🔍 With thousands of new tokens being launched every day, it’s crucial to have a reliable tool to assess the credibility of a project. MC² Finance has built a scoring system that evaluates a token across 32 different data points, covering security, financial performance, and social factors.
How is it calculated?
The score is built around a comprehensive evaluation of several core metrics.
For example, Market Capitalization and 24-hour Trading Volume give insights into a token’s financial health, while Token Age and Number of Holders help assess the level of risk associated with newer or lesser-known projects.
More importantly, the Contract Security checks ensure the token’s smart contract is open source and verified, and social factors, like whether the token has a Verified Twitter Account or is listed on a major exchange, further contribute to the score.
Table 1. Token Authenticity Score Data Points and Descriptions.
Data Point | Description |
Market Capitalization | Total value of all tokens in circulation. |
24-hour Trading Volume | Amount of the token traded in the last 24 hours. |
Number of Holders | Unique wallet addresses holding the token. |
Token Age | How long the token has existed; newer tokens may be riskier. |
Developer Activity (Commits) | Frequency of updates to the token's code repository. |
Verified Twitter Account | Whether the token/project has a verified Twitter account. |
Listed on a Centralized Exchange | Is the token listed on a centralized exchange? |
Blacklisted Status | Is the token blacklisted for any security reasons? |
Contract Verification | Whether the smart contract of the token is verified and public. |
Token Category | Category of the token (e.g., Meme, Stablecoin, DeFi). |
Top 50 Market Cap Ranking | Is the token in the top 50 by market capitalization? |
Top 10 Total Value Locked (TVL) | Is the token among the top 10 by total value locked in DeFi protocols? |
Open Source Contract | Whether the token's contract is open source. |
Proxy Contract | Whether the token uses a proxy contract. |
Mint Function Present | If the token contract includes a minting function. |
Owner Can Change Balance | If the token owner can change the balance of users. |
Hidden Owner | If the token's true ownership is hidden. |
Self-destruct Function | Whether the contract includes a self-destruct function. |
External Call Capability | Whether the contract allows external calls. |
Gas Abuse Detection | If the token exhibits inefficient or abusive gas usage. |
Listed on Decentralized Exchanges | Is the token available on decentralized exchanges? |
Buy Tax | Amount of tax applied when buying the token. |
Sell Tax | Amount of tax applied when selling the token. |
Modifiable Tax | If the tax rates are modifiable by the contract owner. |
Honeypot Detection | Detection of honeypot scams where tokens can't be sold. |
Pausable Transfers | If token transfers can be paused by the owner or contract. |
Whitelist Feature | Whether specific addresses are whitelisted for special access. |
DEX Liquidity Information | Information on the liquidity of the token across decentralized exchanges. |
Anti-whale Mechanism | Whether an anti-whale mechanism is in place to prevent large sell-offs. |
Modifiable Anti-whale Mechanism | Whether the anti-whale mechanism can be modified by the owner. |
Assigned Address Slippage Modifiable | If slippage can be modified for specific wallet addresses. |
Top 10 Holders Information | Information on the top 10 holders, including locked tokens and percentage held. |
Why it matters?
With the Token Authenticity Score, you’re not just relying on guesswork or hype; you're making data-driven decisions.
The score also factors in social metrics like whether the token has a Verified Twitter Account. Plus, if a token shows any red flags, such as being blacklisted or having suspicious trading activity, its score will reflect that risk.