Topic: Is the alternative cryptocurrency market flooded? - page 3. (Read 2492 times)

Good point,if you have been investing on hyip and the dev is trying to make you believe that he has a new innovation and it needs funding,and you are going to make lot of profit ,then you're looking for a scam coin enticing you to invest..

I like the part "Not announced in advance'
I think all devs should do a pre ann to their coming project for experts and traders to see what are you going to offer in advance..

Some DEV are very hurried to launch an ICO coin there should be a pre ann .

Value of Anonymity/Privacy:

Ethereum was a scam?

How do you expect the developers to be funded? Don't tell me wasting so much time and inability to plan ahead because need to beg for donations.

I would rather argue that it is the size of the premine that matters. The goal is wide distribution of the tokens, so any premine/ICO/ninja mine, has to be congruent with that. It is the objectivity of the distribution that matters. Mining is nearly equivalent to ICO, except that an ICO issuer can buy it from himself.


Agreed no ninja mining, but you are inherently assuming the proof-of-work is the best way to distribute a coin. Do you realize that PoW is a winner-take-all (might makes right) power vacuum disequilibria.


Agreed.


Disagree. Too subjective. There can be exceptions.


Probably good indicators, but you've got to be careful because there can be exceptions.

There are several clear red flags:

Premine != 0 => scam
Starting difficulty too low => scam
Not a decentralized currency with open-source client and wallet => scam
Central authority => scam
Not announced in advance => scam
No advance over existing coins => scam
Rate < ~100s => scam
Promise of riches => scam
Too many bells and whistles to be credible => scam
Chargebacks or forks to reverse transactions => scam
Developer confused about subtle details of the blockchain => scam

If an altcoin shows any of those, its main purpose is to make money for the "developer" , run from it, do not be a bagholder!

I am developing an altcoin which is not yet officially announced, and I entirely agree with the response provided for #5.

What we have up to this point in altcoins is best characterized as developers who are either just in it to rake in easy ICO money and/or who are self-deluded as to the viable importance of their altcoins. IMO, the following summary from @r0ach describes the situation well (and you really should click that quote and read my replies in @r0ach's thread).

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At this time, we basically have 4 main genres of innovation coming from altcoins:

1. Anonymity/Privacy (Monero, Zcash, ...)
2. Smart Contracts (Ethereum, ...)
3. Microtransactions/Scaling (DPoS, e.g. Steemit)
4. Decentralization (all shitcoins bullshit thus far)

The other shitcoins are very technologically weak innovations (egregious flaws which I have detailed in my posts) which attempt to incorporate some of the above innovations but do so with flawed technological bullshit. Examples include:

Vcash
Dash
CloakCoin
MaidSafe, Sia, StoreJ
NEM
CounterParty, Rootstock

There are centralization wolves in sheepskin (and network effects die with centralization):

Lightning Networks, KimDotCom's BitCache

There are copycoins which are lower-quality ripoffs of others:

ShadowCash

There are also the social networking shitcoins which have no prayer in hell (for reasons I have written about) of being widely adopted because they are conceptually flawed:

Steemit
Synereo
Yours.network
Ark
etc...

The problem for the serious (non-shitcoin) altcoin attempts listed for #1 and #2, is they haven't solved #3 and #4. Also #2 haven't solved safety and killer apps yet. And #1 (by itself) is not a mass adoption market.

So we are in a situation where we need a developer (or developers) who able to seriously address #3 and #4 combined and provide some real mass adoption case which is actually a serious threat to Bitcoin's dominance and current adoption stagnation. #1 is an optional feature to add. #2 is a potentially huge market to explore after fixing #3 and #4.

I think that more flags the better. Even some "experimental" "hunch" flags could be useful, but some will say it's manipulation.
Not easy for such sites, I know... Wishful thinking and what can be done cannot always be matched..
If coinmarkercap can't say (even with a good margin of error) that some coin is scam or not, for others, less experienced, it is even harder.

there are simply too many coin yes, the market is full of shit now, people don't even look at the altcoin section anymore it's full of useless ico scam and scrypt and x11 coin that are there just to feed asic, also this will only diluit the market by destroying the good few altcoin that there are still out there

for the moment thank to bitcoin, people are ignoring all the new coin and focus on buying bitcoin itself, because if you see everything is dumped because bitcoin was pumped, and when bitcoin is pumped, buying everything else will become also more expensive, so this will lead to few choice to buy, and all the crap coin will be ignored

it is never easy to say an altcoin is scam and flag it just like that. you can only be like 80% sure because if an altcoin was clearly scam (100% sure) that altcoin wouldn't last a second and its price would have gone down to zero and possibly exchanges would have de-listed it immediately.
and the flags coinmarketcap has like the massive premine i think is enough and the rest is up to the user to investigate and find out.
and i know it is not easy to do among all these massive number of coins but if you love your money you would do it.

I also believe it's flooded. Many people just stay away of altcoins - meaning ALL altcoins - because of this.
While coinmarketcap should have some more strict criterias (or red flags?), it's hard to tell in various stages that this or that coin is scam/shitcoin. Especially in case of ICO: some just have great gfx and roadmap, but don't deliver.

The altcoin market is definitively "flooded". But this evolution of the market is inevitable, because the relation between the barriers to enter the market (extremely low) and the possible monetary gains is so attractive.

Sincerely I think the sheer number does not do too much harm. In the future we may see things like "city coins" or even "family coins" and they wouldn't affect the rest.

What in my opinion is a bigger problem for the "altcoin scene" is the lack of quality communication channels. This forum is totally flooded with threads that only can be described as "ads", and so are most other "altcoin forums". So possible investors cannot see that easy which coins are worth to invest and which not. (I fully support the last changes in the forum structure, as they have lead to a slightly better situation).

1. yes i also believe that this market is flooded with countless altcoins which are all copying each other, pump and dump and die.

2. it will scare off new investors in altcoins not crypto in general. newbies will go back to bitcoin and stay there.

3. i have heard this from others too, and i believe we are nearly there.

4. yes it has because when majority of them (the devs) are only looking for a get rich quick scheme through crowdfunding, this firstly harms users ' trust and then development in general.

5. it may be a bit late but i think if any good project comes along and their developers stop prioritizing making money over other things we can see some improvement and that coin will be much more successful.

6. no because we have also adopted with this new situation and we are only looking for a get rich quick altcoin where we can join in the pump and dump it right after the top. and sites like coinmarketcap help finding coins and where they are traded and more information.

There is no doubt that the alternative cryptocurrency market is flooded. The problem is not just the number of alts. If a large number of alts were created with genuine ideas and the fittest ones survived, I would have no issues with that.
The problem is that a large number of alts are created, just to ensure that that the developers make a quick buck. This reduces the confidence that the public at large have in ICOs.

In the real world, there are regulators and a number of people are responsible if the information presented is false - the promoters, lawyers, investment bankers, auditors, etc. In the crypto-world, people can take investors for a hike and walk away scot free,

I decided to start this discussion, not as a means to distribute negativity or defect the credibility of projects alternative to bitcoin (I myself am a supporter of numerous blockchain projects other than bitcoin), but merely as a means to get some feedback and thoughts from the bitcointalk community regarding the Alternative cryptocurrency market as it stands as well as the too many coins that are just worthless.

1. Is the alt coin market flooded?

2. As a result, is the current status of the alt coin market more than likely to scare off new to crypto investors/traders because of the fact that almost every other day a new ICO is on the cards and in most cases the information presented might be overwhelming to anyone outside of crypto?

3. Do you think we are becoming/have become more of a "penny stocks market" in the view of the general public other than a true and feasible alternative to the world economy?

4. Has the rise/era of crowdfunding done more harm than good toward blockchain projects and the now more than 600 crypto currencies in circulation?

5. What can be done to improve on the overall perception associated with cryptography/alt coins from an outsiders perspective?

6. Should websites that list altcoins such as coinmarketcap remove the majority of the coins listed or at least list according to far stricter criteria?



These are just a few questions I've been toying with and formulating my own opinions toward. Please feel free to add to these questions and give your own feedback and ideas about where we are and where we're going?

Thanks