> ## Documentation Index
> Fetch the complete documentation index at: https://peak-docs.birdeye.so/docs/llms.txt
> Use this file to discover all available pages before exploring further.

# Token Due Diligence

> A structured sequence for evaluating a token using Peak.

This guide walks through a structured due diligence sequence for evaluating a token. The flow is designed to take you from initial orientation to a complete analytical picture, using one Command per step.

The sequence is not prescriptive — analysts adapt it to their specific theses. It is offered as a reliable starting point.

## Before you begin

You will need:

* The token's name or symbol (e.g. `SOL`, `ETH`).
* A clear question you are trying to answer (e.g. "Is this a viable allocation candidate?", "Why is volume spiking today?").

The question shapes which Commands you spend the most time in.

## The full sequence

<Steps>
  <Step title="Orientation — Token Description (TKD)">
    Open **Token Description (TKD) ↗** for high-level summary, key attributes, and market data.

    **What to look for:** market cap, current price, supply at a glance, listed exchanges, network(s) the token operates on, and the date of first listing or launch.
  </Step>

  <Step title="Supply structure — Tokenomics (TKE)">
    Move to **Tokenomics (TKE) ↗** to understand supply mechanics.

    **What to look for:** total supply, circulating supply, emission schedule, inflation rate, vesting schedules, and unlock events. Material upcoming unlocks are often the most actionable signal.
  </Step>

  <Step title="Funding and history — Fundraising (FRS)">
    Open **Fundraising (FRS) ↗** to review the token's funding history.

    **What to look for:** funding rounds, valuations at each round, named investors, and total raised. This provides context on backers and historical valuation marks.
  </Step>

  <Step title="Holder analysis — Ownership (OWN)">
    Move to **Ownership (OWN) ↗** to examine distribution.

    **What to look for:** holder concentration (top 10, top 100), exchange holdings, smart contract holdings, and notable wallet activity. High concentration is not inherently negative but always worth understanding.
  </Step>

  <Step title="Valuation context — Valuation (VAL)">
    Open **Valuation (VAL) ↗** for cross-chain valuation context.

    **What to look for:** market cap and fully diluted valuation across chains, and how these compare to peers in similar categories.
  </Step>

  <Step title="Cross-chain presence — Multichain Monitor (MTM)">
    If the token is multichain, open **Multichain Monitor (MTM) ↗**.

    **What to look for:** distribution of supply and activity across chains, and whether the token's activity is concentrated on one chain or distributed.
  </Step>

  <Step title="Activity and liquidity — Live Trades (LTD) and Market Liquidity Analysis (MLA)">
    Examine current trading behavior with **Live Trades (LTD) ↗** and depth with **Market Liquidity Analysis (MLA) ↗**.

    **What to look for:** live trade size distribution, buy/sell pressure, liquidity depth at various price levels, and major venues by volume.
  </Step>

  <Step title="Flow signals — CX Whale Tracker (CWT)">
    Open **CX Whale Tracker (CWT) ↗** to examine CEX flows.

    **What to look for:** net inflow or outflow patterns at major exchanges, which can indicate accumulation or distribution.
  </Step>

  <Step title="Performance — Performance Analysis (PFA)">
    Close with **Performance Analysis (PFA) ↗** to contextualize returns.

    **What to look for:** performance across multiple time frames, drawdowns, and comparison to relevant benchmarks.
  </Step>
</Steps>

## Adapting the sequence

The full sequence is appropriate for first-time evaluation of a candidate asset. For other situations:

* **Re-evaluating a held position:** focus on `OWN`, `MLA`, `CWT`, and `PFA`. The structural Commands (`TKE`, `FRS`) are unlikely to have changed materially.
* **Investigating an unusual move:** start with `LTD` and `CWT`, then move to `OWN` if large-holder activity is implicated.
* **Sector comparison:** apply this sequence across multiple tokens, or use **Token Comparison (TCP) ↗** for direct side-by-side.

## What to do next

After completing the sequence:

* **Save the token to a watchlist** if it warrants ongoing tracking.
* **Set alerts** on conditions material to your thesis — large unlocks, unusual volume, whale movement.
* **Document your findings.** Peak provides the data; the analysis lives in your notes.

## Related guides

<CardGroup cols={2}>
  <Card title="For Research Analysts" icon="magnifying-glass-chart" href="/docs/guides/by-role/research-analysts">
    The broader research workflow this sequence supports.
  </Card>

  <Card title="Portfolio & Watchlist Setup" icon="list-check" href="/docs/guides/by-workflow/portfolio-watchlist-setup">
    Organize ongoing tracking after due diligence is complete.
  </Card>
</CardGroup>