What is a Shitcoin and how to profit from it. - Crypto Academy / S5W8 - Homework post for nane15
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Hello everyone , I welcome you all to another week in the crypto academy.
On today's topic, I will be discussing with you one popular part of cryptocurrencies, the part that is as well regarded as a mode of investment in the crypto business, today I will be discussing with you about Shit currencies popularly known as Shit Coins, the course that was tutored by professor @nane15 , you can as well join me and study from the Page.
Stay apprised , as I submit my entry below;
A shit coin known as shit currencies, are just like any digital currencies as we can explain the cryptocurrencies foundation back to the introduction of bitcoin found by Satoshi Nakamoto and ever since then, there has been many projects plumming into the crypto business as the business has been known to venture interesting profit and as well has been some major financial breakthrough to most individuals.
The bitcoin creation was introduced in 2009, thou despite being the first, people don't really take it seriously at first not until the later years when the bitcoin movement start showing profitable profits due to some interesting logic behind it, ever since then, we have seen other crypto projects come through where we have ETH coin coming in follow with the BTC coin, and the project as well shows nice profits, which otherwise causes other projects to come to venture and make stand as other projects who have also made profits.
The Shitcoins are coins regarded shitty or let me say coins that are not yet productive in the market, or better still let me say coins that their stand is not yet affirmed, which thus means the stability or the coins ranking in the future is not stable as well. these coins are not promised to be stable or their project proposal is not really solid which thus means there is a possibility the project might as well run down in the future without proper maintenance.
In summary, shitcoins are coins that are regarded to be of no value or sometimes, others refers to shitcoin as any other coins apart from BTC.or some coins that their price value is almost insignificant.
Now let me explain on how we can easily identify a shitcoin.
Anonymous: Some creators of shitcois tends to stay Anonymous since the profitability of the project is not solidas these tends them to work in the safe space and might as well yield to scam.
MarketCap : Most shitcoins market capitalization are always below 5 billion of supply with no circulating supply.
Token Holders : Some shitfoins have very little token holders as this are still not even yielding uetbin a case where we see the token holders to be lesser than 200 or 300 such coin is considered as a shitcoin.
Not Listed on Reputable exchange : Me personally doesnt venture with coins that are not listed on the top exchanges , so any coin we were unable to find within this are as well considered a shitcoin.
Market rank below #100: thou not all project hasve surpasses high ranked but still we have witness some shitcoin fall below 100 such as doge ranking 21 , but regardless coins that we saw the ranking level to be below 100 can as well be considered shitcoin.
No proper maintenace: coins that have many tags and as well has many associate are considered shitcoins as there is no seriousness going with the project yet.
The whitepaper as well can be considered to determine if a coin is a shitcoin or not , in a scenario whereby we saw the project promising a lot of returns or trying to sweet talks investors, these type are considerd shitcoins as well.
How to identify a good shitcoins
Previously i explained how to identify shitcoins, now let me explain how we get to know if a shitcoin is good or not.
Listed on popular exchanges: A shitcoin can be considered a good one if they are listed on the reputable exchanges.
Social Media Presence: Any Shitcoin that has a presence on social media such as Facebook,Twitter, with lots of likes and engagements can as well be confirmed as a good shitcoin.
Much Token Holders: A shitcoin can be considered good if it has a large number of token holders.
Yes, it is very possible to make profits from shitcoin, in fact, let me say for a fact that you could easily make large earnings from shitcoin than main cryptocurrencies.
There are some shitcoins that have made x10,000 investment for example let me use the Shiba Inu coin as an example, there was an estimate saying whoever invested $1000 into Shiba inu at the early day of 2021 would have made a profit of $1,000,000 from the investment, which I am sure even the Bitcoin didn't plunge profits like this, although some shitcoins as well pose as a scam in a sense that they got listed then afterward find some big whales to push the coin to a ranking level which thus might as well cause others to make an investment which at the end of the day the tactics is just to scam and go away with users funds.
So to the response to the question, Yes, investing in shitcoin is really profitable just that investors have to make great research before thinking of making the decision of investing with the said project.
Advantages
Shitcoin Promises great returns on investment.
You can invest little and earn plenty of rewards in shitcoin.
A Startup for beginner traders as new traders can as well take their stand in trading by at least investing in shitcoin first.
Shitcoins provides High risk, high rewards.
You get to hold billions of coins with just a little investment for example buying the Wakanda inu where you get to possess 12254419 Wakanda Inu (WKD) with just 1USD.
Disadvantages
You might not get your returns as expected.
The probability of losing all your assets.
The project's market movement depends on traders' influence no seriousness behind it.
most of them as well portrays as a scam.
Not in any way stable as the coin can as well run out in the latter days and be worthless.
Not for long investment.
I will be showing examples of three shitcoins projects that have been a scam and have gone with people's assets.
- Baby Doge BNB.
The Baby Doge BNB as well took after the Intoduction of Baby Doge before the coin was listed as a scam , it posses to be a disguise under the influence of doge so as to potray disguise to beginers who ought not to make proper research before investing.
- AstroNewYear (AstroNewYear)
The other shitcoin project was the Astronomy new year , the project was implemented to be a stable coin ,which after some years the liquidity tends not to be found , as rhe project propse was to come to scam, has the project is now as no interest in value.
- Golden Shiba ($GSHIB)
The Golden Shiba as well is a coin that posss to be a scam after the coin took its name after Shiba due to its name relations with Shiba , which thus makes people to believe the possibility of the token doing same as well as shiba which indeed did others as the token eventually run out of worth and made away with serious wealth.
Additional Note
I would as well love to explore one major cyptoscam that occurs in the previous year known as Squid Game Token, yes I agreed this coin might not be a shitcoin rather a scam coin.
- SQUID GAME TOKEN
The Squid gme token was built on ethereum network which took its fame after the popular series squid game in 2021, the token then use the series popularity to build its users as we get to witness a large pump in the token as its shows a great profit of 3000%, not until its time for investors to cash out before the website started giving us the news of hack , that they as well cant access their own website , the coin was said to have gone away with large crypto assets.
Question 5 - Explain at least two examples of Shitcoin that have been successful and are currently keeping it. (Other than Dogecoin or Shibainu.)
In the previous question, I was able to explained shitcoins that have been a scam , now let me explain two cryptocurrencies that are currently keeping their activity .
SafeMoon
Floki Inu
- SAFEMOON
SafeMoon is as well DeFi token as the token was launched March of 2021,.
As indicated by CoinMarketCap, SafeMoon positions at ranked 210 in the crypto market as of ordering, with a capitalization capital of more than $1.3 billion.
The token was based on the Binance Smart Chain blockchain. Its convention has three capacities: reflection, liquidity pool securing, and consumption.The Token as well have been moving due to its introduction in NFT's market place.
This cryptographic money made it in popularity due to the influence of people like rapper Lil Yachty showing revenue. Its slogan – 'Securely to the Moon' – too has added to its fame.
| SafeMoon Price | $0.00000235 |
|---|---|
| Market Rank | #210 |
| SafeMoon Market Cap | $1,377,813,978.62 |
| Fully Diluted Market Cap | $2,353,080,111.97 |
| Circulating Supply | 585,536,366,402,812 SAFEMOON |
| Total Supply | 1,000,000,000,000,000 SAFEMOON |
| Max Supply | 1,000,000,000,000,000 SAFEMOON |
- FLOKI INU
The Name Floki Inu was derived from Elon Musk's pet puppy named Floki. The Floki Inu is currently Seeing its position in the crypto market at ranked 2864 on CoinMarketCap.
The Floki site says that allies of the Shiba Inu made the floki currency as well. In any case, this shitcoin acquired huge benefits in a range of a couple of months which all due thanks to Elon Musk's tweets, displaying his little dog 'Floki' for this development.
In any case, this Floki Inu token is related to different activities that make it somewhat not the same as your standard shitcoin. Floki is formally collaborated with a great many Garden Movements to address food instability issues, whih was run by Kimbal Musk (sibling of Elon Musk).
Floki additionally has numerous forthcoming lead projects, NFT's, and as well metaverse NFT gaming which is known as Valhalla.
| Floki Inu Price | $0.0001106 |
|---|---|
| Market Rank | #2864 |
| Fully Diluted Market Cap | $2,198,254,596.90 |
| Total Supply | 9,307,888,950,059 FLOKI |
| Max Supply | 20,000,000,000,000 FLOKI. |
From the chart above, we could notice the movement of the Floki Inu token, as we got to see the market listed at the price of $0.00000002 as at August 2021, which after sometimes the coin keeps been stable not consideres bullish nor bearish not until November period before the coin start plumming bullish which surges alot of investors to invest in the particular coin with the buyers lifting the token to its all time high at Nov 4 2021, at the price of $0.0003437 which thus proves whoever has invested earlier must have made huge profit as of the the time of the ATH.
Then after its ATH in novemeber , the coin dips lower for some period of time which means a lot of investors made peofit at the ATH and decided to sell meaning lots of people sold out at that time,nonetheless the coin still were able to maintain its stability within the market ,which as of now the coin price is at $0.0003437.
| Floki Price | $0.0001112 |
|---|---|
| All Time High Nov 04, 2021 (2 months ago) | $0.0003437. |
| All Time Low Aug 09, 2021 (5 months ago) | $0.00000002 (551052.97%). |
From the analysis above, we could see that who ever purchases the xoin when it was at the All time Low would be making a profit of 551052.97% by now.
Question 7 - Based on your previous analysis, what do you think will be the development of the price of the cryptocurrency for this year? Be creative when explaining.
From the analysis i made, we could see that the Floki Inu token as come to stay and as well the coin market movement tends to move with Shiba Price movements.
Just like i said earlier that the allies of the Shiba coin were behind the creation of the Floki Inu and as well the coin has it influence under Elon Musk (a popular billionaire) which thus means he cannot tends to let the project dump jas he himself has already vouched the currency.
And as well the project developers behind floki project are kind of amazing as well, we all have heard of the rome scandals in the past and there correlation with valhala ,the project as well has a metaverse and an NFT, which we already know that any project with NFT tends to be solid as the Non Fungible Token are known to have high volatility in the market as well ,the Floki project as well has several gaming dApp where user can own lots of NFT in the marketplace , which all these proves the seriousness behind the project as the project tends to be solid and have more chances of creating a great market value in these particular year.
Shitcoins are just like our normal day to day digital coins , these coins can as well be traded like the normal digital currency only that , not all of them are listed/found on the popular exchanges.
Shitcoins are coins that are regarded to be of low values or almost insignificant in worth , these coins are really not taken serious as they did not have a solid project behind them or mostly, most of them are created from a meme just for the fun part.
The shitcoins investment tends to have a High risk and High rewards ratio in a sense that you could easily get rich and make masive profits from investing in it , and at the same time you could as we suffer a lot of loss due to the fact that these coins have little or no liquidity to keep up with their value yet.which is why when making investment in shitcoins, you could only invest what you can afford to loose.
Here comes my submission to the assignment as i hope that, have been able to touch the most part of the question , and have answered each question with my knowledge.special thanks to professor @nane15 , its a privilege to participate in your tasks these season , as i have been able to learn alot without omitting any of your class.i hope to see a gret deal of your class in the nearest as well.
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