To the Moon: Shitcoins are Ponzi Schemes

[Refrumatrix]

Ponzi schemes, shit coins and scam coins all are in same category to me, only the early birds became the winner investing in such coins, believe it or not I've friends that invested in shitcoins and they don't care about top altcoins yet they made more money than me, they get in early and leave highest in 4 weeks time

[fadil46]

Pump and dump is inevitable in any industry

Especially with an uncontrolled market it's easier, we've seen the market go crazy with stuff that I find ridiculous and superfluous. But it's a development process, even if we deny it, but it also creates many new trends.

Now there is only one thing that many people are waiting for, namely the Bullrun trend or the trend of market improvement which is better than last year, because this insane decline has become the basic reference for some people to leave the market even though the opportunity and utilization has been very good.

[South Park]

Pump and dump is inevitable in any industry

Especially with an uncontrolled market it's easier, we've seen the market go crazy with stuff that I find ridiculous and superfluous. But it's a development process, even if we deny it, but it also creates many new trends.

If there is actual development being made in a coin then that is not really a shitcoin because due to the open nature of cryptocurrencies someone could always study their code and see where they went wrong and avoid the same mistakes, so even failed coins can serve a purpose, however there are many shitcoins that are nothing more but a copy of another project that changed their name and that brings nothing to the community, those coins are what people often refer as shitcoins, and no one should invest in them.

[Ozero]

According to Investopedia, "The term shitcoin refers to a cryptocurrency with little to no value or a digital currency that has no immediate, discernible purpose."  They are characterized by short-term price increases followed by nosedives caused by investors who want to capitalize on short-term gains. On the other hand, "A Ponzi scheme is an investment fraud that pays existing investors with funds collected from new investors. Ponzi scheme organizers often promise to invest your money and generate high returns with little or no risk."- Investor.gov. In my opinion, shitcoins are ponzi schemes, they have no goals, no direction nothing other than to rip-off folks who buy invest in  it  and hope that they're gonna make it big overnight not knowing that the odds are against them. I might be wrong but this is just what I think. Do share with me your thoughts. Thank you.

https://www.investopedia.com/terms/s/shitcoin.asp
https://www.investor.gov/protect-your-investments/fraud/types-fraud/ponzi-scheme

In fact, you yourself pointed out that meme-coins are still different from Ponzi schemes, and this difference is significant. Most importantly, Ponzi schemes are actually a scam, and meme coins, while mostly worthless, are not a scam. When investing in mem-coins, each potential investor can assess the risks of investing and independently decide whether to invest or not to do so. Another thing is that investors in meme-coins want to get a good and quick profit from their investments during the period of hype, however, in cryptocurrency, everyone is solely responsible for their investment decisions.

[avikz]

According to Investopedia, "The term shitcoin refers to a cryptocurrency with little to no value or a digital currency that has no immediate, discernible purpose."  They are characterized by short-term price increases followed by nosedives caused by investors who want to capitalize on short-term gains. On the other hand, "A Ponzi scheme is an investment fraud that pays existing investors with funds collected from new investors. Ponzi scheme organizers often promise to invest your money and generate high returns with little or no risk."- Investor.gov. In my opinion, shitcoins are ponzi schemes, they have no goals, no direction nothing other than to rip-off folks who buy invest in  it  and hope that they're gonna make it big overnight not knowing that the odds are against them. I might be wrong but this is just what I think. Do share with me your thoughts. Thank you.

https://www.investopedia.com/terms/s/shitcoin.asp
https://www.investor.gov/protect-your-investments/fraud/types-fraud/ponzi-scheme

Ponzi schemes are structurally different than shitcoins. However, the shitcoins are on the rise it seems! The trend that was started by Shiba Inu, has now taken up by thousands of shitcoins which we see regularly flooding the market. That's not healthy for crypto market for long run.

And I see that pancakeswap is the only place where these shitcoins are traded. This is very alarming because that's the only platform where I can see only shitcoins are getting listed on a daily basis. This madness truly needs to stop.

[South Park]

According to Investopedia, "The term shitcoin refers to a cryptocurrency with little to no value or a digital currency that has no immediate, discernible purpose."  They are characterized by short-term price increases followed by nosedives caused by investors who want to capitalize on short-term gains. On the other hand, "A Ponzi scheme is an investment fraud that pays existing investors with funds collected from new investors. Ponzi scheme organizers often promise to invest your money and generate high returns with little or no risk."- Investor.gov. In my opinion, shitcoins are ponzi schemes, they have no goals, no direction nothing other than to rip-off folks who buy invest in  it  and hope that they're gonna make it big overnight not knowing that the odds are against them. I might be wrong but this is just what I think. Do share with me your thoughts. Thank you.

https://www.investopedia.com/terms/s/shitcoin.asp
https://www.investor.gov/protect-your-investments/fraud/types-fraud/ponzi-scheme

In fact, you yourself pointed out that meme-coins are still different from Ponzi schemes, and this difference is significant. Most importantly, Ponzi schemes are actually a scam, and meme coins, while mostly worthless, are not a scam. When investing in mem-coins, each potential investor can assess the risks of investing and independently decide whether to invest or not to do so. Another thing is that investors in meme-coins want to get a good and quick profit from their investments during the period of hype, however, in cryptocurrency, everyone is solely responsible for their investment decisions.

Agreed, meme coins are shitcoins but not Ponzi schemes, a Ponzi scheme is something completely different in which the owner of the scheme pays previous investors with the money of new investors, shitcoins like meme coins are coins with no purpose at all but that somehow try to get popular by trying to appeal to investors to invest with them for reasons different than its fundamentals or its long term potential, and as unbelievable as it may seem it works and people invest a lot of money in those useless coins

[24Kt]

Lots of alts & tokens carry a very high risk which is why the majority of them are extremely cheap. You must do your own research when buying a non mainstream coin. Obviously don’t invest too much in the less well known alts. That’s not to say you can’t make great profits from them but just be aware you can make big losses. I personally prefer to buy bitcoin, eth etc but tgere are many opportunities in others.

If you are a newcomer in this crypto market, it is better to stick with top alts, btc/eth/bnb in particular. Because most never-heard alts are very risky to invest with because their respective dev team can easily rug pull especially those anonymous projects. But with top alts as mentioned, you are confident that they will not disappear into thin air while you are sleeping. Some unfamiliar alts can give you good profits if you got the right timing, but if not, usually, holders will end up holding worthless coins.

[crzy]

Ponzi schemes, shit coins and scam coins all are in same category to me, only the early birds became the winner investing in such coins, believe it or not I've friends that invested in shitcoins and they don't care about top altcoins yet they made more money than me, they get in early and leave highest in 4 weeks time

Having a good experience is a big thing, early comers will always earn a lot and of course those risk taker are risking everything. This is profitable but not all the time, I also have friends who are making big money from those shitcoins. Enter as early as possible and if you think you’re late already, don’t buy anymore. Opportunities is there but you must be very careful on buying.

[Saisher]

According to Investopedia, "The term shitcoin refers to a cryptocurrency with little to no value or a digital currency that has no immediate, discernible purpose."  They are characterized by short-term price increases followed by nosedives caused by investors who want to capitalize on short-term gains. On the other hand, "A Ponzi scheme is an investment fraud that pays existing investors with funds collected from new investors. Ponzi scheme organizers often promise to invest your money and generate high returns with little or no risk."- Investor.gov. In my opinion, shitcoins are ponzi schemes, they have no goals, no direction nothing other than to rip-off folks who buy invest in  it  and hope that they're gonna make it big overnight not knowing that the odds are against them. I might be wrong but this is just what I think. Do share with me your thoughts. Thank you.

There are so many of these kinds of coins in the market and many more launching, because investors are into short term or quick profit, these are pump and dump coins who thrive on very high APY and APR but don't have any usage or platform that the community can use, developers do rug pull and those late investors are the one that will suffer the most, t's better to not invest on this kind of coins and just stick with real usage and old coins like Bitcoin, Ethereum Binance.

[X-ray]

In my opinion, shitcoins are ponzi schemes, they have no goals, no direction nothing other than to rip-off folks who buy invest in  it  and hope that they're gonna make it big overnight not knowing that the odds are against them. I might be wrong but this is just what I think. Do share with me your thoughts. Thank you.

that's true and im also thinking like that. So many shit tokens are ponzi and why? no utility, no usability, that's only full with hype and pump then it will be going down again to the bottom. The shit token was the worst thing that i have ever seen. So many people join just to make bunch of money and they didn't care about the fundamental. They didn't care anything about the project what they do care is about being able to make bunch of money from the shit token like that. This is crazy and how people are also creating more and more non shit scam token and newbies are also adding liquidity into it. That's so crazy as fuck. they are only pouring scammers with their money. You are no wrong. Your opinion was totally true.

[inanilujimi]

In my opinion the Ponzi scheme is definitely a real scam, while shitcoin if it has a strong community can make many people become millionaires in a short time and much more can be increased in crypto, there are many examples of what was just a coin meme turned into something big in the world. this market.

[Henrobakkara]

According to Investopedia, "The term shitcoin refers to a cryptocurrency with little to no value or a digital currency that has no immediate, discernible purpose."  They are characterized by short-term price increases followed by nosedives caused by investors who want to capitalize on short-term gains. On the other hand, "A Ponzi scheme is an investment fraud that pays existing investors with funds collected from new investors. Ponzi scheme organizers often promise to invest your money and generate high returns with little or no risk."- Investor.gov. In my opinion, shitcoins are ponzi schemes, they have no goals, no direction nothing other than to rip-off folks who buy invest in  it  and hope that they're gonna make it big overnight not knowing that the odds are against them. I might be wrong but this is just what I think. Do share with me your thoughts. Thank you.

https://www.investopedia.com/terms/s/shitcoin.asp
https://www.investor.gov/protect-your-investments/fraud/types-fraud/ponzi-scheme

Most of the people that Generate these Ponzi schemes and shitcoins when it comes to crypto are actually ripping people or their investors off but I think most of them actually get away with it so when you say, "the odds are against them" I don't quite get that. All the rug pulled crypto projects, how many of them have been sentenced for their actions? even the Ponzi schemes perpetrators, most of them get away with it with only the investors losing at the end.  

[og kush420]

According to Investopedia, "The term shitcoin refers to a cryptocurrency with little to no value or a digital currency that has no immediate, discernible purpose."  They are characterized by short-term price increases followed by nosedives caused by investors who want to capitalize on short-term gains. On the other hand, "A Ponzi scheme is an investment fraud that pays existing investors with funds collected from new investors. Ponzi scheme organizers often promise to invest your money and generate high returns with little or no risk."- Investor.gov. In my opinion, shitcoins are ponzi schemes, they have no goals, no direction nothing other than to rip-off folks who buy invest in  it  and hope that they're gonna make it big overnight not knowing that the odds are against them. I might be wrong but this is just what I think. Do share with me your thoughts. Thank you.

https://www.investopedia.com/terms/s/shitcoin.asp
https://www.investor.gov/protect-your-investments/fraud/types-fraud/ponzi-scheme

Even in theory, shitcoins and ponzi schemes have nothing to do with each other.
Shitcoin is a cryptocurrency that you can trade, sell at any time or buy in any quantity. Shitcoin may be a project that just went wrong, or it is not very popular for some reason.
A ponzi scheme is a scam involving the collecting fees from new entrants to pay wages to those who joined the pyramid earlier.

[Coin_trader]

According to Investopedia, "The term shitcoin refers to a cryptocurrency with little to no value or a digital currency that has no immediate, discernible purpose."  They are characterized by short-term price increases followed by nosedives caused by investors who want to capitalize on short-term gains. On the other hand, "A Ponzi scheme is an investment fraud that pays existing investors with funds collected from new investors. Ponzi scheme organizers often promise to invest your money and generate high returns with little or no risk."- Investor.gov. In my opinion, shitcoins are ponzi schemes, they have no goals, no direction nothing other than to rip-off folks who buy invest in  it  and hope that they're gonna make it big overnight not knowing that the odds are against them. I might be wrong but this is just what I think. Do share with me your thoughts. Thank you.

https://www.investopedia.com/terms/s/shitcoin.asp
https://www.investor.gov/protect-your-investments/fraud/types-fraud/ponzi-scheme

Even in theory, shitcoins and ponzi schemes have nothing to do with each other.
Shitcoin is a cryptocurrency that you can trade, sell at any time or buy in any quantity. Shitcoin may be a project that just went wrong, or it is not very popular for some reason.
A ponzi scheme is a scam involving the collecting fees from new entrants to pay wages to those who joined the pyramid earlier.

There's a similarity but they really not same technically as you explained already. The reason why people keeps comparing shitcoins to ponzi is due a lot of rugpull and honeypot happening on many shitcoins in different blockchain. Devs allowing user to buy cheap tokens while new user keep buying to pump the price to the peak then early buyers will take profit same time with the devs with there unlock tokens. The project will will disappear after that and the devs will create new token with same scheme.

I hope you see the similarities.

[Ziskinberg]

According to Investopedia, "The term shitcoin refers to a cryptocurrency with little to no value or a digital currency that has no immediate, discernible purpose."  They are characterized by short-term price increases followed by nosedives caused by investors who want to capitalize on short-term gains. On the other hand, "A Ponzi scheme is an investment fraud that pays existing investors with funds collected from new investors. Ponzi scheme organizers often promise to invest your money and generate high returns with little or no risk."- Investor.gov. In my opinion, shitcoins are ponzi schemes, they have no goals, no direction nothing other than to rip-off folks who buy invest in  it  and hope that they're gonna make it big overnight not knowing that the odds are against them. I might be wrong but this is just what I think. Do share with me your thoughts. Thank you.

https://www.investopedia.com/terms/s/shitcoin.asp
https://www.investor.gov/protect-your-investments/fraud/types-fraud/ponzi-scheme

Most of the people that Generate these Ponzi schemes and shitcoins when it comes to crypto are actually ripping people or their investors off but I think most of them actually get away with it so when you say, "the odds are against them" I don't quite get that. All the rug pulled crypto projects, how many of them have been sentenced for their actions? even the Ponzi schemes perpetrators, most of them get away with it with only the investors losing at the end.  

Of course, they don't care what will happen to the investors, they're ripping us, and the image of crypto which doesn't matter to these Ponzi scheme runners as what matters for them is to get money from innocent people. We have heard a lot of Ponzi schemes been trapped but no one had even gotten sentenced, they are still in the crowd looking for some fish.
While these people exists, it will lose confidence to us and might one day, we've got trick by them.

[Naficopa]

I think the only similarity between shitcoin and ponzi scheme is that most shitcoins are pump & dump. So those who buy it at the latest (before the bubble bursts) lose the most. Those who buy shitcoin as soon as possible and leave it on time gain the most - the same goes for the ponzi scheme. However, technically they have nothing to do with each other.

[maartenhaha]

In my opinion the Ponzi scheme is definitely a real scam, while shitcoin if it has a strong community can make many people become millionaires in a short time and much more can be increased in crypto, there are many examples of what was just a coin meme turned into something big in the world. this market.

The meme coin trend makes shitcoins no worse than ponzi schemes as meme coins gained early popularity and pump prices have increased since being listed on the medium exchange, technically different from ponzi schemes in that pure scams simply invite others to invest to cover profit payments for early members .

[shinratensei_]

It's pretty similar to ponzi scheme. The early you got in the market the more money you will get it as more and more early joiners will come to pump the price of the token. The same mechanism that happened with the pyramid scheme but this is more structured caused by people are seeing it as meme token and they are investing in it while they didn't know if they have become late joiners and they will always be losers. The more people join and more money earned by early buyers. So many newbies are falling into this new type of ponzi scheme coz they are investing based on gambling to get decent amounts of money and it's not about the fundamentals. So many people didn't even realize this.

[Pelana vreo]

yes, when a new altcoin has no fundamentals and only has an idea then apply a tax of more than 12% when we trade, then it will be detrimental to new investors who join, some shitcoins are made for the purpose of quick profit, but this situation is difficult to avoid because new investors those who want quick profits don't see the purpose of the project, and these want to quickly get a lot of profits ending in losses because of some new schemes on that shitcoin

[isaac_clarke22]

~

I won't mention one though as I might be seen shilling it, but sometimes those projects just do not get the public's eye that's why they get little to no investors at all. The word altcoin/s has been like painted to be "likely to be a shitcoin" by many. And to be honest, whenever I see newer projects just popping up, it have little to no expectation that it will push through.
And yes, even business outside crypto are also failing.
I recall some coffee shop businesses around here in my area that just started to close one by one pre-pandemic, even though their menu seems good.