How does the reputation system work?
The Ethfinex reputation system works by assigning you a score based on the reception of the content & discussions you submit. If you submit a piece of analysis, ask insightful/challenging questions or contribute value, you receive upvotes; if you do the opposite, you receive downvotes. The strength and influence of your ratings, are impacted by your own reputation. This therefore assigns more influence to users with a high reputation.
How are token ratings calculated?
Token ratings are calculated exclusively based on the opinions of Ethfinex users. Every user has the power to vote and rate a token, and every user's rating has an influence. The weight and influence of your rating is based on your reputation, giving more weight to the ratings of users who have proven themselves as objective, fair and (somewhat) rational contributors.
Why do some tokens ask for a star rating and others for a buy/avoid rating?
Our rating system distinguishes between token sales and established tokens. Upcoming token sales are assigned a star rating based on the strength of its team, token and development. Established tokens (i.e. tokens which are already trading) are also assigned a star rating to determine the strength of the team/token/development; however, to complement this, established tokens are also assigned a buy/avoid rating to signal its immediate attractiveness as an investment. As an example, say Token X has fantastic fundamentals complemented by a strong short term buy rating. If Token X goes up, say 1000% in a matter of days, the fundamentals may not have changed, whilst the attractiveness as an investment could have changed slightly.