Is exchange based tokens worth for hold? - page 9.

Ultegra134

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Quote from: Husires on August 28, 2023, 07:21:08 AM

Quote from: Tahid12 on August 25, 2023, 04:58:54 PM

As an investor, i bought so many exchange based tokens! Bnb, uniswap, kucoin (kcs), cake, houbi (ht), FTP and so on. Undoubtedly those exchangers are so big and reputable. I though those altcoins will pump if exchange get larger during time and if exchange add more pair with their altcoin on their platform, then price will boom but most of those are like shitcoin, dumped 70-80℅ in long run except bnb. So what do you think? I'm no longer going to invest any exchange coin anymore!

Why did you exclude BNB? Like other currencies, it is centralized, controllable, and depends mainly on Binance. In short, by purchasing BNB, you trust the future of Binance. If you expect that they will continue to make themselves the number one platform, the price will rise, otherwise the price may quickly reach zero because it is completely centralized.
It is like trusting the local currencies of a developing country, and perhaps investing in BNB is more risky than that. If I were you, I would invest in new CEXs tokens that can grow quickly, the ones that are trying to make their way between the ranking of top crypto exchange if they succeed in that, the price will rise like crazy, and if they fail, I will not invest more than 5%.

The FTX incident is enough if you take into account how much money investors lost due to their token, FTT. Generally, BNB and Crypto.com's coins look promising, and BNB even has its own network. I've seen a lot of comments focusing on the centralized nature of these coins and a possible attack against Binance, which I find highly unlikely to crash the whole exchange and its coin, to the point we see another FTX incident. Although attacks have occurred in the past, they only had short-term effects on the exchange.

Now, to return to the centralized nature I mentioned earlier, the OP also mentioned decentralized platforms, which, in my opinion, may be more prone to hacks and exploits due to potential errors in their code. Beefy's coin, for instance, BIFI, which had lost a lot of ground and support in the past few years, has plummeted in price compared to 2021 or even 2022.

The general rule is that when you invest in such a coin, you're supporting and trusting their platform.

eaLiTy

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Quote from: abel1337 on August 28, 2023, 11:20:07 AM

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I personally have one exchange coin which is BNB. There's a lot of speculations happening around but there's a chance that if binance hold their price until the next bull market, I'm sure I can make a profit on that coin.

It is a fact that Binance is facing pressure from the regulators as they already sued them and SEC claims that it is an illegal exchange and the legal fight is ongoing, so these are not speculations, these are the issues they are facing and it is having an impact in the price. If everything is fine then it will rally big in the next bull run, but if the regulators are behind them, then there is risk if you are expecting a profit.

Yaunfitda

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Quote from: Tahid12 on August 25, 2023, 04:58:54 PM

As an investor, i bought so many exchange based tokens! Bnb, uniswap, kucoin (kcs), cake, houbi (ht), FTP and so on. Undoubtedly those exchangers are so big and reputable. I though those altcoins will pump if exchange get larger during time and if exchange add more pair with their altcoin on their platform, then price will boom but most of those are like shitcoin, dumped 70-80℅ in long run except bnb. So what do you think? I'm no longer going to invest any exchange coin anymore!

Sorry bro, for me, it's not worth it. Perhaps when the trend started by BNB took off, everyone thought that it will be the biggest hype. But as we all know in crypto, only the prime movers will remain strong and that's what happen to them, they are still in the top 5 of crypto market.

But as others you mentioned, they are either dead or the price is not moving at all. Maybe one benefit is that if you used that exchange and then you can save a lot from using their native token. But as far as investors and holding them? Nah, I wouldn't recommend that.

jasonjm

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It is not advisable to hold exchange tokens in your portfolio because they are linked with a single entity, and whenever there is some negative news, the token price will crash. After the FTX crash and bankruptcy, it is now clear what might be the eventual fate of the exchange token.
Invest in BTC and ETH instead for a secure investment.

trendcoin

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Quote from: Tahid12 on August 25, 2023, 04:58:54 PM

As an investor, i bought so many exchange based tokens! Bnb, uniswap, kucoin (kcs), cake, houbi (ht), FTP and so on. Undoubtedly those exchangers are so big and reputable. I though those altcoins will pump if exchange get larger during time and if exchange add more pair with their altcoin on their platform, then price will boom but most of those are like shitcoin, dumped 70-80℅ in long run except bnb. So what do you think? I'm no longer going to invest any exchange coin anymore!

I never trust centralized exchanges excessively, but if you categorize the market, you can see that they have a significant share... So, I think it makes sense to invest in exchange tokens in the same way that it makes sense to invest in defi platforms or Layer 2 protocols or play2earn tokens, and I think that's largely the right strategy... However, no matter what, the market moves in a way that is heavily dependent on Bitcoin. So your gains from altcoins actually depend directly on Bitcoin's performance...

benalexis12

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Quote from: Tahid12 on August 25, 2023, 04:58:54 PM

As an investor, i bought so many exchange based tokens! Bnb, uniswap, kucoin (kcs), cake, houbi (ht), FTP and so on. Undoubtedly those exchangers are so big and reputable. I though those altcoins will pump if exchange get larger during time and if exchange add more pair with their altcoin on their platform, then price will boom but most of those are like shitcoin, dumped 70-80℅ in long run except bnb. So what do you think? I'm no longer going to invest any exchange coin anymore!

That depends on who you believe. Before I invested in kucoin, because kucoin used to be when you bought it, even if you didn't trade it, as long as you held it, it would automatically stake on its own platform. And now, as far as I know, Kucoin has stopped it, and after that, I sold my holding of it. But for now, the only thing I see that is okay with me is Binance, or BNB, in my opinion. This is the only thing that can be seen if it can be said that there is really strong potential in the future.

Taskford

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Quote from: Tahid12 on August 25, 2023, 04:58:54 PM

As an investor, i bought so many exchange based tokens! Bnb, uniswap, kucoin (kcs), cake, houbi (ht), FTP and so on. Undoubtedly those exchangers are so big and reputable. I though those altcoins will pump if exchange get larger during time and if exchange add more pair with their altcoin on their platform, then price will boom but most of those are like shitcoin, dumped 70-80℅ in long run except bnb. So what do you think? I'm no longer going to invest any exchange coin anymore!

Nothing guarantee anything even if its popular exchange so even if they are having a good run better take extra precautionary measures on your investment. But since you acquired some good coins there still it has potential to rise up its just you need to be aware always on the news and don't get hype easily so that you can think nice then sell according to what target you set. Remember that to many manipulation so best to think always securing your profit rather than became a greedy dude and bag hold their coins if bad scene hit in the market.

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Quote from: xen1oph on August 30, 2023, 04:26:32 AM

Exchange-based tokens can be a tricky game, and not all of them turn out to be winners. But hey, that's the beauty of investing – sometimes you win, sometimes you learn. Take this as a valuable lesson and focus on diversifying your portfolio with a mix of different crypto assets. The crypto world is full of surprises, so keep your chin up and keep exploring!

But if you are only investing valuable coins, you can also avoid big losses. However, as we talking about exchange tokens, nah, we need to be very careful with them because the majority are just shitcoins and useless exchanges. If we are into the look for profit, therefore, better to stay away from them or just invest only in Binance coins for safety.
Whether to say that the market is full of surprises, yeah it is if we don't know how it works. But we can anticipate the situation, then we can say that crypto is really a good investment.

xen1oph

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Exchange-based tokens can be a tricky game, and not all of them turn out to be winners. But hey, that's the beauty of investing – sometimes you win, sometimes you learn. Take this as a valuable lesson and focus on diversifying your portfolio with a mix of different crypto assets. The crypto world is full of surprises, so keep your chin up and keep exploring!

riantolie

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I don't trust exchange coins. I never did, FTX history was a good example. I'm simply stacking sats in OWNR wallet with a few altcoins and that's enough for me. There are plenty of good coins to choose from without BNB and others like it.

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Quote from: Ziskinberg on August 28, 2023, 07:10:42 AM

Quote from: Tahid12 on August 25, 2023, 04:58:54 PM

As an investor, i bought so many exchange based tokens! Bnb, uniswap, kucoin (kcs), cake, houbi (ht), FTP and so on. Undoubtedly those exchangers are so big and reputable. I though those altcoins will pump if exchange get larger during time and if exchange add more pair with their altcoin on their platform, then price will boom but most of those are like shitcoin, dumped 70-80℅ in long run except bnb. So what do you think? I'm no longer going to invest any exchange coin anymore!

Based on your experience, you can see what really happened and could think if it is worth continuing or just selling them for a better opportunity.
Whether it is an exchanger token or not, I don't keep it when I notice that there is no improvement because it is just like we wasting our time waiting for nothing. In fact, there are a lot of potential coins that are worth investing in and are more profitable than these exchange tokens. Well, BNB is different but still, if we look it is not really profitable, we can diversify our investment to a better one.

BNB is different breed here in this case, its got its own smart contract blockchain that we all know have the advantage of being extremely cheap if compared with ethereum added with the fact that so many project are deploying their smart contract there which means increased demands for BNB to be used for gas fee.
now even binance is having consistent project fundraising through their platform which is binance launchpad that significantly utilises BNB.
it just means that its a whole different level if compared with the other altcoins in general, thats why its value is retained so good because to put it simply its just that good.

fullhdpixel

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Quote from: Tahid12 on August 25, 2023, 04:58:54 PM

As an investor, i bought so many exchange based tokens! Bnb, uniswap, kucoin (kcs), cake, houbi (ht), FTP and so on. Undoubtedly those exchangers are so big and reputable. I though those altcoins will pump if exchange get larger during time and if exchange add more pair with their altcoin on their platform, then price will boom but most of those are like shitcoin, dumped 70-80℅ in long run except bnb. So what do you think? I'm no longer going to invest any exchange coin anymore!

Investing in exchange tokens or coins is extremely risky and it totally depends on how much you trust an exchange and also the popularity and reputation of the platform. However, sometimes, a popular and reputable platform touches the ground in no time just like what happened in FTX which left a lot of investors broke because they had put their trust in the exchange and its native token but it didn't work out and investors lost millions of dollars in investments.

So, there are a lot of factors to be considered before making such an investment, but still, it's better if you buy and hold cryptocurrencies that you think are not associated with an exchange or a platform that can face regulatory complications any time in the future because that can always cause issues.

abel1337

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Quote from: Tahid12 on August 25, 2023, 04:58:54 PM

As an investor, i bought so many exchange based tokens! Bnb, uniswap, kucoin (kcs), cake, houbi (ht), FTP and so on. Undoubtedly those exchangers are so big and reputable. I though those altcoins will pump if exchange get larger during time and if exchange add more pair with their altcoin on their platform, then price will boom but most of those are like shitcoin, dumped 70-80℅ in long run except bnb. So what do you think? I'm no longer going to invest any exchange coin anymore!

It's a tradable crypto asset so expect a volatility in it even their product is well used by the community. Even if the exchange add more pairs everyday consistently, it doesn't mean it will pump everyday. If you lost your fate into exchange token, it's a no brainer to not invest in it anymore. I personally have one exchange coin which is BNB. There's a lot of speculations happening around but there's a chance that if binance hold their price until the next bull market, I'm sure I can make a profit on that coin.

woez

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Quote from: Tahid12 on August 25, 2023, 04:58:54 PM

As an investor, i bought so many exchange based tokens! Bnb, uniswap, kucoin (kcs), cake, houbi (ht), FTP and so on. Undoubtedly those exchangers are so big and reputable. I though those altcoins will pump if exchange get larger during time and if exchange add more pair with their altcoin on their platform, then price will boom but most of those are like shitcoin, dumped 70-80℅ in long run except bnb. So what do you think? I'm no longer going to invest any exchange coin anymore!

I think Cake is also good and until now there have been no sideways issues about their platform PancakeSwap. and I see it is in one of your portfolios, so apart from BNB cake it also has a strong reversal if conditions return to normal which is an excellent feature that I like is that there are no intermediaries on the platform and of course if BTC has started to bull..

danherbias07

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A chance. A risk. That's what I think about altcoins that were produced by exchange.
IMO, they are not the high-risk type of coins especially if an exchange already proved its reputation. BNB is a good example of that. I mean, where did it really start? From scratch. Not many big investors did invest with them but most are retail buyers and then those who are using the exchange. Traders.
They are the ones who reaped the rewards of the sudden boom of Binance and BNB. Now, finding another is like a needle in the haystack because Binance already made its root that they are the top exchange out there and it's not easy to destroy that high reputation they built.
I am holding some exchange coins too and still hoping for a good pump and harvest my long-term investment.

Husires

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Quote from: Tahid12 on August 25, 2023, 04:58:54 PM

As an investor, i bought so many exchange based tokens! Bnb, uniswap, kucoin (kcs), cake, houbi (ht), FTP and so on. Undoubtedly those exchangers are so big and reputable. I though those altcoins will pump if exchange get larger during time and if exchange add more pair with their altcoin on their platform, then price will boom but most of those are like shitcoin, dumped 70-80℅ in long run except bnb. So what do you think? I'm no longer going to invest any exchange coin anymore!

Why did you exclude BNB? Like other currencies, it is centralized, controllable, and depends mainly on Binance. In short, by purchasing BNB, you trust the future of Binance. If you expect that they will continue to make themselves the number one platform, the price will rise, otherwise the price may quickly reach zero because it is completely centralized.
It is like trusting the local currencies of a developing country, and perhaps investing in BNB is more risky than that. If I were you, I would invest in new CEXs tokens that can grow quickly, the ones that are trying to make their way between the ranking of top crypto exchange if they succeed in that, the price will rise like crazy, and if they fail, I will not invest more than 5%.

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Quote from: Tahid12 on August 25, 2023, 04:58:54 PM

As an investor, i bought so many exchange based tokens! Bnb, uniswap, kucoin (kcs), cake, houbi (ht), FTP and so on. Undoubtedly those exchangers are so big and reputable. I though those altcoins will pump if exchange get larger during time and if exchange add more pair with their altcoin on their platform, then price will boom but most of those are like shitcoin, dumped 70-80℅ in long run except bnb. So what do you think? I'm no longer going to invest any exchange coin anymore!

Based on your experience, you can see what really happened and could think if it is worth continuing or just selling them for a better opportunity.
Whether it is an exchanger token or not, I don't keep it when I notice that there is no improvement because it is just like we wasting our time waiting for nothing. In fact, there are a lot of potential coins that are worth investing in and are more profitable than these exchange tokens. Well, BNB is different but still, if we look it is not really profitable, we can diversify our investment to a better one.

Adbitco

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Sincerely speaking, altcoin are altcoin so they are pron to have risk as well being an exchange doesn't guaranteed price soaring like no other. I think Uni did well during their first one year of after their airdrops but I don't know what happened about the sudden dropped, and BNB of Binance exchange is another strong token that doesn't significantly dropped like other but, I guess it was because lots of projects has configured their tokens using bsc and this alone gives them a solid foundation to remain strong in the market today.
So to me I classified altcoin to be same so, why not change your investment plan or holding more of bitcoin and less of altcoin with this your risk of losing is minimal.

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To be honest, I prefer to stay away from exchange tokens specially if they are centralized exchanges as Binance is. Those tokens tend to be strictly tied to the performance of the exchange and the decisions taken either by the CEO or whales (in case of decentralized exchanges which use their tokens as governance votes).

It would be easy for someone not to be paying enough attention while something very relevant is going on in the exchange which issued those tokens one has bought.

There is also the future risk of those tokens being legally considered as unregistered securities, and the SEC taking actions, translating to a drop in the price. If you have enough time to monitor the exchange news and the lawsuits, then it is fine to invest in those tokens, otherwise it would be better just to put money on coins you truly believe in and there is a very unlikely possibillity of being targeted by SEC.

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Worth for hold if you're using the exchange and you're a big trader, because staking in their own exchange will give you some benefit e.g. trading fee reduction, VIP group, voucher, gift etc.

If you're not use the exchange, it's really not worth to buy token base exchange.

Always remember there's no centralized exchange will last forever, they're just waiting the time to get hacked and went to bankrupt.

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