I have talked a lot about coins that I love, now let’s talk about coins that I dislike and I would stay as far away from them as possible. In my opinion, and not just my opinion, but the entire community probably thinks that these coins are either scams, or at the bare minimum untrustworthy and being promoted deceptively to misguide or sabotage the cryptocurrency movement.
1) Bitconnect
It’s allegedly a ponzi scheme. It went up to 270$ and now it crashed down to 15$. Smells like a massive scam. It was promoted as a get rich quick scheme in many places. Reportedly you could buy “investment packages” just like on these bitcoin doublers, in the past, but looks like they have redesigned the website since then. I don’t know exactly the mechanics of it, but several people have reported it to be a ponzi scheme. For me it looks very untrustworthy, so I would not use it.
2) Tether
It’s like a dollar proxy or substitute, and the financial regulators really don’t like tokens representing the USD. It could go down just like Liberty Reserve did:
But it gets worse, several people have reported that it’s actually in hyperinflation mode as it seems like the developers are allegedly issuing billions of coins out of thin air, if that is the case then it looks like a massive scam:
3) Ripple
Reportedly it’s not even a cryptocurrency, it’s just an online database with full KYC. If that is the case then what is the difference between that and an online bank account?
It seems like they are just riding the “blockchain wave” but without any blockchain, just like Corbettreport explained in one of his videos.
Basically it looks like just a Bank Account, permission-based and full KYC. You can’t even mine it, reportedly the maintainer has total control over the supply, so you might as well just open a Bank Account.
Also it looks like they have designed this coins for the Banks, and that is fine, but then why the hell is this 3rd ranked in the cryptocurrency space if it’s not for general users?
I’d not put my money in it, plus the regulatory environment is also not clear here.
4) Central Bank Coins
Several Central Banks are planning to launch their own currency. If you think fractional reserve banking with 1% reserve rate is a scam….
Then wait to see a fractional reserve system with 0% reserve rate and printing “cryptocurrency” by infinite amounts by a central authority.
Of course this “cryptocurrency” won’t really be a cryptocurrency, it will just be a database ledger with full KYC of course. They might integrate mining and the encryption aspects, but rest assured the account creation will only be possible with KYC, and not permissionless like real cryptocurrencies.
Of course they want to create their own crypto, they are literally addicted to hyperinflation, and perhaps that is what they want. Infinite rehypothecation of worthless debt-derivatives. A massive endless ponzi scheme backed by hyperinflation.
Sources:
https://pixabay.com
https://www.pexels.com
I scrolled down your profile until I saw "3 months ago" and did not find a dual thread about coins you love.
I struggle to find coins I love.
I want to know if there are inflation proof coins which are not PoW.
Then I want to know to which extent they are premined and what part of the eventual circulation is already in circulation.
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Is it true that ETH, EOS and BTS do not have even a predetermined rate of inflation?
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Yep, I will go along with that........except I am still waiting for the 5th..........NOT AS ADVERTISED!!!! are you trying to rip us of :) Cheers J
I was going to include BTC (Bitcoin) there too due to it's recent shady developments, but I thought I am being too harsh on it. After all it was BTC that got us to this point, yet it's been corrupted since.
Nontheless I'd rather not confuse my audience, so I reduced it to 4.
Yep I will agree with you on that one as well....R has been a wee bit Shady lately. Seriously though I do thank you. I think with the amount of new people coming into the space it is important that we all try to keep the environment clean. It is easy to get wrapped up in all that is good and sing praise, but we really do need to weed if its all going to grow. Cheers J
BCH didn't get the OG name, but it's stayed aligned with what the original white paper was proposing. It currently works much better as actual money than btc does which is why I favor it over btc.
Couldn't agree more on the Top 4 Toxic coins, it's a shame so many people go sucked into the bitconnect ponzi. The newcomers to crypto space should be aware that even though a lot of the hype and potential is real, there are sharks out there also. Not really just a cryptocurrency issue, there is predatory behavior in all aspects of human society. Learning how to identify this behavior so you can avoid it is critical.
😂
I have friends who love XRP because as they say it may go up to the moon. Well, i prefer coins that goes up not that fast but on slow pace. As the saying goes, slowly but surely.
Your friends may well have a point re XRP as a way to make money (though for what my opinion is worth, I do not believe that it will always that way) I think that the point about Ripple is not so much about $ its more about the ideology of the coin. If the true worth of a coin is in its function and and its volume of usage then we need to look at how much XRP is actually used. I do not mean how many institutions are using it but rather how much XRP is actually used in a transaction. I do not know the answer to this but I have my suspicions. Oh and yep I am with you ....slowly and surely is definitely the safer option. Cheers J
Definitely I think that is a good strategy, I too only look for long term viable coins ,and if not for anything else, but out of principle I can't buy XRP. I only support decentralized projects.
Hey me again. I thought that I should link a vid on Bitconnect that was posted on Steemit earlier today, as further info for anyone else who is new or has been living under a rock lately.
https://steemit.com/cryptocurrency/@marcelsantos/the-end-of-bitconnect#@jeffbowen/re-marcelsantos-the-end-of-bitconnect-20180124t011157903z
Cheers again J
Hey Hashcash, well put. I hope that the girl who was asking the question that got you to ponder your own methods read the post. I think that if people are not used to researching, then something like your post gives them a great place to start. It amazes me how many people, despite being told dozens of times about the importance of carrying out their own due diligence, simply follow the proclamations of someone on youtube or some other social media platform, someone who they don't really know from a bar of soap (sorry if that doesn't make sense....I am originally from the UK so can't help but to say stupid phrases that my mum used to ram down my ears when I was a rug rat). Suffice to say great point made, I would also add who or what are their competition, and how long have they been in the game. Anyway Cheers J
Excelente amigo, los tomare en cuenta, para no invertir en ellas.
Don't really agree with all of your choices. But then I agree wit some. Here is how I do it:
https://steemit.com/cryptocurrency/@hashcash/scam-or-not-lets-take-an-intelligent-guess
The top 4 worst coins to stay away from....
hmmmmmm, so, linguistically speaking, that I should get close to these coins. Well, it is said, keep your friends close and your enemies closer.
:-p
No that quote means that you should keep an eye on you "enemy", that doesn't mean you should join them.
I keep a close eye on these ponzi schemes, because their collapse usually sends a shockwave across the entire crypto market and that means a very bearish market for a couple of weeks.
Indeed, you need to know what the landscape is even if it is a swamp infested viper pit. I couldn't agree more the shockwave and the bad press that these creeps give us causes nothing but trouble.....even for those who steer well clear. Cheers J
I don't want to spoil the party at all but I seriously question anyone's ability to pick coins that will be viable long term. Just like very few were able to pick Amazon, eBay and Priceline during the dot com era.
With that being said, Ripple does seem a bit shady in a way that it is centralized, Ripple Labs controls over 60% of outstanding tokens and all of those bank partnerships have nothing to do with XRP.
It's easy. Just pick the ones that have room to grow and have the potential to be user-friendly.
Any other coin which can't scale technically nor socially, is doomed to fail.
Steem for instance looks very promising.
Thanks for sharing this important information, upvote and follow for you dear, so that I do not miss any post from you.
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Very helpful though I still hold a few XRP