When i said The Worst Crypto Coins, it’s more like a scam and failed to realize promising futures while generating a great hype to increase the starting capital and then crash dramatically.
Researching is needed before make investment in cryptocurrencies, thus here is some example of the worst crypto coins ever to help with your research.
The Worst Crypto Coins Ever
Back in 2014, SpaceBIT announced to be the first decentralized space company. They have a project to launch nano satellites into the space to provide globally-accessible blockchain which can be used for bitcoin cold storage.
The project start building hype from their communities, then after a couple of months the team start disappearing and the project is completely stopped in March 2015.
Dogecoin started out as a joke, but suddenly became a decent cryptocurrency supported by a passionate community. Back in 2014, DOGE known as charitable coin, the currency even survived through the hard ways.
However, it all got ruined when Dogecoin exchange Moolah shut down, with the founder Alex Green running off with everyone’s money. After that, DOGE crashed, and the community disbanded. Dogecoin has not been able to return to its former glory since then.
Get Gems is a social networking platform, their aim was to change the nature of social media ad revenue monetization. They use cryptocurrency to pay their members viewing ads from the app.
Unfortunately, the company had reported a disappointing revenue in 2014, raising just $111,000. Which is a quite small for cryptocurrency projects.
This project is still up and running, but it’s kind of unpopular in the countries where it’s available. In Uzbekistan, the app ranked 63rd google play but has seen only very minor success.
PayCoin had a huge launch, becoming one of the largest cryptocurrencies in the world by market capitalization.
It was launched back in 2014, by Josh Garza and GAW miners, The whitepaper said it would produce a new breed of cryptocurrency with new variations of blockchain technology which look like to be promising project.
However, with GAW continue failing to follow through on it’s promises and people began losing faith in the currency. Garza on the other hand, converted PayCoin into altcoin clone to push it onto the market faster.
PayCoin hit rock bottom, when federal authorities launch an investigation of the company GAW completely shut down and Garza flee from US.
The community attempted to try redesign the coin to meet its white paper expectation. But, The efforts seem to be useless and unable to recover PayCoin’s reputation.
One Coin (ONE)
OneCoin’s project is selling educational material which was proven to be plagiarized. Their members have to bought their package offer to participate in OneCoin’s official exchange and they could earn more rewards based on recruiting newcomers.
Kind of familiar isn’t it? Yes OneCoin was a large-scale ponzi scheme, run by Ruja Ignatova from Bulgaria and her partner Sebastien Greenwood which is currently staying in the United States prison.
Another one with High Yield Investment Program (HYIP) which is pretty obvious for ponzi scheme. BitConnect offer their members 40% Return on Interest (ROI) on their investment each month.
The company claimed that members need BitConnect Coin (BCC) locked for investment, and trading bots will work to trade them and return with their interests within period of time.
BitConnect managed to swindle several billion USD through this scheme. Investors in BCC eventually came to lose their money as the price of BCC crashed after it was ruled a ponzi scheme by US authorities.
This one is a recent failure in October 2021. SQUID launched based from the succession of the Netflix series, Squid Game. Assuming it was a promotion related to the series, buyers swarmed into the token, increasing it’s value by 45,000% worth $2,856.
SQUID Coin value plummeted after CoinMarketCap issue a warning about the coin and informing users that the project had been rugged and discovered that it was a scam all along.
Ethereum DAO (DAO)
Finally, the largest failure in cryptocurrency history ever.
Decentralized Autonomous Organization (DAO) was an infamous project which crypto anarchists dreamed about it for years, and Ethereum finally made it reality in 2016.
People were so excited about it, drew in about $168 million USD and made history as the largest crowdfunded project in history. At its peak, DAO token reached a price of 0.19 USD.
This glory didn’t last long, an attacker exploited a vulnerability in the DAO smart contract. DAO ended up suffering a massive attack that resulted in the loss of $50 million USD worth of tokens.
DAO crash resulted in the Ethereum Founders doing a fork of the ethereum blockchain that would roll back the attack and return the stolen funds to their owners.
It didn’t achieve consensus and ended up being controversial, created a separate Ethereum blockchain that operated independently.
Ethereum Classic, a token operating the old blockchain comes in play. Ever since, Ethereum and Ethereum Classic have been competing for consensus. So far, neither has won.
Before investing to crypto coins, make sure to do a research the whitepaper first and what kind of project they are running. If they are offering a return investment remember to the ponzi scheme behavior.
So, here are the points you should consider before making investment :
- Financial Loss
- Limited Use
- Technology Reliance
- Too Little Or No Regulation
- Cyber theft
- Market Volatile