Developing a strategy for wealth creation with altcoins. Catcoin.

[rentarocker]

Hello all.  First time poster, 3 month lurker, been trading on BTC-e for 2 months, in alts for about a month.  I thought I would share some of my past experiences with others who are new to crypto in the hopes that they would develop a strategy for their trading.  Until I did this, I flailed about and lost a fair amount of BTC.  Such is the cost of education...you have to feed the whale before you can harpoon it.  Hopefully by developing a strategy you'll feed them a bit less than I did in the beginning.

We'd all like to become wealthy with Bitcoin.  My experiences have led me to believe that the key to doing so (at least the first step) is investing in a good altcoin and holding for 6 months to a year with the intent of increasing my initial investment by 10-20x.  At that point, my stake will be great enough to move to a larger position in Bitcoin itself for more stable, longer term growth (2-4 years).  Which alt to invest in?  This is a question I have spent 50-60 hrs a week for the past month or so researching.  I've traded in and out of about 15 different alts, and held positions in 5 for a longer period.  Here's my experience.

I've invested in Sexcoin, Franko, Deutsche Emark, Unobtanium and (currently) Catcoin.  I was initially attracted to these coins because they all had a marketable gimmick that I thought would help them gain attention.  Coins are only worth what people think they are.  Therefore, publicity and developer care (design of coin) are what will give a coin value.  Sexcoin has potential use in the adult industry.  This is a plus.  Franko and Unobtanium are both 'rare.'  Emarks are just begging to be branded the 'German' altcoin.  Catcoin is a 'scrypt' bitcoin (a positive twist on the most proven design) with the potential to piggyback on Doge's coattails.

What happened?

I pulled my position on Sexcoin after making a profit during its December 10th pump.  I felt that the trouble involved with converting BTC to LTC to purchase it was making it difficult to bring in larger investors.   I'll probably reinvest here if it gets a BTC/SXC pair, but for now there is not enough incentive for me to place my limited amount of BTC here.  

I bought Franko and Emarks.  Reassessing after loosing a significant amount of BTC on both during the China fiasco, I dug deeper into forum postings and discovered a lack of engagement/promotion as well as basic communication issues (Emarks) with the developers of both coins.  As I feel developer engagement and community building are crucial to an Alt's success, I was forced to pull my investment.  Both coins have recovered somewhat since then but the two above problems remain.

I like Unobtanium, developer seems engaged, but I feel it is not as well supported by its community as the alt I went with.  I may eventually place a small amount of my holdings (10%) in UNO simply because of its rarity.  I have yet to decide if I feel it is the best 'rare' alt.

I considered, but did not invest in, DOGE, LottoCoin and Kitteh as my research led me to believe these coins are aimed towards exclusively pleasing miners.  As an investor I'm after different things in a coin.  

I am currently 'all-in' on Catcoin.  Here's why:  

The design of the coin will provide for slower initial, but greater and more stable mid-to-long term growth.  As I understand it, the difficulty in mining CAT does add a bit of risk early on as far as retaining miners, but I feel that this problem will go away as the coin appreciates in value. The rewards, for me, outweigh the stress of having to watch the coin find it's way early on.  

It has great potential for publicity given that it is the first 'CAT' branded coin to market.  I like Cats.  Lots of other people do too.

It isn't a 'rare' coin per say (like UNO or BitBar) but it hasn't flooded the market like DOGE, Kitteh and the other alts with better mining specs. CAT is an investor's dream alt.  The patient will be rewarded with stability and steady mid-term growth.

I feel the amount and value of coins is a sweet spot for investors.  Alts priced in the 1-5 dollar range with max coin amounts similar to Bitcoin are common in the top 20 by market cap.  I feel other naive investors will feel the same way, and most won't take the time to study the crypto as much as I have.  At it's current value, CAT is primed for top 20.

The developer is present and highly opinionated about the nuts-and-bolts operations of the coin.  Most importantly, he didn't premine; any compensation he gets will come from the community.  This is a huge incentive to remain engaged.  And he does:  In his arguments with miners, trolls and bears (oh my!) you can tell he cares about, and is deeply ego-involved with the coin itself.  When it comes to crypto, he seems deeply knowledgeable in an almost 'artistic' way; I'm a musician and I've met enough talented eccentrics to recognize genius when I see it.  This guy understands what he is doing and has, what I feel, are good reasons for all his decisions.  Not all will agree with his positions, but I like people with strong opinions and good reasons to justify them.
 
Most importantly, this coin has a community of believers behind it.  There is a new forum.  There is a LOT of activity on the CAT bitcointalk forum pages.  I'm even beginning to see news articles coming in (on a coin just a few days old):

http://www.dcmagnates.com/dogecoin-prices-down-passing-fad-or-is-it-the-rise-of-catcoin/  

In closing, I could have already cashed out my initial investment in CAT for nearly double what I bought in at.  But I'm choosing to hold.  With a market cap around 650k when I bought in, this coin's market cap only needs to go to 6 million for me to add a decimal place to my initial investment.  CAT worth $6-7 ea?  Highly likely in a 6-12 month timeframe given the positive traits listed above.  With the right promotion and other early adopters (like me) holding on for the ride, maybe only 6-12 weeks.

Finally, if Bitcoin takes off with institutional investors in 2014, I think two decimal place gains are possible with better alts.  60 million market cap would yield a CAT worth of $60/ea.  I feel this is somewhat less likely, but still well within the realm of possibility over the next year.

Glad to be part of the community!  Buy CAT!

[amp]

Quite the post here.

What is your take on dogecoin? It seems hard to ignore as a viable alt coin with the community its creating. I have a hard time seeing catcoin as big as dogecoin.

[edutBTC]

I am attracted to teh Catcoin now and welcome rentarocker !

[Doger33]

I like the idea of doubling what I invested of course and multiplying what you invested by 10 seems to be really great but there is a minor problem that stops me from investing in catcoin. It's the community, if you take a look at the community of Bitcoin or Litecoin or, yes I am going to say it, even if you take a look at the community of Dogecoin you see a huge difference in the number of people using, mining and investing in this coin. It might be as rare as Bitcoin and way more rare as Dogecoin but the most important thing actually is, that a cryptocurrency worths just as much as the world thinks it does. With fewer people to believe in Catcoin, there is also a small chance for Catcoin to become famous and more important among all these altcoins. If the Dogecoin starts to become really important though, I think the Catcoin will do it too. (Since it seems to be the alternative of Dogecoin or is at least partly connected to it)

I suggest that one should invest in a large pool of altcoins which seem to have a potential to gain a big community and are as new to us as possible. While this seems to be a hard thing to do, it sure is better than investing everything you have in one single Altcoin System. Well that's just my idea though and I will also invest in Catcoin since there might exist some potential for it to grow, even if it's just because of the "boom" of Dogecoin. I really hope that we all get rich and have a lot of fun investing, mining and trading altcoins

[PureApeshit]

i just love cats! catcoin foreverz!

[buddynuno]

Well I have to clap and TIP my hat to you but you are just another fella trying to sell your Fish that you invested in. Its not better or worse than anyother alt coin! CAT in fact was created solo because of DOGE and to launch the cliché fight between Dog vs Cat! But using all that fancy speech to promote your coin at the cost of downing other alt coins , especially when one was the launching pad/platform/catapult for CAT that is LAME!

Good trading

[nocoin]

TL;DR:

I am currently 'all-in' on Catcoin.

Buy CAT!

[rentarocker]

Thanks for the welcome!

Amp, I agree that DOGE has a good community.  I think it is here to stay.  However, with it's current market capitalization and amount of DOGE being mined, it does not seem like a good investment to achieve the type of growth I'm looking for.  With a top 20 market cap there isn't much further up for DOGE to go before you'd have to see an order of magnitude increase in BTCs market cap.  This would be the second 'less likely' scenario for adding two decimal places to CAT that I presented at the close of my first post.

Don't take this as me being down on DOGE.  I believe that the coins will come to work in concert:  There is a DOGE/CAT trading pair on CoinedUP.  The importance of this pairing should not be underestimated; it is fundamentally similar to Bitcoin's evolving relationship with Litecoin where (to the mainstream) Bitcoin is the stable store of value and Litecoin is the everyday currency.  This utility of this relationship has already been demonstrated as miners are mining DOGE to buy CAT.  Thus, the two currencies should be viewed as complimentary rather then competitively.

CAT has proven to be stable around it's .0008 BTC base market cap (with the normal fits and starts associated with any IPO), with strong buy support anytime it dips below this level.  Evidence of a strong and stable base of investors that are buying and holding CAT.  Sure, there are daytraders and whales pumping and dumping CAT.  But there are others more interested in manipulating the currency to best acquire as much as they can while it is still highly undervalued.  I'm holding. 

To summarize, Why buy CAT over DOGE?  Simple:

DOGE is LITECOIN, CAT is BITCOIN.  DOGE has passed it's first 'revolutionary' x10 increase in market cap.  CAT has not yet. 

[rentarocker]

Doger, while it is true that Catcoin's community is much smaller than DOGE, BTC and LTC, all of these coins have a market capitalization orders of magnitude greater.  There are millions more investors in these coins.  Millions more people to participate in the community.

What you need to realize is the potential for growth evident here:  There is tangible evidence that the Catcoin community is considerably greater than the communities of other coins with similar market caps.  That means it is the next most likely coin to undergo the adding of a decimal place.  

Buddynuno:  Read my last post.  Not interested in TIPS BTW.  

[kaene]

I also bought some CATcoins now that they are cheap as a long term investment (https://bitcointalk.org/index.php?topic=380130.msg4272707#msg4272707 I'm glad that numbers backup my investment).

Another one that I think is a good long term investment it DTC, it has so much potential to be a mainstream coin ... it just needs a title bit of marketing and more engagement from the dev team.

[CatCoinForums]

To summarize, Why buy CAT over DOGE?  Simple:

DOGE is LITECOIN, CAT is BITCOIN.  DOGE has passed it's first 'revolutionary' x10 increase in market cap.  CAT has not yet.  

Welcome, and thanks for creating this thread. I also agree with what you say 100%

Oh and what i've quoted is also why i hold my catcoins and buy in while there cheap.

Catcoin will make it, maybe not today, maybe not tommorow. BUT it will do & when it does the value will increase, meaning on mining calculators the profitability per day will increase, meaning bringing in more miners, meaning more activity around this coin and from there it will continue to grow as a coin and a Community.

Feel free to register at: www.catcoinforum.com
(Im the creator of the forum)

[nurminen1]

I'd recommend that you take a closer look at Dimecoin. It has grown a lot in a very short time and the community is fairly big. There are also rumours that Dimecoin is getting into marketplace within a few weeks. Dimecoin is even kinda cheap at the moment so there is really no way to lose with it. It's a potential golden train waiting for passengers to take off.

[Thorgrim]

Are you serious?

Long term hold in Catcoin?

To me Meme coins are great for trading shot term but do you seriously think a coin based on an animal will ever be considered serious currency?

Take a look at Worldcoin. Come hang out in IRC #worldcoin, or check out http://worldcoinforum.org

Worldcoin gets seriously overlooked here at bitcointalk because 95% of the activity happens on it's own forum and IRC chat.

All the fast money and bandwagon jumpers miss it because it isn't hyped constantly on bitcointalk, it is undervalued.

[rix5]

Cat? Maybe 2% or 3% of your holdings, ok.
Buy datacoin if you want a rocket.

[crypto25]

Talking about rarity, look at elacoin. Just listed on crypto market cap and hugely undervalued.