These are digital assets that piggyback off the basic design of the earlier created Bitcoin. However, truth be told, the definitions above are all pretty good. But in the end, what coins are ‘shitcoins’ is really an opinion.
The process is transparent, with no hidden charges, as investors are aware of the gas fee beforehand. The token owners can access the Dash 2 Trade platform, where reliable information is shared based on their membership status. While the free membership provides basic on-chain data, the advanced memberships allow access to crypto analytics, insights, and metrics. The Dash 2 Trade is built on the ERC-20 standard, the Ethereum blockchain standard.
Decryptionary raises the white flag and just defines a shitcoin as “any cryptocurrency that is disliked by the person talking about it.” And even that has some merit. The D2T token was co-created by the Learn2Trade professionals passionate about making the whole market research available to traders, so they can adopt them into strategies that work. This has made the D2T one of the best investments of the season and will be prominent in the future. Shitcoins are easier to identify since their price chart follows a specific pattern. Shitcoin prices exponentially increase over a short period of time, eventually gaining investors’ attention.
Moreover, when searching for the project’s future roadmap or goals, and you cannot find this information, then the project should be approached with caution. Lastly, if there lacks data about the tokenomics, supply, token allocation, holdings, etc, then the token has a higher likelihood of being a shitcoin. There is no particular reason for the creation of this acronym. As conversations in forums and in social media tend to keep wordings relatively short, it would potentially take a long time to write that a coin “is a bad investment”. For that reason, crypto-investors gradually formed the term by connecting the words “shit” and “coin”.
As of January 2021, there are over 4,000 cryptocurrencies on the market. They can't all be on the level of Bitcoin, Binance or Tether. In the stock market, there are good and bad investment opportunities, and the same can be said of cryptocurrency. Many shitcoins are created to capitalize on people who are jumping on the crypto bandwagon without doing their research first. Interest in cryptocurrencies increased substantially since bitcoins were introduced in 2009. Developers typically announce how many tokens are ultimately made available—the supply of bitcoin is capped at 21 million, while ether supplies are capped at 18 million per year.
There are exciting possibilities out there when investing in cryptocurrency, but this isn't one of them. Stick to serious projects that are aiming to solve real problems. With joke tokens, it's only a matter of when -- not if -- they'll collapse. It's one of those cryptocurrencies where the name is pretty much the only reason it exists. There's nothing it does differently from thousands of other crypto tokens, so the only reason to purchase it is the fact that realcyberdoctor it's called Shitcoin.
The majority follow pump and dump schemes where only a few "insiders" really understand the price dynamics. With no real value, after a pump and dump scheme, other investors are left with worthless cryptocurrencies. There is no denying that small-cap altcoins can produce high returns, but only if an investor gets extremely lucky and sells at the right time. There is a high chance an investor can lose all of their initial investment. Basically, these terms refer to cryptocurrencies with little to no value, that have no immediate or discernible purpose.