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Topic: Tokens/coins with insanely high inflation will not be not profitable ever (Read 522 times)

hero member
Activity: 2366
Merit: 504
these are the characteristics of shitcoins in general they are usually short lived due to the fact that they are having such massive fluctuation than the other coin making them seems like gambling. moreover i think everyone knows that investing in these coin for too long will just cause losing money therefore rarely someone gonna invests in long term. moreover there's bigger chance of that fluctuation caused by manipulation.
member
Activity: 601
Merit: 10
Artemis
We came to the cryptocurrency market to escape the inflation that exists in fiat currencies, but here we encounter assets with inflationary structures. This must be a joke. I can't think of anything else. Any asset that has a supply-demand balance problem will never be profitable. I hope everyone understands this. This is not just a case of the cryptocurrency market. This is something that happens in all economic conditions.
Offering fake promise like big reward in a short time was just another scam sign. You call it common but in crypto some projects where offering more than 1 millions percents of APY for the early adopters. I never found this anywhere and that's only in the crypto. Even HYIP was not also offering something big like that. that's definitely bullshit man. Inflation is a very bad thing even so many countries were in the crisis due to the inflation,

There are actually several projects that offer Highest APY to attract investors and traders, such as the Sphere project.But it doesn't last forever, after the token is listed on the exchange, then APY is stopped with the aim of increasing the value of the token. So if any project offers Highest APY for a long time, for me it needs to be revisited
sr. member
Activity: 1079
Merit: 352
Aside from them having no use cases...

* Price of one token will automatically decrease when there's a flood of free tokens getting into markets and scarcity of the token decreases.

* Even if you look at it from the point where your bag wouldn't necessarily lose value as in whole, as it too is increasing with the circulating supply there's one thing you forget, and that's traders. Traders use altcoin or fiat money pairs to do technical analysis, and it obviously will look bad when the trader sets the targets. That would mean that charters would need to use marketcap graph to find a bullish TA and probably no one would even bother to do that as very few do it now.

* Rebasing as a solution is worst possible as it eats away the whole idea of having high interest from staking in the first place.

So why the hell do they keep coming back on the markets?



You are right, usually, high-inflation tokens/coins are meant to be highly consumed for something, like gaming purposes but as you said it's meaningless to have high inflation for just the sake of inflation only, you need to meet the demands, if it's condition doesn't meet, it's just a straight elevator down on price.
legendary
Activity: 2534
Merit: 1338
these are the characteristics of shitcoins in general they are usually short lived due to the fact that they are having such massive fluctuation than the other coin making them seems like gambling. moreover i think everyone knows that investing in these coin for too long will just cause losing money therefore rarely someone gonna invests in long term. moreover there's bigger chance of that fluctuation caused by manipulation.
Without a doubt people that have a lot of experience in this market know what to expect out of those shitcoins, and while I stay out of them out of principle I can understand those which decide to take their chances with those coins as long as they understand the risks they are taking, the problem is there are a lot of people which do not really understand what they are doing as they legitimately believe they can earn a huge amount of money with those coins and decide to hold them for the long term, something we know is not a good idea. 
full member
Activity: 1736
Merit: 116
Whether high inflation or low inflation, there has to be utilities for a coin or token to keep performing well in all market situation. Without that, the coin/token will only amount to just a pump and dump one which only relies on hypes of social influencers to perform in term of price.
Yes that's true if without utility of course it will end up like most meme coins,
but nowadays not all meme coins are like that because we can see like dogecoin and shiba inu it's a favorite coin,
if you want to make a profit, do research before investing because there are also many coins without any utility

Actually as long as we choose projects based on the results of our own research and analysis everything will be fine. The problem is if we choose
projects based on signals from others, especially if we trust influencers who promote on social media too much, it is very risky and highly discouraged.
Because most influencers promote projects without utility, in the end those projects are only used for pump and dump. What most influencers think
about is their own profit, so they will promote projects that can benefit them,  even if those projects are shitcoins and can harm other people.

So my advice make sure we only trust our own opinion, because in my opinion the safest is to choose projects according to our own analysis.
We can choose potential projects, so the possibility of us choosing the wrong projects can be minimized. Because right now, most of the projects
circulating in the market are without utility and are at risk of becoming scams. That's why we have to be very careful in choosing projects for investment.
full member
Activity: 1064
Merit: 100
Combo Network
Whether high inflation or low inflation, there has to be utilities for a coin or token to keep performing well in all market situation. Without that, the coin/token will only amount to just a pump and dump one which only relies on hypes of social influencers to perform in term of price.
Yes that's true if without utility of course it will end up like most meme coins,
but nowadays not all meme coins are like that because we can see like dogecoin and shiba inu it's a favorite coin,
if you want to make a profit, do research before investing because there are also many coins without any utility
hero member
Activity: 2268
Merit: 588
You own the pen
Simply these mediocre project are the product of developers that want quick profit in the market of crypto. They feed on the money of dumb traders that always taking risk on this kind pump and dump project. They are the ponzi of crypto an using the smart contract and cheap website to create cheap project for there token. These tokens will keep coming back as long as there’s a trader buying it.

This is the norm on crypto and we can’t dictate dumb traders to not buying this kind of bullshit tokens because they have there own bullshit reason to lose there money.

I once came across this kind of project where they are kinda active in the first phase of their promotions and when the people flock to buy their coins, they often don't give a damn after that. they just run away with the money and leave their coins to sink their price until they almost become nothing. Luckily I was able to sell when the price was still profitable and I feel sorry for those people who never get back their capital after the coin has sunk to the bottom and never recover again.
copper member
Activity: 2156
Merit: 983
Part of AOBT - English Translator to Indonesia
Lol, I created a similar thread on the local board to address this issue. What I found is that all of the coins with high inflation and even with auto staking/rebasing, all ended up in the dumpster. With too many circulating supply, it would be extremely difficult to pump the price.

It's funny how people think LUNC (Luna Classic) can be a $1 token without extreme burning. The formula is easy, market cap = supply * price. Just input any price you think is achievable and look at its market cap, you can then judge whether it's rational or not.

While coins must be a serious project, probably for the "get rich quick" scheme, tokens can be just for fun, especially if these were built on top of a cheap chain.


yep this guy was right before investing looking at tokenomic and total supply is really big deal.


memecoin usually have dozen of circulating supply and have unlimited total supply which is bad if there is no burning mechanism. eth is unlimited supply but they have burning mechanism the bnb has limited supply but still they conduct burning per quarter

lunc offcourse can be 1$ if their supply back before their crash
legendary
Activity: 2534
Merit: 1338
Offering fake promise like big reward in a short time was just another scam sign. You call it common but in crypto some projects where offering more than 1 millions percents of APY for the early adopters. I never found this anywhere and that's only in the crypto. Even HYIP was not also offering something big like that. that's definitely bullshit man. Inflation is a very bad thing even so many countries were in the crisis due to the inflation,
This is what happens when people that do not know anything about investing come to this market, even something as small as 0.5% per day is almost impossible to accomplish, the number may look small but over a whole year the profits become quite significant, however since scammers want to attract the most people possible to their projects before they run with the money they offer amounts that are impossible to accomplish, and in their naivete people believe they have found a gold mine instead of thinking that it is impossible for anyone to give those huge profits away.
legendary
Activity: 2534
Merit: 1338
We came to the cryptocurrency market to escape the inflation that exists in fiat currencies, but here we encounter assets with inflationary structures. This must be a joke. I can't think of anything else. Any asset that has a supply-demand balance problem will never be profitable. I hope everyone understands this. This is not just a case of the cryptocurrency market. This is something that happens in all economic conditions.
You need to understand that the motivations of each person are different, it is clear that for those which actually believe in the technology behind bitcoin and the principles which support its high value, a high level of inflation and no limit at all in the amount of coins that are going to ever exist is without a doubt a dealbreaker, but for those that have come to this market thinking only about the profits they can get then something like this is not really a problem, and quite honestly they do not care as long as they can get profits with those coins.
hero member
Activity: 2296
Merit: 506
Cryptocasino.com
basically all shit coins are much more fluctuative than the other coin in general, this makes them interesting coin for investments since you could quite literally make some good return in short term but as you said it will not lasts long. the economy in these coins are unsustaining, moreover it's just trend that will eventually fade, in few months many of these coins will eventually losing value since they are just shit coins and they are having short life cycle like meme coins in generals.
legendary
Activity: 2534
Merit: 1338
it should be. but these kind of tokens usually explode faster with the hype in the beginning, those who enter in the beginning are very lucky because the profit is big but after that we will see this kind of project will go down very quickly even to not worth until the rugpull. I'm more away from this kind of token.
We must remember that when it comes to the markets common sense will not always apply, if people are willing to invest their money in a shitcoin then that shitcoin will go up in value at an incredible speed even if the fundamentals of the coin are flawed, in my opinion it is not worth it to invest in those coins despite the chance of this happening as you simply do not know in which coin that pump will happen or when it will happen, which makes it incredibly risky to invest in those coins if you ask me.
hero member
Activity: 2702
Merit: 716
Nothing lasts forever
As far as the crypto market is operating there will be such coins which are don't have any potential in the long run.
They might show good results in the beginning but as time goes their value fall over the period and at one point the price will dump to no return.
All of these coins are developed just for the hype. There's no usecase to such coins. Buying these coins will put us in a huge risk.
It's better to buy only the established coins with real use cases.
legendary
Activity: 3108
Merit: 1029
However, there is one other reason that this token is being traded, and that's because there are traders who are speculating on its price.
Speculators are always looking for the short term profit from trading anything. I prefer to call them all scalpers rather than speculators. There's nothing to be speculated on the shit scam token like that. The inflation token was just only for the betting purpose.
I never see any reliable inflation token. All of tokens were actually offering huge APY was just turn to be a scam token later after it has been launched to the market.
That's very sad that some people are still expecting a huge gain from there instead of thinking to lose a lot
legendary
Activity: 3276
Merit: 1029
Leading Crypto Sports Betting & Casino Platform
That's very true, tokens with very high inflation will be very susceptible to dropping drastically and that has happened a lot with Defi projects or token memes. Many of these tokens have suddenly increased in price and in the end most of these tokens have become shittokens now.
The price will be decreasing instantly without prevention. So many times token with huge inflation worth nothing. Even some tokens issued by big companiies like axie was also going down so hard.
Early adopters will always dump this token. It's caused by they can earn lots of tokens from staking at the early phase. High inflation token is guaranteed to be a zero value token. This is happening so many times and i have said based on my experience saw that in the market.
member
Activity: 185
Merit: 14
Aside from them having no use cases...

* Price of one token will automatically decrease when there's a flood of free tokens getting into markets and scarcity of the token decreases.

* Even if you look at it from the point where your bag wouldn't necessarily lose value as in whole, as it too is increasing with the circulating supply there's one thing you forget, and that's traders. Traders use altcoin or fiat money pairs to do technical analysis, and it obviously will look bad when the trader sets the targets. That would mean that charters would need to use marketcap graph to find a bullish TA and probably no one would even bother to do that as very few do it now.

* Rebasing as a solution is worst possible as it eats away the whole idea of having high interest from staking in the first place.

So why the hell do they keep coming back on the markets?




Not necessarily, Ethereum is the prime example of that, without any cap of it's maximum supply people still believe in it, and now it already reach more than 122M of total supply, and I believe that many people has made profit out of Ethereum, other example is ADA / Cardano the current circulating supply is 34B, and the max cap is 45B, it is now a top 10 coin in Coinmarketcap. There are many other factor beside coin supply, the maximum or circulating supply is indeed have and effect on token price but it's not that significant.
Ethereum now has a total max supply and it's under millions after the merge was completed, I believe this will make Ethereum to grow higher in price someday, no more worries about unlimited max supply like before, if you can check the amount of max supply on coinmarketcap you will see that it's fixed.
legendary
Activity: 2534
Merit: 1338
At present the competition in the market is very tight, the crazy thing that must be done by a new developer is with a pump of up to thousands of percent, this will be trending and then they motivate in the Twitter, Telegram, Discord and so on, when there is a natural pump by users, slowly they are slow selling and finally the coins or tokens die.
When the price is due to hype better sell it when already in profit. No matter how high inflation is when we know how to handle our money we will be able to have a profit depending on our strategy. We can have profit when we’re able to get coins before the hype is over and invest in again in other coins that already have proof of success in the long run or is able to recover even the market is in bear season. We need to adjust our style in trading depending in the market situation.

It’s very easy to suggest to take profit after the hype but it’s really hard to predict when will the hype is over when you are trading a certain token that is currently on hype because your emotion will cloud your decision to take profit early since you will be greedy to earn more and missed out possible profit.

Taking profit when your investment reach a certain profit percentage regardless whether the hype is over or not is the best indicator to take profit so that your decision will not be affected by emotion if you have a clear goal.
This is true, which is why in my opinion the best thing that we can do once a coin like that goes up in value at a fast rate because of its hype is to sell enough coins so we recover our original investment, this way even if we made the mistake to hold our coins once the price dumped all the way to zero, you will still lose nothing as you would have recovered your initial investment, meaning that you will be able to take better decisions as you will no longer have to worry about losing any amount money.
hero member
Activity: 2954
Merit: 796
At present the competition in the market is very tight, the crazy thing that must be done by a new developer is with a pump of up to thousands of percent, this will be trending and then they motivate in the Twitter, Telegram, Discord and so on, when there is a natural pump by users, slowly they are slow selling and finally the coins or tokens die.
When the price is due to hype better sell it when already in profit. No matter how high inflation is when we know how to handle our money we will be able to have a profit depending on our strategy. We can have profit when we’re able to get coins before the hype is over and invest in again in other coins that already have proof of success in the long run or is able to recover even the market is in bear season. We need to adjust our style in trading depending in the market situation.

It’s very easy to suggest to take profit after the hype but it’s really hard to predict when will the hype is over when you are trading a certain token that is currently on hype because your emotion will cloud your decision to take profit early since you will be greedy to earn more and missed out possible profit.

Taking profit when your investment reach a certain profit percentage regardless whether the hype is over or not is the best indicator to take profit so that your decision will not be affected by emotion if you have a clear goal.
hero member
Activity: 1260
Merit: 607
At present the competition in the market is very tight, the crazy thing that must be done by a new developer is with a pump of up to thousands of percent, this will be trending and then they motivate in the Twitter, Telegram, Discord and so on, when there is a natural pump by users, slowly they are slow selling and finally the coins or tokens die.
When the price is due to hype better sell it when already in profit. No matter how high inflation is when we know how to handle our money we will be able to have a profit depending on our strategy. We can have profit when we’re able to get coins before the hype is over and invest in again in other coins that already have proof of success in the long run or is able to recover even the market is in bear season. We need to adjust our style in trading depending in the market situation.
legendary
Activity: 2534
Merit: 1338
That's very true, tokens with very high inflation will be very susceptible to dropping drastically and that has happened a lot with Defi projects or token memes. Many of these tokens have suddenly increased in price and in the end most of these tokens have become shittokens now.
There is a small mistake in what you say, those tokens with very high inflation did not became shitcoins, they were shitcoins from the very beginning, it is just that people ignored that fact because they were watching the price of that coin going up systematically. So they thought that it was a given and that the coin will keep going up in value, but at some point in time common sense has a way to impose itself and once there were not enough people to keep pushing the price up then a collapse followed almost immediately.
member
Activity: 361
Merit: 10
👉bit.ly/3QXp3oh | 🔥 Ultimate Launc
That's very true, tokens with very high inflation will be very susceptible to dropping drastically and that has happened a lot with Defi projects or token memes. Many of these tokens have suddenly increased in price and in the end most of these tokens have become shittokens now.
member
Activity: 392
Merit: 13
Sugars.zone | DatingFi - Earn for Posting
So, why do they keep coming back to the market? The circular logic is that they want to be listed on an exchange, but the only way to get onto an exchange is to have a high enough volume for the exchange to bother listing it.

However, there is one other reason that this token is being traded, and that's because there are traders who are speculating on its price.
member
Activity: 889
Merit: 60
This is not only the basis, you should consider a lot of things not only how their token economics works.
This token economics is just a part of identifying how good altcoin but this is still important though, you should identify it first.
There are some projects that their supply is quite low or decreasing or limited, but on some part of their project is not good like no use cases or product, it's still useless.

Sure, but that wouldn't happen because of inflation so it's not related to this. It would happen because it token itself doesn't have good fundamentals. With high enough inflation on the other had (which i was talking about) the token price is guaranteed to drop.
sr. member
Activity: 2296
Merit: 256
Vave.com - Crypto Casino
I remember the P2E coins that were used as rewards from the game only. In my opinion, coins that are used as game rewards will actually experience inflation faster because they are completely useless and have an imbalance between demand and sales. more sales while its use is less so many people are not interested in keeping it.
full member
Activity: 2548
Merit: 217

well there is coin that still made up still at least top 20 by marketcap and no use case except for meme and have unlimited supply but still got listed in bigexchange the coin called "DOGE" and their brother "SHIBA"
lets accept that those coins you mentioned are backed up by Whales like Elon Musk that is why the support and the position in terms of ranking is still ahead against other coins.

but lets also accept that those are manipulated currency that truly hard to support and trust if you truly concern about your investments.

legendary
Activity: 2534
Merit: 1338
well there is coin that still made up still at least top 20 by marketcap and no use case except for meme and have unlimited supply but still got listed in bigexchange the coin called "DOGE" and their brother "SHIBA"
It’s true there're some coins which have a very high inflation which have reached a huge level of success, however just because a few coins have achieved this it doesn't mean the observation of the OP isn't true, the majority of the coins which are like doge or shiba and which have no use case never amount to anything in this market and as such we need to stay away from them as the losses we can suffer by investing in them are massive.
full member
Activity: 1526
Merit: 111
Pepemo.vip
If someone enters the market, of course, they want to make a profit. when many people leave the market so that the price dumps, there will be someone who dares to enter the market to buy it until this power increases and there is a bullishness, as if the market moves automatically with machines, namely the thoughts and views of different people. not everyone can read this situation and dare to take action. and finally the ones who dare to step up are the ones who win
sr. member
Activity: 2106
Merit: 282
👉bit.ly/3QXp3oh | 🔥 Ultimate Launc
it should still be profitable but not in the long term. many people are stuck here because it can generate big profits in the short term but it makes many people addicted and try again in this kind of project and in the end they lose all their assets. This always happens in DeFi projects with large APY usually because of that we must choose the project wisely.
copper member
Activity: 2156
Merit: 983
Part of AOBT - English Translator to Indonesia
well there is coin that still made up still at least top 20 by marketcap and no use case except for meme and have unlimited supply but still got listed in bigexchange the coin called "DOGE" and their brother "SHIBA"
hero member
Activity: 2520
Merit: 952
...So why the hell do they keep coming back on the markets?...

Maybe cause they don't know as you do, most usually get blinded by high apy/apr(s). If price is $1, they will think, with such apy I'll get this much amount by this much time and I'll be set. I know cause I have been there.

And then you are mere bag holder, at $0.00001 price.

legendary
Activity: 2506
Merit: 1394
Aside from them having no use cases...

* Price of one token will automatically decrease when there's a flood of free tokens getting into markets and scarcity of the token decreases.
(....)
This is not only the basis, you should consider a lot of things not only how their token economics works.
This token economics is just a part of identifying how good altcoin but this is still important though, you should identify it first.
There are some projects that their supply is quite low or decreasing or limited, but on some part of their project is not good like no use cases or product, it's still useless.
legendary
Activity: 2534
Merit: 1338
It's because there's a market behind them whether that market was inflated by behind-the-scenes stuff or natural, most likely the former though. It's almost always newbie investors that get hit, maybe some regular investors get hit as well but they're more on the testing everything around type so it wouldn't be odd for them to invest on some bad coins.

See no matter the number of investors that get hit by these hype coins, they'd always be replaced by new investors since there would always be people who would enter and try investments, and well, we all know how newbie investors get easily hit by these types of projects. Heck these projects might actually be specifically for newbie investors in a sense.
Newbies aren't the only targets, there are investors which are simply too stubborn for their own good, if they believe there's a way for them to earn money with those coins then they'll keep investing in them even if they know those coins don't have a long term future which is promising at all, and even if they were to lose all their money they'll still believe someday they'll earn big, even if the evidence and their experience is telling them otherwise.
member
Activity: 601
Merit: 10
Artemis
Rebasing is a program used by a crypto product by offering automatic tokens to holders.But actually the rebasing program will not take place continuously.  Because if the rebasing is done without any restrictions, the tokens will have no value and the project will not benefit at all.
sr. member
Activity: 1400
Merit: 268
Fully Regulated Crypto Casino
Aside from them having no use cases...

* Price of one token will automatically decrease when there's a flood of free tokens getting into markets and scarcity of the token decreases.

* Even if you look at it from the point where your bag wouldn't necessarily lose value as in whole, as it too is increasing with the circulating supply there's one thing you forget, and that's traders. Traders use altcoin or fiat money pairs to do technical analysis, and it obviously will look bad when the trader sets the targets. That would mean that charters would need to use marketcap graph to find a bullish TA and probably no one would even bother to do that as very few do it now.

* Rebasing as a solution is worst possible as it eats away the whole idea of having high interest from staking in the first place.

So why the hell do they keep coming back on the markets?




Not necessarily, Ethereum is the prime example of that, without any cap of it's maximum supply people still believe in it, and now it already reach more than 122M of total supply, and I believe that many people has made profit out of Ethereum, other example is ADA / Cardano the current circulating supply is 34B, and the max cap is 45B, it is now a top 10 coin in Coinmarketcap. There are many other factor beside coin supply, the maximum or circulating supply is indeed have and effect on token price but it's not that significant.
hero member
Activity: 2702
Merit: 672
I don't request loans~
It's because there's a market behind them whether that market was inflated by behind-the-scenes stuff or natural, most likely the former though. It's almost always newbie investors that get hit, maybe some regular investors get hit as well but they're more on the testing everything around type so it wouldn't be odd for them to invest on some bad coins.

See no matter the number of investors that get hit by these hype coins, they'd always be replaced by new investors since there would always be people who would enter and try investments, and well, we all know how newbie investors get easily hit by these types of projects. Heck these projects might actually be specifically for newbie investors in a sense.
hero member
Activity: 2814
Merit: 734
Bitcoin is GOD
It is really that simple, for people like us it doesn't really make a lot of sense that coins that are completely useless and that we know have no future keep disappearing and then reappearing with a new name but with the same characteristics, but at the end it is a matter of demand.

This is similar to what happens with illegal drugs, we know about all the side effects that they produce on your body and how bad they are for your health, so in a perfect world there would be no demand for those substances, but instead we see the opposite, people want them and since that is the case someone is willing to supply them, and shitcoins follow the same logic, they are completely unnecessary and they are bad for your economic health, but since people want them then someone is willing to supply them.
Just like the market, they're also in a cycle and understands the market cycle. They'll be back with a brand new name and with the same proposal just as their old projects that have worked for. And for these projects like pumping right now, they're all hype-based and there's nothing special with them.
It should be like investors shouldn't buy these projects so that they will realize that no one is buying anymore whatever they do but the problem is, no matter what they do, there will always be those buyers and investors and traders that will follow them.
And there is not much we can do about this, we may try to warn people about the dangers of investing in those coins but since they believe they can make a fortune with those coins they will refuse to listen to us.

Then once they lose their money they may be more willing to listen to us, but since at the time their most fervent wish will be to recover their money and we cannot help them with that, and we may even remind them there is no way to recover their coins, then even in those circumstances they will not be very willing to listen to us, and there is the possibility they could make the same mistake once again as a result of their negative attitude.
hero member
Activity: 3080
Merit: 603
So why the hell do they keep coming back on the markets?
It's because there is a market for them. They won't be back if there's no market for them but due to those investors that are eyeing them and thinking that they can profit from them, they come back. There's no solution for that but the investors will eventually have to turn away from them when it's no longer profitable and for the side of these project makers, they'll just revert the attention of their investors by doing some updates or making a new project that will look interested to the same investors that they've got.
It is really that simple, for people like us it doesn't really make a lot of sense that coins that are completely useless and that we know have no future keep disappearing and then reappearing with a new name but with the same characteristics, but at the end it is a matter of demand.

This is similar to what happens with illegal drugs, we know about all the side effects that they produce on your body and how bad they are for your health, so in a perfect world there would be no demand for those substances, but instead we see the opposite, people want them and since that is the case someone is willing to supply them, and shitcoins follow the same logic, they are completely unnecessary and they are bad for your economic health, but since people want them then someone is willing to supply them.
Just like the market, they're also in a cycle and understands the market cycle. They'll be back with a brand new name and with the same proposal just as their old projects that have worked for. And for these projects like pumping right now, they're all hype-based and there's nothing special with them.
It should be like investors shouldn't buy these projects so that they will realize that no one is buying anymore whatever they do but the problem is, no matter what they do, there will always be those buyers and investors and traders that will follow them.
hero member
Activity: 1890
Merit: 831
There is no way that people just give away free tokens because they know what is going to happen eventually and thus I do think that your concept of free tokens is coming from 2009 when we used to watch an advertisement and collect our bitcoins, you should understand that if a company is willing to spend loads to maintain a stable price then they ofcourse won't really try and sell it for cheap.

Plus these over expensive tokens are always in the circulation because they usually have a strong backing and people have invested loads in them thus they don't expect them to be plunged out in the dark that soon.
hero member
Activity: 1820
Merit: 537
So why the hell do they keep coming back on the markets?
They are making money out of those projects and because many are still falling on those kind of projects, they are motivated to continue scamming people. Only if everyone is knowledgeable enough to spot if the project is fake right away, I’m sure that the developer will not come here. No one can control this, if there’s hype and there’s a trend for that kind of token, expect to see more of that but again not all are meant to last so be careful on choosing where to invest.

People who keep investing and continuously fall into their trap are the reason why scam projects are still alive. Some people listen to hype without doing research believing that they could gain a higher profit than the legit and reputable coins. This has been happening for the longest time so we can't eliminate fake projects from the market easily.
sr. member
Activity: 1610
Merit: 294
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So why the hell do they keep coming back on the markets?


It seems interesting. If I'm not mistaken The reason many people continue to buy tokens with big inflation is that first, the market takes time to finally realize this and then react. The problem has been identified for years now in several projects, there are still investors continuing to buy and the second possible reason is speculation. Most investors don't understand the nature and purpose of their investment or they see someone promising 100x profit then they keep buying and hope to find this unicorn token that will give them 100x profit when it goes up to the market cap.
hero member
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So why the hell do they keep coming back on the markets?
It's because there is a market for them. They won't be back if there's no market for them but due to those investors that are eyeing them and thinking that they can profit from them, they come back. There's no solution for that but the investors will eventually have to turn away from them when it's no longer profitable and for the side of these project makers, they'll just revert the attention of their investors by doing some updates or making a new project that will look interested to the same investors that they've got.
It is really that simple, for people like us it doesn't really make a lot of sense that coins that are completely useless and that we know have no future keep disappearing and then reappearing with a new name but with the same characteristics, but at the end it is a matter of demand.

This is similar to what happens with illegal drugs, we know about all the side effects that they produce on your body and how bad they are for your health, so in a perfect world there would be no demand for those substances, but instead we see the opposite, people want them and since that is the case someone is willing to supply them, and shitcoins follow the same logic, they are completely unnecessary and they are bad for your economic health, but since people want them then someone is willing to supply them.
full member
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So why the hell do they keep coming back on the markets?
They are making money out of those projects and because many are still falling on those kind of projects, they are motivated to continue scamming people. Only if everyone is knowledgeable enough to spot if the project is fake right away, I’m sure those developer will not come here. No one can control this, if there’s a hype and there’s a trend for that kind of token, expect to see more of that but again not all is meant to last so be careful on choosing where to invest.
legendary
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So why the hell do they keep coming back on the markets?

They keep coming back on the market because for DEVS, creating such kind of project is easy money.  Most of the project that produces high inflation emission often use it to bait investors into investing in their project telling them that their investment of x money that will receive y amount of token can emit or produce a profit by thousands of percent in a short span of time.

People will never learn and those who profited in this kind of scheme will always jump into it even though the succeeding investment will be losses.
hero member
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So why the hell do they keep coming back on the markets?
One reason, these kind of tokens created by scammers. look at how a token called trident gets dumped so hard. that was also making the price to go to the bottom. Im sure that people aware about this too. The inflation token will be only giving benefit to the early buyers but these buyers are also risking their money to buy the garbage token like that. I think that people aware if these days these kinds of token not even worthy to be bought.
They were starting to avoid to deal with the inflation token like that. Mostly of inflation tokens affiliated with the scammers. Scammers issued these tokens.

And as long as there are naive people who are willing to take that risk to invest in this high inflation crypto, the process will continue. And I guess that is the nature of open market, I mean everyone is free to do whatever they want. But the problem is, there are a lot of people behind this kind of project who just thinks of many money by scamming a lot of investors. And for the investors, don't patronized this kind of business model because it will not succeed based on the past history of other cryptos, it will surely failed.
hero member
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So why the hell do they keep coming back on the markets?
One reason, these kind of tokens created by scammers. look at how a token called trident gets dumped so hard. that was also making the price to go to the bottom. Im sure that people aware about this too. The inflation token will be only giving benefit to the early buyers but these buyers are also risking their money to buy the garbage token like that. I think that people aware if these days these kinds of token not even worthy to be bought.
They were starting to avoid to deal with the inflation token like that. Mostly of inflation tokens affiliated with the scammers. Scammers issued these tokens.
copper member
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Lol, I created a similar thread on the local board to address this issue. What I found is that all of the coins with high inflation and even with auto staking/rebasing, all ended up in the dumpster. With too many circulating supply, it would be extremely difficult to pump the price.

It's funny how people think LUNC (Luna Classic) can be a $1 token without extreme burning. The formula is easy, market cap = supply * price. Just input any price you think is achievable and look at its market cap, you can then judge whether it's rational or not.

While coins must be a serious project, probably for the "get rich quick" scheme, tokens can be just for fun, especially if these were built on top of a cheap chain.
legendary
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So why the hell do they keep coming back on the markets?
Because of hypes? Projects becoming liquid if there is and community saw it. Traders ride with it based on the possible and safest factor a project shows. Like a good chart and has a plausible parameters to gain such movement. Even though there isnt use case, I doubt traders are checking those things aside from the bullish direction of the chart and some indicator pointing to the path of gains. Thats how the system works.
hero member
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Simply these mediocre project are the product of developers that want quick profit in the market of crypto. They feed on the money of dumb traders that always taking risk on this kind pump and dump project. They are the ponzi of crypto an using the smart contract and cheap website to create cheap project for there token. These tokens will keep coming back as long as there’s a trader buying it.

This is the norm on crypto and we can’t dictate dumb traders to not buying this kind of bullshit tokens because they have there own bullshit reason to lose there money.
hero member
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So why the hell do they keep coming back on the markets?
It's because there is a market for them. They won't be back if there's no market for them but due to those investors that are eyeing them and thinking that they can profit from them, they come back. There's no solution for that but the investors will eventually have to turn away from them when it's no longer profitable and for the side of these project makers, they'll just revert the attention of their investors by doing some updates or making a new project that will look interested to the same investors that they've got.
member
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Aside from them having no use cases...

* Price of one token will automatically decrease when there's a flood of free tokens getting into markets and scarcity of the token decreases.

* Even if you look at it from the point where your bag wouldn't necessarily lose value as in whole, as it too is increasing with the circulating supply there's one thing you forget, and that's traders. Traders use altcoin or fiat money pairs to do technical analysis, and it obviously will look bad when the trader sets the targets. That would mean that charters would need to use marketcap graph to find a bullish TA and probably no one would even bother to do that as very few do it now.

* Rebasing as a solution is worst possible as it eats away the whole idea of having high interest from staking in the first place.

So why the hell do they keep coming back on the markets?

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