Deflationary tokens as an emerging threat in the cryptospace

[GospelCrypto2]

In a little time, I have spent in the eco-system, I have learned that the crypto market is generally driven by trends. Earlier this year IEO looked like it will be the major trend of the year but then came BOMB ...Although the BOMB token was not the first deflationary token, unlike EQUAL which has been existing since 2018, BOMB came with a lesser supply and a  high deflation rate. The Success of bomb has brought about a myriad of deflationary token with some already doing well in the market as we speak.
Deflationary tokens/coins ortherwise known as self-destructive currencies refer to crypto asset that tends to reduce in total supply with each transaction based on a pre-established deflation rate. Irregardless of the success some of this self destructive tokens has made in the crypto market,nevertheless, there is a threat imminent in the distribution measure applied by these deflationary coins. Most of the recent deflationary coins i.e blast, burn, incinerate, ethplode and the rest yet to come, adopt an airdrop means of distribution in which airdroppers are to receive minute amount of tokens with the notion that the small supply/deflationary nature of the coin will bring about notable performance in the market. Now the problem lies in the fact that even before the distribution of this token via airdrop they start trading on exchange and literally become puppets of the developers.
Isn't this the origin of centralization in the crypto space? the idea of holding an ICO/IEO or airdrop distribution was designed to keep projects decentralized by widespread distribution of nodes and also prevent market manipulation which can arise with one entity holding on to a majority of the token supply. Today this traditional means of token distribution has been ignored by the developers of this trendy deflationary tokens, we also see a host of them with zero use case being launched into the market on a daily basis. My question is if the airdrop tokens are not distributed as at when they get listed on exchanges and no ICO,IEO or ITO was held then who own the tokens trading on the exchanges (mostly DEX)?. Its also sad that by the time the airdroppers finally receive their tokens for the little task they engaged in to boost the publicity of the project, the prices on the exchange would be almost dead with greedy developers cashing out and moving on to launch a new one. Today we already have a few of them that have exit scam i.e Claymore, satan token and Gomo...
In conclusion, I wish to make an outcry that people be more cautious when investing time and money into these deflationary currencies entering the marketplace in streams and that a return to the principle of distribution before listing should be adhered to...Let's stop the manipulation of prices and dumping on poor airdroppers.
Please feel free to share your opinion and as well mention the Deflationary coin you have made the most profit from and the tactics appllied. thanks

[ub27]

Deflationary tokens following the trend of BOMB with no use case are all scam, sorry to say. They keep launching new ones daily.  What's really the essence? I think some folks are abusing the ERC20 token standard.  Don't be surprised the same clueless team launch most of those tokens on a daily, hoping to dump on crypto enthusiasts when they list by free listing on exchanges. Firstly, they create an unofficial listing on forkdelta, then sell some tokens and then next you see them on DDEX and Vindax etc. That's the trend.  Anyone buying those deflationary tokens for long term is a noob.

[rosezionjohn]

The concept of a deflationary token is a good idea in my opinion, it's just the use case that's been missing. It's just less supply = more demand thing.

Equal was the pioneer but they've already dropped it after moving to the Binance chain.

[asajapheth]

It's a way a crypto can say say no to inflation. Instead of the purchasing power decreasing like with inflated fiat, the purchasing power of deflationary coins increases. If a crypto project has a deflationary token, good use cases and a transparent team behind the project, it'd have a lot of potential.

[Firefoxx]

Deflationary tokens are not a threat to crypto space in any way. This tokens have no use case for crying out loud and in no time will not be traded again. I don't suggest anyone to invest in any of this token

[knuckey]

dumps always occur when the distribution is completed or when listed on exchange. this does not only occur in the IEO, but also occurs in other methods of token sale. therefore you have to be selective in investing, don't be greedy and sell when you get a profit.

[asriloni]

Deflationary tokens are not a threat to crypto space in any way. This tokens have no use case for crying out loud and in no time will not be traded again. I don't suggest anyone to invest in any of this token

I agree with you and it looks like the announcement thread already flooded by a token that use the deflationary as their innovation and that's the fun fact about them when they have called deflationary token as an innovation. For me that's a crap idea and investors must never try to touch it. Deflationary token is a crap idea that created by the amateur dev.
More deflationary crap token will come soon.

[Mrsparks]

The truth is that the deflationary mechanism of this self-destructive  tokens proposes a unique concept that supersedes the traditional fiat currencies in the conventional world and as well the crypto currencies in the space up until their emegence...The problem lies in the absence of a usecase...
The idea that a token is self destructive is not enough utility to support its instrumentation in a  populated crypto market. Its also sad that scammers are gradually making a mess with the superb tokenomy which is most remarkable because it guarantee the highest levels of demands due to diminishing supply hence causing price increase..
I wish to commend the maker of this thread for highlighting this proprietory and pivotal subbject of discussion and i also hope noobs do not fall into the hands of scammers propagating tokens to deceive unoticing crypto enthusiast..

[Kvalentine]

This month alone ive seen too many deflationary tokens coming out of nowhere with different names after BOMB token,the fact about this coins is they dont have anything to offer crypto space,they are build just for the deflation suppose only and no working products or real use case.

[Rehmanchoudhary5]

In my views, except 2,3 deflationary token all are fake and scam i write a complete thread on deflationary project earlier this is just a short term hype, deflationary project came up with same pattern, they're copying each other code and contract because it's open source all project devs hold a huge amount of tokens they could dump it any time and run away with money.

[Prettygirl01315]

Due to the immense growth of the bomb token. Many Deflationary Tokens are now due because of the hype of the project and also the price surging that takes months or weeks to do it. That's why most of the deflationary tokens dont have goals which its just a pump and dump scheme

[Greatchu]

Its very funny how many developers are creating deflation tokens nowadays just for the quick profits,yesterday i came across these new deflation tokens with small max supply like dynamite,stakd,NUClear,MOAB and ethplode after spending few minutes on them i cant see any use case which is absolute nonsense

[GospelCrypto2]

Its very funny how many developers are creating deflation tokens nowadays just for the quick profits,yesterday i came across these new deflation tokens with small max supply like dynamite,stakd,NUClear,MOAB and ethplode after spending few minutes on them i cant see any use case which is absolute nonsense

Thats exactly what the crypto space has deteriorated to...The fact that they actually list on exchange before disbursing their tokens is my major headache.. Its begining to look like anyone can just develop tokens and list them on one exchange and start manipulating prices in order to catch unknowing traders/investors. Decentralisation in terms of distribution of nodes/tokens is gradually going out the door..

[GospelCrypto2]

Deflationary tokens are not a threat to crypto space in any way. This tokens have no use case for crying out loud and in no time will not be traded again. I don't suggest anyone to invest in any of this token

I agree with you and it looks like the announcement thread already flooded by a token that use the deflationary as their innovation and that's the fun fact about them when they have called deflationary token as an innovation. For me that's a crap idea and investors must never try to touch it. Deflationary token is a crap idea that created by the amateur dev.
More deflationary crap token will come soon.

This is exactly my point of view. This is actually one of the reason why the crypto space needs more regulations..The ethereum blockchain is gradually becoming the home of shitcoins. I perceive that a more proprietary blockchain might surpass ethereuem in the nearest future.If measures are not put in place to curtail the scam tokens development..

[old fart]

Funny thing about this is that it has no use case except that a particular percentage burns after transaction. Investors should be really careful not to lose their money to all these amateur devs.

[Mrsparks]

Funny thing about this is that it has no use case except that a particular percentage burns after transaction. Investors should be really careful not to lose their money to all these amateur devs.

I still fancy the deflationary mechanism truly. But i just feel the debacle thats being made of the unique system will attract more negativity to the crypto space

[Iykecollinz]

The hype around deflationary tokens are already dying down as majority of them tend to end with usually dump and scammers use them to sway their victims. Right now it will be difficult to attract huge investors to such project as they are mainly target for quick profit and no use case or actual noteworthy project objective

[Rouse_creationsHostel]

Hey, you know that Benjamin Cowen has made a group where people can identify legitimate deflationary tokens?
The telegram group is called "DeflationaryCoins" and can be found here: https://t.me/deflationarycoins

Currently the deflationary tokens with representatives in the group are:

- BOMB (Bomb Token) https://Bombtoken.com
- SHUF (Shuffle Token) https://shuffle.monster
- BSOV (BitcoinSOV) https://btcsov.com (upcoming: https://dev.btcsov.com )
- ETHPLO (Ethplode) https://www.ethplode.com
- SHOCK (AfterShock) https://aftershock.vip

They are all different, and with some exciting features! The last months I've been contributing to BitcoinSOV (BSOV) which wasn't airdropped. BSOV is the first PoW-mineable and self-destructing currency, and has no dev-premine, therefore it is the most decentralized deflationary token, and is completely driven by its community. You can come join our Telegram group here: https://t.me/BitcoinSoVCommunity