplicity and clarity, and a significant advantage is its reliance on only publicly available data. This approach can be applied as the first step in making investment decisions regarding a specific project when working with investment funds or launchpads, for example.