As part of the crypto/web3 community, what are your positive and critical viewpoints about projects using FOMO (fear of missing out) strategies to promote their coin? Just wanna hear your opinions here.
The main focus of such projects is to create hype in order to gain as many users in short amount of time as possible. Most of those projects gain so many users with those hypes that they don't need any other marketing tactics. The influencers when find that such coins can be rewarding for them because the hype is already created, they begin creating videos about such coins to earn money from the advertisements. This game runs for sometime and then those early investors sell their possessions and the coin starts getting dumps.
Those coins are basically useless but due to huge userbase of such coins their price can go very high in short amount of time. It's always a reality in the world of crypto-currencies, when a coin gets more users the price increases because of the marketcap. The more users mean more money invested into the project, and that means the value of the coin will reach higher levels within short amount of time.
The users who invest in such coins in the initial days are the ones who make a lot of profit. I remember the time when the hype was created for Dogecoin, and people started accumulating as many of the coins as they possibly could. Although, in my eyes Dogecoin is a useless meme-coin but because of the hype its value crossed $0.71$ in value. No one expected that a meme-coin could go that high. The same happened with Shiba, and then Terra Luna. The created hype can be a very dangerous thing and those who rush buy a coin during the hype will mostly lose their investments.
The ones who manipulate the market by creating such hypes have already accumulated so many units of that coin. They create the hype to earn as much in short amount of time as they possibly can. Such whales sell out their possessions when the coin starts dumping, and during the process they make their profit. The ones who buy it at peaks will always lose the game. Some of those will hold the coin in belief that one day they'll get their money back, while others sell it after sometime. That's how the market works, and the less knowledgeable investors will always be prey of the predators.
