4 min read
If you usually follow the world of cryptocurrencies, you have probably heard the term shitcoin, but you can’t identify what it means or what it refers to. Therefore, in this post we are going to explain what a shitcoin is and how you can identify one.
Shitcoin is a term often used in a derogatory way to refer to some cryptocurrencies. Specifically, absurd cryptocurrencies that serve no purpose and that were created as a copy of another cryptocurrency and without any specific purpose.
They only serve for some users to speculate with this cryptocurrency and enrich themselves at the expense of the ignorance of others.
In fact there are currently thousands and thousands of cryptocurrencies and tokens on the market and the vast majority of these are shitcoins because they are either projects created without any purpose or copies of other existing cryptocurrencies such as Bitcoin.
However, we must not forget that there are also a large number of cryptocurrencies that had been qualified as shitcoins at first sight and that today offer great utilities that we can take advantage of.
How do you know if a cryptocurrency is a shitcoin?
With the creation of Bitcoin, many other cryptocurrencies emerged which did not have a clear objective. And the fact is that the birth of shitcoins goes back much further in time than you might think.
When something is successful, thousands and thousands of copies emerge imitating the original without implementing even the slightest change. Unfortunately, this is not only common in the world of cryptocurrencies.
But don’t worry because we are going to give you some tips on how to recognize shitcoins easily.
- There is no cryptocurrency that is going to make you rich overnight. So if you discover a cryptocurrency that promises big and important changes with which you can become a millionaire, go discarding because it is very likely to be a shitcoin.
- The best projects do not need to be advertised. Nowadays advertising is something fundamental to be known but if it is a great project it will see the light little by little. If you start receiving sms or advertising about new projects that offer great benefits better stay away because that does not smell very good.
- It is important that you visit the website to see in depth what this great cryptocurrency that will make you rich (or so it seems) can offer you. If after doing this you still don’t know what functionality it has, you better not risk it.
- Do some research on the team of developers behind the cryptocurrency, if these people don’t have first and last names and don’t even have interviews, better stay away from that cryptocurrency.
- We always say that it is essential to review the whitepaper of a project before investing large amounts of money and this time is no exception, check the whitepaper and if it has no whitepaper or it turns out to be a copy of some other already known project I’m sorry to tell you that it smells like shitcoin.
You have to be especially careful with some shitcoins, as in some cases the developers promote their project in a big way and launch it. And when they have made enough profit they abandon the project leaving it stagnant without contributing anything automatically turning it into just another shitcoin.