Topic: Different categories of coins and tokens - Invest Wisely (Read 1840 times)

Yes I think so too, more the knowledge more will be the adoption going ahead. In this bear market it's better to learn about blockchain and gain more knowledge about it. I'll see if I can start a series of articles explaining basics of blockchain and cryptocurrency. There's too much fear around crypto being a bubble, only knowledgeable hands can believe in the crypto and will stay with it for longer term. I believe that's the only way of increasing the adoption of crypto to all.

An interesting topic for knowledge and discussion. Very good information with an explanation. Here at the Forum you need to create a special section for learning the basics of cryptography and blockchain. For all the coins are of interest to the future.

There are few others security tokens (securitize, swarm, harbor, etc.) but I haven't studied them fully yet so not sure how they compete with Polymath. I'll update my main thread in 15-20 days with few more worth inclusions. Also I'm looking into the real world projects and solutions using blockchain technology such as WePower, I'll include that category too.

ETH is still the king as long as platform tokens are considered, NEO too has proven itself (in fact recently nOS has completed there beta of product on NEO and nOS seems pretty good to me), but new platform tokens are coming almost each month now, some of the worthy mentions are HPB, WAVES, IOST, SUB, ChainLink, etc. This category is getting big day by day, and I am thinking of reviewing some of them as per my capacity and put it altogether in a new thread.

I know ETH has too much potential and there developers are top notch, working every day to improve the platform. But in this bearish market, it has taken a huge blow, today it's trading under $100, more than 90% drop from it's all time high.
Let's see when they bring in the changes needed for improving the transactions per second which is currently only 14 txs per second.

Perfect coin grouping and I will appreciate that.
Bigut you diligently make threads like that and that also takes time to achieve things like that.

But I'm sure I like Etheruem because Coin is specifically for Platform.

It's a fairly straightforward system, at the bottom right-hand corner of every post, there is a button that says 'Report to Moderator' - see pic below. Just click it and fill in the report form. I think I already reported this particular post anyway, but there are thousands more out there.

I think these kind of people should be reported as soon we find out about them. Do you know how and to whom we should report them? I'll be looking into the rules and guides for the bitcointalk for the same, hopefully I'll find it but if you can guide me that would be great

Yes but I think this dip has decreased the confidence among the long term hodlers too, for e.g. recently a transaction has been done on a 3 year old cold storage wallet, million dollars worth of BTC has been transferred from that wallet to exchange address. I think it clearly shows how it's impacting the confidence among the believers.

I think the dip in 2018 was required so that the weak hands go away from this space, also those who came to just make a quick profit should leave this space as well. The crypto space should mature slowly and gradually, otherwise a simple negative news can take billions of dollars from this space in a span of few days. It'll take another couple of years for the market to become mature and real use cases will be available to general public. That's when we'll see real value of the coins/tokens.

Yes, ideally that should be the case but right now crypto market is not that mature, or better to say crypto investors aren't that mature to look into the projects real use cases. They are getting fascinated by the websites, some network mesh shown on there websites, promises made on there telegram groups to achieve moon in a year or so. I still feel that 75% of crypto investors are not looking into any project's longer term prospect. They just want to make fortune in a year or two.

Yes, seems they are using some kind of rephrasing software for changing few words here and there. Either the first one is original and second one have copied it or both belongs to same user who is running multiple BCT accounts.

Presuming this post...


...is the result of reading this post...


...and then swallowing a thesaurus to regurgitate the false praise...

Investing wisely is basically centered on the knowledge of the investor as the case may be. What is needed most times is to be able to identify what makes a project valuable, how the coin or token is going to be perceived based on demand rather than just some speculative asset and the level at which such a market can go in the long run. In a market where there are so many shit coins, you really want to be threading carefully.

You are forgetting something that payment coin is really going to be a very competitive space in the long run and if you want to be investing in payment coins, you should know their biggest competitor is btc.

However, there are so many utility coins and coins that are based entirely on certain product usage which would be highly utilized in the long run, these are the coins, and I basically look at with more focus on exchange coins, considering the nature at which exchanges are going to be booming in the long run.

you're welcome. Make sure you don't invest all at once any time in the market. Current dips are really good to start your investment, but invest only that amount which you can afford to lose. This is the first rule of investing in crypto. And keep learning

the difference between beginners and experts is just flying hours, you have to experience many failures and read a lot about blockchain technology.

thank you for posting this, I learned a lot for this... specially that I am a newbie..my knowledge about coins is not enough that's why i still looking forward to learn more...

I searched for few articles and blogs on internet but couldn't find something on similar line. That's why thought of doing it and made a list of different categories.

Yes I too started by categorizing at the top level and then slowly started looking into the whitepaper and technologies of the project. Made a list of similarities between different tokens/coins and put them in the category most suited as per there functionality. I am still researching more on the front of real life use cases of blockchain technology and will put some coins under that too.

I always thought of doing some kind of classification but never gave enough time on doing the same research as you did. It looks pretty impressive and also the chosen tokens/coins correctly belongs to the category you've mentioned. As going ahead project should follow the security guidelines, there's a high chance that security tokens will boom in next couple of years. I am holding quite good amount of POLY and thinking of buying MOBU too after it starts trading on any exchange.

No it's not, anybody with little bit of experience in looking through blockchain explorer can easily trace back the transactions.
What made you think that BTC is anonymous coin? By looking your profile it seems you have vast experience in crypto space and yet you are saying this thing doesn't make any sense. Do you have any info to share about it or any proof to concur your sayings?
I bet BTC is never going to be an anonymous coin and also the devs are not working in that front at all.

You can write whatever you want to write or do your classification, for me what drives the price of Bitcoin up was the adoption by silkroad and it is because it is anonymous coin, though not with better analysis one could trace it. but this is an issue for an of these privacy coins also. Alot of privacy tech would be added to BTC soon and will make it more difficult to trace

But 100% decentralization is never possible, if you see in case of ETH and BTC too, more than 40% of transactions are controlled by bitmain and other miners. I am sure you have heard of 51% dominance which these miners are trying to achieve and coz of the dropping prices, more and more people leaving the mining of BTC and it's just working in favor of the big cloud and ASIC miners.
Unless ETH and BTC come up with a solution to counteract this, in next 2-3 years we can easily see 51%+ attack.

Yes CORL is a good project and trying to give there dividends through ETH to there investors. It seems to be a unique way of doing it, coz it's as similar as buying shares of a company. I have checked there whitepaper and it's pretty clean and looks professional. There team has vast experience on the idea which they are trying to solve through blockchain. I'm thinking of investing in it's ICO but then again the current trend is that after ICO you'll see 50-60% less price than ICO, so one half of me thinking of accumulating some at that point.

I think govt will still like to have some control over decentralization, and that's why they'll try to declare most of the existing tokens or coins as security. Then all of them needs to become a security compliant. That's why I'm bullish on it.
So which category is your favorite among the mentioned?

Im not into a security token platform, I chase decentralized platform over controlled by the government. But up for you if you really interested to invest on centralized platform. As others said invest wisely.

That's great, I have heard about CORL platform but haven't checked on it yet. But if they are building STO on POLY, they should give dividends in the form of POLY tokens. It would be good for both CORL and POLY.

Don't put all your eggs in one basket. Absolutely great thinking.

I wanted to tell you a bit more about POLY platform and STO coming on that platform.

Corl is the world’s first token to represent equity ownership in a company that provides revenue-sharing financing to high-potential early-revenue companies.

Unlike traditional tokens on the market, CRL is based on a profit-sharing model where investors receive a continuous stream of quarterly dividends in the form of ETH, based on future earnings of Corl.

Interesting quote that by Polymath's CMO. Ok, so we can clearly see it in a way that POLY is not going to develop it's own blockchain, not in a near future of 2-3 years atleast. After than time will tell if ETH can cope up with the other chains and with security tokens developed on POLY itself.

I also believe that going ahead security tokens is the future and fully agree with you on the part that POLY must have there own blockchain to support faster transactions per second. Also it'll give them the freedom to implement a solution in there preferred manner. I am in there telegram group where many users are saying the same thing but I remember that there CMO replies that by all of your logic "Google should build there own internet".
I like that they have clear idea of what they are going to do going ahead and they have no plans whatsoever of creating another blockchain. Also they have high trust on ETH network and there developers.

I am bullish on security tokens for longer term. I feel POLY will do to security offerings what ETH done to dApps. I feel when US declares all tokens fall under SEC regulation, it'll create havoc in the current scenario and most of the platforms will be switched to security offerings platform. The only problem I see with POLY is that they are reliant on ETH and so have to deal with there own problems along with the same problem of slow transactions per sec which ETH are already facing.

Yes agree with you on this, ETHLend is one example of the same. Not able to implement the crypto loan correctly. Also the time taken by them to give a loan is also on the higher side. Though NEXO platform seems good to me, not sure about MoneyToken though (never a fan of Roger Ver).

For anonymous coins you are right, but I don't think platform coin can come under payment coin. Yes users are using it pay less fees on there respective exchange but that's the sole purpose of it and that's why I have placed it under platform coin category. Maybe in future, different exchanges come together to support each other's coins and then the diversity and scope of platform coin acting as payment coin increases.

Or is there something else you are referring to which I am not aware of?

Anonymous coins it is payment coins at the same time. Platform coins it is payments coins as well. I can say that payments coins - it is just coins without any additional features.

When I started looking for the cryptocoin other than bitcoin, I was totally confused. I was shocked to see that there are more than 1200+ altcoins at that time, and now it's more than 1500. Every newbie will be confused to see so much drama and coins promises to go to moon. I was just finding similarity between different projects and then thought of putting them altogether in different categories.

Idea is to let newbies know about various categories they could target.

These information are very helpful specially to the newbies who wanted to be familiar with coins and tokens. There are thousands of altcoins out there, some have similar vision and mission but will differentiate in terms of transaction speed, transaction fee, security, partnerships and how they upgrade their platform. Before we invest, it would be better to check these also to know until when will our investment goes.

I start by looking at the one-pager and then the whitepaper of the project which gives a fair bit of idea what actually the token/coin is trying to do. Though I don't read whitepaper in its entirety, but about 70-75% of it, especially where they try to explain the problem and how they're going to solve it. Then I join there social groups like twitter, telegram, discord, etc. I communicate directly with the admins, mods or devs and ask my queries, examine there answers and knowledge (Though 80% of ICO projects block me in 2-3 days coz of the questions )

And yes, after examining you can decide on what % of investment you want to put in the token or coin. I am more bullish on exchange coins as of now because of the obvious reason that most people are here for earning profits by doing trading. Once the crypto space matured enough, then only we can see use of Bitcoin or litecoin or any other payment coin to be really used as payment option.

I am following the POLY tokens and there development. They have got a good team and keep on delivering on there promises at the defined timeline. I hold good amount of POLY tokens and going to increase portfolio even more on it. I'm holding it for at least 3 years, i.e. till Dec.2022 and see how it pans out for security tokens. I think if SEC take route to make every ICO a security than many ICO's will shift to POLY and that's when the price multi fold.

That's the idea actually. It's always advised to not invest only in one bracket or category but in multiple categories. I'm sure there could be few other categories or better categories for the coins, but for the time being it'll help newbies coming to crypto space.

Yes, if you see binance coin is outperformed even bitcoin in terms of decline from it's all time high. Bitcoin is down by 65% as of now whereas Binance coin is down by 50% from there respective highs. Also BTC has came back to where it was in Nov. 2017 and Binance is trading almost 6-7x of it's Nov. 2017 price.
Though not a correct way to compare between the two but it's showing that people are really interested in exchange coins and keeps on HODLing to them. I am also planning on increasing my portfolio on BNB.

I ain't asking anyone to follow my guide or advice, it's just that I was doing some research and thought of putting coins under different categories and able to do so for some of the coins I have researched. People are always advised to DYOR before investing in any project.

A very interesting division. You've given me a lot to think about. This reduces the time to select the desired coin. After all, you can determine a more profitable category for yourself and from it you can already choose coins for investment.

It is quite an informative post indeed. I have always been more tend towards exchange coins or tokens anyway with the consideration that this will really be very useful with the way the market is growing every day and new traders as well as investors are being born.

From a statistics I have seen, they have been the fastest ones to raise funds even when it comes to ICOs, and that makes most people to also share the same mindset. I am never a fan of anonymous coin and I feel there would be more eyes on these ones eventually by the government.

The decisions you make normally in cryptocurrency investment should be based on how you perceive the future of a particular coin or token, whether it is something that would end up very useful in the long run, or something you really will not see much demand for it whether it is anonymous, pseudo anonymous, utility or whatever. Due diligence is necessary before investing into any project and then the importance of checking out the team as well.

There are many varieties of coins on the market today. And in order to understand what kind of coins to buy, you need to analyze the market. And then give preference to the most profitable coin. Personally, I think at this time it's better to invest the Etherium. He will always be in demand.

There are many investors who just want to dive in cryptocurrency market without doing research. I hope they will be able to see what it should take to come to crypto market. This seems to me a very good work.

This information will come to use for many investors. They will be able to get the idea of how to categorize their investment on crypto market. I hope people will find this information useful.

I think this is pretty impressive! Every investor should take their time to do research and come up with something like this. I guess this will be helpful for many rookie investors to look forward.

we all knows that very well that every week a new token or coin arrived in the market and all of them are unique on their own ways so I think it is good idea to divided them into categories it will help the investors to choice their required one easily

agree . category can somehow help investors to easily identify a coin depending on their stats and specs but that does not mean that a coin listed on that category is already safe or risk free .  

investors face a lot of problems not just because of the number of coins but also to some other factors as well , such as decision making , lack of knowledge , too lazy to take a research before they invest on a certain projects , etc . 


overall , we need to be wise to be able to increase our chance of winning  the markets .

there is huge variety at coin and tokens in the cryptocurrency market and because that reason investors have to face  lots of problems while the have to choose the right coin for them so is a good move that they are making categories as per their quality

when there is varieties of things stay on a one place then it gets hard to find out the right one for you so in that case make a category as per their quality and divided them into that is wise decision to make things easy

Security tokens are not introduced very commonly till now in the crypto space. There might need a really long time to turn it into a common token, tough some like Poly started introducing themselves. What do you think?

Aren't you missing a category, for the coins/tokens representing real world industrial use? all those you mentioned seems to be more for "personal use" in some sense! what about "bank coins", what category would you place those in? I think we can make a few more categories considering there's thousands of coins/tokens - even if most of them are the same, not all are! 

There are many categories of coins as we see. All of them may not be good but we need to select good coin ideally. It will bring a good feed back in Crypto world. But we need to be wise to be gainer.

Good description you have made here and I guess this topic will be helpful for most of the new comers here. It looks like you have spent very good time over the crypto currency study and thus was able to classify the coins according to their usage and basis of creations.

Yes we do need this classification so that we can actually make our investment in that way only. How easy it is to see which coin is for what purpose ? With the use of it, one can put up the % investment according to the high quality use too.

it is really good way to put different categories of coins. I am always divided it into three categories, I have almost one coin of each category except crypto lending. there's one more token or project called moneyToken which is also in this segment only.

This is very helpful post. I liked the way you categorized the whole types of coins. It was really easy to understand. I have cleared some of my confusions regarding coins.

it is really good way to put different categories of coins. I am always divided it into three categories,it will helpful to take best decision about investment.

you are right, if anyone want to make more profit they should follow your guide. it is really good way to put different categories of coins. I am always divided it into three categories.

I think there are several way that you put different category of coins. I try to divided it into three category. I have all type of coin from each category. There are one more token in this segment.  As roger ver involve here I am sure it will make some change.

Thanks for the information you've put on this article. It is a great move to differentiate the coins and tokens into groups. I think people will now get help from this.

That’s a great article about cryptocurrencies and their groups. Thanks for classifying these currencies and tokens into groups. Now people can differentiate and compare between two platform.

Try not to succumb to publicity or a very much outlined site when picking the best ICO to put resources into. Pay special mind to warnings, be steady and mindful of the patterns in the market.

Beginning Coin Offering - ICO for short - is another approach to gather pledges. For instance, in 2017 ICOs raised more than 6 billion USD and this figure will undoubtedly develop at exponential rates.

There are innumerable individuals who lost their cash by putting resources into ICOs without performing due tirelessness first. That is on account of a decent advertising effort or underwriting by YouTube specialists aren't signifiers of an incredible ICO.

You really did a good work fella. This is worth a nice classification which will make things easy for the newbies to decide to see this discussion. I always prefer payment coins, platform coins and exchange coins, as you described .

I have already categorized also by usage of the crypto coins and tokens. But it was not this much rich. The category you have made will be so helpful for me as well for the investors those who invest in the crypto market.

This social networking coins might add a little more for the newbies and the people who come without any money in the crypto space. Though, these bounties mostly turn as scam projects.

Most of the people did not know about this properly and faced a lot of problems. I appreciate you for making such classifications of each and every coins and token that are needed for people to invest

It’s really great that you made this type of category. Nicely categorized each and every token and coins. Now people will understand properly about the usage of crypto coins and can use this knowledge in investing.

Thanks for sharing this informative post. It’s really helpful to understand about coins. I appreciate you for the way you explain the category of coins. Really a good research it is.

Not bad, I'll take the first point. I share the opinion about these coins. me sympathizes with NANO, think in the future this coin still will show a good growth. But your selection is good

Your strategy of investment and adding fiats in the market seems quite cool to me. I think it may help you to maximize profits. I hope everyone will build up a perfect strategy for themselves.

Nice observations and classifications. I think everyone should do the same so that they can make right decisions about particular coins. Otherwise these can be real complex to take decision.

Exactly, couldn't have explained it better than you did just now, can I use these lines of profit/loss in original thread itself?   
And as far as picking coins/project goes, I think new investors try to pick a new or low value coin and expect to get 30-40x returns in 1-2 years. It's all about doing research and reducing the risks of not picking bad projects. And as far as ICO goes, I have only invested in one ICO (http://tv-two.com) till now after doing thorough research about the team and if that project is really needed or not.

I am about to put some coins under traditional business replacements coins, but "Real World Coins" could be altogether a different category. I know about WPR and have done some research on it. I'll check on TFD and SHR too. Thanks for letting me know about them and a different category  

If you will go let's say fastfood or restaurant would you feel excited to eat or thrilled if you only have few in the menu? Same goes with crypto I agree there are too many coins in the market and it is very hard to choose on where to invest and by the end of the day we have to choose what to eat and its either we absorb it (profit) or just digest and poop it (lose).

I think you should add another category of "Real World" coins ie ones that are being used to support real products that we could use in our daily lives so they are utilising blockchain and adapting it for current business models. WPR, TFD and SHR would fit into this category

Or you can just classify them as Bitcoin and Altcoin  
In the end we are all here to make some profit, today for newbies it's really difficult to start investing because of the so many tokens presence. If I would have started investing in crypto space, there were only 40+ projects or so, and I could have picked 3-4 from them, but now it's more than 1500 coins and 3-4 coins getting added daily is really troublesome for everyone.

It's good that there are only different categories. Each of them attracts the attention of its user and gives him the pleasure of trading. Of course, many of them are either not relevant or do not make a profit, but there is such a side effect everywhere.

Yes, previously I wasn't too sure about investing in smaller parts but then I thought of how much I can afford per month, and started doing it. Still crypto is very high risk investment, so I'm investing only that much which even if goes to zero, doesn't affect me much.

It seems most of the people would like to stay away from anything where Roger Ver is involved 
You never know when he'll sell all hi BCash coins and start altogether a new coin or project. And the fact that he is still not changing name of bitcoin.com and twitter account name is also bitcoin, it clearly states what his intentions are.

I extremely preferred the manner in which you have shared the post, particularly the division of the coins into various verticals/spaces. I do likewise trust that keeping distinctive coins in our portfolio is a more quick-witted one. Investing little by little in this market is likewise the noteworthy one. We ought to do this likewise to decrease the dangers of getting a misfortune.

Good information, mate. The categories of coins and tokens you made may help us to analyze what categories that are promising and more safe to invest. You also share us some potential coins. I hope more people to make worth information like you did. Thanks mate.

I really liked the way you have shared the post, specifically the division of the coins into different verticals/domains. I do also believe that keeping different coins in our portfolio is a smarter one. The idea of investing little by little in this market is also the impressive one. We should do this also to reduce the risks of getting a loss.

This list will actually help tjhose who are confused that which coins should be invested in where. This does look like a really impressive list. But it will be better to not to get associated with MoneyToken, because it does not have a good buzz in the market.

This is a well thorough list that you have prepared and not only is it helpful, but it looks impressive too. This will act like a map for the people to see which coins will be used accordingly for their preferred investment instead of going for it on their own guess.

Of course, for analysis it is sometimes useful to classify assets by sector. It is practiced in the stock market. Crypto is still very speculative, i see no reason in the coin classification. I have just such a classification: a good coin and shitcoin .

That is really an impressive classification that you have done here. A lot of the people just put them in 2 or 3 categories, but putting so much depth in it is a praiseworthy feat. But here MoneyToken is something that people would just stay away from due to the infamous Roger Ver behind it.

That's an interesting post. The way you arrange the domains is praiseworthy. Among the payment coins, I like Bitcoin most. It has huge potential and I believe that in future it might become one of the best method of transactions.

I didn't have any idea that there are so many categories of coins. The post was really helpful and I learned a lot from this. This will help me much in future to deal with the coins. I will share it with all certainly. A post worth reading.

That's some really good way to put different categories of coins. I have always divided it into 3 categories, but never thought of classifying it to other levels. I think I have almost one coin of each category except crypto lending. I think there's one more token or project called moneyToken which is also in this segment only. But as Roger ver is involved with that project, I'll stay away from it.

I am only 10 months old in this blockchain/crypto space. I have invested initially for the sake of taking quick profits, even saw 4x of my investment in jan 2018 but didn't book a profit and still HODLing onto my coins and tokens. I have started with $1000 investment and in the next subsequent dips in market, entered another $500-700. As of now my investment stands around $3500. And I'm now adding fiat of around $200 monthly.

I have learned about some really cool projects, they seems cool to me, I might be wrong though  
But what I have learned is that one should not HODL there entire investment in just similar altcoins. I have done a bit of my research and have divided the coins into different verticals/domains. If I have to add another $2-3k fiat in crypto, I would divide my portfolio into different verticals in crypto space.

Here are those verticals/domains:

1. Payment coins (BTC, LTC, NANO) - Both are targeting to be used as method of payment in the coming future. BTC would be first choice by returns from it will be low but steady. LTC could give 3-4x more gains than BTC but more risky than BTC.

2. Anonymous Coins (XMR, ZEC, DASH, PRIV) - Almost similar vertical as first except that these are basically have enhanced feature of making non-traceable anonymous transactions. Again I have written the coins as per the Lowest risk/returns to higher risk/returns as per my research. PRIV is the newest of all, only couple of months old. What I like most about them that they have not done any ICO to raise money and they are giving tokens for spreading news about them to there community members. More than 50% of tokens, around 11M of total 21M will be distributed for free.

3. Platform Tokens (ETH, XLM, NEO, IOST, ICX) - Platforms that allowed dApps to be built on them, thereby increasing the blockchain applications and need of there tokens, as a result price will increase. ETH and NEO are most favorable and they are here for quite some time now. Developers of both have already proved themselves every now and then.

4. Exchange Coins/Tokens (BNB, KCS, HT, GVT) - These coins or tokens will be generally used inside there own exchange to reduce the trading fee by some percentage (generally 50%). As paying in other crypto yields more fee, people generally who trade in exchanges will be paying fees in respective exchange coin. Also these exchanges do a quarterly buy back and burn of there tokens, thereby significantly increasing there price.

5. Social network coins/tokens (STEEM, MITH, GTO) - These coins will be used within the social network platform built around them. Many users can earn by simply posting/liking/replying to articles/images.

6. Security tokens (POLY) - Currently only polymath allows security tokens to be built on there platforms. As per SEC chief all ICO's can be deemed as security in the coming future, there's huge opportunity for polymath. I know of another ICO (MOBU), which are on the same line as POLY is but they're still in ICO stage so can't say much about it.

7. Crypto loan (SALT, NEXO, MoneyToken) - This is a quite new vertical and an interesting one. People can deposit there fiat and take fiat as loan. It will help the people who needs fiat money for smaller amount of time but don't want to sell there crypto holdings. It could be the next big thing in crypto space.

Besides these there are several projects which are trying to replace traditional businesses using blockchain, like replacing online e-commerce, taxi-booking services, online advertisement etc. I have some projects to research on this vertical too, but don't know where to put them at. Maybe I'll put them under traditional business replacements projects (doesn't sounds cool though, suggest me if you can think of any good name).

These are the verticals as per my knowledge and research done yet, there could be many others which I have surely missed. I will update my post as and when i'll come across them.