Are Altcoins the new "Penny Stocks" ? Will they take over Wall Street?

[daniel244king]

Yes, you can say it penny stocks, but some times, a penny stock will be a big story in future. in 2009, BTC was also in penny stock category, but now it is a benchmark for whole crypto currency world.

That is the point I was trying to make.

Just like small penny stocks can be bought out when they go up in value; the same can be said of altcoins.

[ChinkyEyes]

These days tokens are like giving your money to a kickstarter project, but instead of receiving the first product or prototype you might get scammed and lose your money. On the other hand if the project succeeds it might become a huge company one day.

[daniel244king]

These days tokens are like giving your money to a kickstarter project, but instead of receiving the first product or prototype you might get scammed and lose your money. On the other hand if the project succeeds it might become a huge company one day.

So do you think altcoins are more risky than "Penny Stocks", or less?

[AuctusProject]

These days tokens are like giving your money to a kickstarter project, but instead of receiving the first product or prototype you might get scammed and lose your money. On the other hand if the project succeeds it might become a huge company one day.

So do you think altcoins are more risky than "Penny Stocks", or less?

They definitely are more risky, but some of them might also experience more value creation.
Cryptomarket is a totally new tecnology and there is a lot of things to be created.
Also a lot of things need improvement, as the coin offer process. Each ICO will improve the standarts required to atract investors and to be considered a good project.

[Spoetnik]

Yes, you can say it penny stocks, but some times, a penny stock will be a big story in future. in 2009, BTC was also in penny stock category, but now it is a benchmark for whole crypto currency world.

That is the point I was trying to make.

Just like small penny stocks can be bought out when they go up in value; the same can be said of altcoins.

No.
Because Altcoins are not a company.. nor should they be.
These ICO's are scams.
They post a claim they will one day make something then declare they are now a company you are to invest in.

All they are..
Are a new way to run a scam.
They are hollow worthless tokens.

It is simply an evolution of scam.
And if anything it embraces the concept of scam that has always been within Penny Stocks.
So even if you did try and shoe horn that idea into crypto it is NOT a good thing 

[HEROinME]

The only difference is it's much easier to create an altcoin.
It cost you almost nothing and there're no regulations at all.

I'm guessing that in a few years we'll have more altcoins than penny stocks....

Not at all brother.
Some altcoins have future and survive then become a penny stocks but some might die and some are shitcoins.
Yes its easier to make altcoin but the question is this will have worth or can be listed in exchanges like bittrex and liqui.io? Include the fact that penny stocks and altcoins are a lot different like penny stocks are real while altcoin is virtual. Virtual that can be just real if it converted to fiat.

I think it is about the maturity of the market, Haesoo is right on the creation of coins and THERE IS NO REGULATION at all, however IMHO, this will not last for long. As more and more "investors" participates in ICO, it will be a matter of time before regulators step in and impose control. As long as the interface between fiat currency and crypto is "choked" at Financial Institutions (withdrawal of deposit of fiat to buy/sell), there will be a possibility of regulatory oversights.

However, all that being said, it might come a time whereby exchanges take on the role of being the "gatekeeper", i.e. if altcoins do not pass their due diligence test, it will not be listed. If altcoins is not listed in "major" exchanges, it will make it less attractive to invest.

who knows... future ICO would have a pre-condition of being accepted to exchanges before launching?

I agree that the exchanges will be the gatekeepers.  Exchanges will also be bought out by wall street!

You are right, it would be just a matter of time whereby exchanges would be run by the big boys (if it ain't the case now), we could see a uprise of "authority" who provides "ratings" for ICO like how S&P/Moody/Morningstar/etc are providing as a service, however their impartiality was also questioned during the sub-prime crisis.

Bottomline, do your own assessment on the underlying biz and make a decision if you want to punt.

[bobq]

Of course there are a lot of differences between so called shitcoins and so called penny stocks, but one thinh they surely have in common: they can eventually make you rich. Or not.

[Nascor]

It's a good analogy, I'd say that altcoins can be considered "penny stocks" due to their low market capitalization and future potential

[AleSergio]

I think we should stop calling them "Shitcoins" and recognize their real value and potential.  

Just like any stock on the stock market - a company can turn a stock around and increase it's monetary value; the same can be said about altcoins.

Lets just call them "PennyCoins" instead.

Thats absolutely true, altcoins have a great potentials. Sometimes there are really intresting project behind them and they can easily compete on stock market.

[daniel244king]

I think we should stop calling them "Shitcoins" and recognize their real value and potential.  

Just like any stock on the stock market - a company can turn a stock around and increase it's monetary value; the same can be said about altcoins.

Lets just call them "PennyCoins" instead.

Thats absolutely true, altcoins have a great potentials. Sometimes there are really intresting project behind them and they can easily compete on stock market.

So the question remains:

Is there really such a thing as a "shitcoin"?

[daniel244king]

The only difference is it's much easier to create an altcoin.
It cost you almost nothing and there're no regulations at all.

I'm guessing that in a few years we'll have more altcoins than penny stocks....

Not at all brother.
Some altcoins have future and survive then become a penny stocks but some might die and some are shitcoins.
Yes its easier to make altcoin but the question is this will have worth or can be listed in exchanges like bittrex and liqui.io? Include the fact that penny stocks and altcoins are a lot different like penny stocks are real while altcoin is virtual. Virtual that can be just real if it converted to fiat.

I think it is about the maturity of the market, Haesoo is right on the creation of coins and THERE IS NO REGULATION at all, however IMHO, this will not last for long. As more and more "investors" participates in ICO, it will be a matter of time before regulators step in and impose control. As long as the interface between fiat currency and crypto is "choked" at Financial Institutions (withdrawal of deposit of fiat to buy/sell), there will be a possibility of regulatory oversights.

However, all that being said, it might come a time whereby exchanges take on the role of being the "gatekeeper", i.e. if altcoins do not pass their due diligence test, it will not be listed. If altcoins is not listed in "major" exchanges, it will make it less attractive to invest.

who knows... future ICO would have a pre-condition of being accepted to exchanges before launching?

I agree that the exchanges will be the gatekeepers.  Exchanges will also be bought out by wall street!

You are right, it would be just a matter of time whereby exchanges would be run by the big boys (if it ain't the case now), we could see a uprise of "authority" who provides "ratings" for ICO like how S&P/Moody/Morningstar/etc are providing as a service, however their impartiality was also questioned during the sub-prime crisis.

Bottomline, do your own assessment on the underlying biz and make a decision if you want to punt.

Do you think the SEC will start regulating these coins?

[wantangcfftc020]

I think so, but there is a long way to achieve this in my opinion. The alt-coin market is a high risk market with too many scams and security issues, and we need to solve them.

[shenjing85]

I have the same feeling just like you, but there are many difference between the stocks and the altcoins market both in technical and market behavior. And I think there is a hard way to achieve this goal.

[Seansky]

Is there really such a thing as a "shitcoin"?

If you are asking about if there is a thing that can be called a shitcoin, there are tons of them out there. One good example of a shitcoin is thebillioncoin or TBC for short. Shitcoins are typically coins that have shit ideas or coins that have been abandoned by it's developer for a long time and can't be tradeable for even a satoshi.

Do you think the SEC will start regulating these coins?

At some point like you think, SEC will start regulating cryptoworld, and the ICO's. Even if it will not happen soon, it will happen in the future but I think it is impossible for them to fully regulate cryptoworld.

[R.R. Toulkens]

Are Altcoins becoming the new penny stocks?

Absolutely, yes. The biggest opportunities for profit, also the most dangerous.

[daniel244king]

Are Altcoins becoming the new penny stocks?

Absolutely, yes. The biggest opportunities for profit, also the most dangerous.

I agree.

With the "Penny Stock" altcoin I invested in - FOOTYCASH (FOOT),  I turned $30.00 USD into $3000.00 USD in less than a month.

Does anyone else have similar stories?  

What "Penny Stock" altcoin did you make money from, and how much?

[HEROinME]

The only difference is it's much easier to create an altcoin.
It cost you almost nothing and there're no regulations at all.

I'm guessing that in a few years we'll have more altcoins than penny stocks....

Not at all brother.
Some altcoins have future and survive then become a penny stocks but some might die and some are shitcoins.
Yes its easier to make altcoin but the question is this will have worth or can be listed in exchanges like bittrex and liqui.io? Include the fact that penny stocks and altcoins are a lot different like penny stocks are real while altcoin is virtual. Virtual that can be just real if it converted to fiat.

I think it is about the maturity of the market, Haesoo is right on the creation of coins and THERE IS NO REGULATION at all, however IMHO, this will not last for long. As more and more "investors" participates in ICO, it will be a matter of time before regulators step in and impose control. As long as the interface between fiat currency and crypto is "choked" at Financial Institutions (withdrawal of deposit of fiat to buy/sell), there will be a possibility of regulatory oversights.

However, all that being said, it might come a time whereby exchanges take on the role of being the "gatekeeper", i.e. if altcoins do not pass their due diligence test, it will not be listed. If altcoins is not listed in "major" exchanges, it will make it less attractive to invest.

who knows... future ICO would have a pre-condition of being accepted to exchanges before launching?

I agree that the exchanges will be the gatekeepers.  Exchanges will also be bought out by wall street!

You are right, it would be just a matter of time whereby exchanges would be run by the big boys (if it ain't the case now), we could see a uprise of "authority" who provides "ratings" for ICO like how S&P/Moody/Morningstar/etc are providing as a service, however their impartiality was also questioned during the sub-prime crisis.

Bottomline, do your own assessment on the underlying biz and make a decision if you want to punt.

Do you think the SEC will start regulating these coins?

I think its highly unlikely SEC can regulate these coins in the near future for one simple reason, the exchanges are not regulated and ICO can be "based" in almost any country. Singapore seems to be a popular country for this. However, if you notice, some ICOs actually restrict not just US citizens but also Singapore Citizens coz of the crowdfunding regulations in Singapore.

The other way I see regulators coming in, would be the restriction on transferring of fiat currencies, once ETH/BTC are collected from ICO, "cashing" out into fiat currencies could be challenging if authorities steps in on the pretext of Anti-Money Laundering controls.

[arpon11]

Yes to me it has become a new penny stocks. You have to know how penny stocks work for you to really understand how Altcoins market works. We should not look for big knowledge carrier to explain to us how Altcoins and penny stock are the same in trading rather we need to know that penny stocks can give 5000% return in just a month like wise altcoins.

[daniel244king]

Has anyone made money off of an altcoin you paid less than $0.10 USD for?

[daniel244king]

Has anyone made a lot of money off a coin you paid less than a penny for?