Cryptocurrency: the madness of “shitcoin”
You probably know the queen of cryptos – Bitcoin – and the main “altcoins” that have followed suit. We can notably mention Ethereum, which has multiplied its value by 16 in one year (from € 184 to € 3,007). But since this year, it is the madness of shitcoins: cryptos which try to break through and which succeed in convincing investors to ultimately collapse on their own or stagnate at ridiculous amounts with no prospect of the future. This is how we see flourishing projects as far-fetched as the ” Gangbang »By Jacquie and Michel (er … thank you?), The SafeRich (SAFR), the Kimjongmoon (KIMJ) or the SafeMoon (SAFEMOON). Even Carole Baskin, the crazy feline – and nemesis of Joe Exotic in the docu Tiger king – created his CAT. It feels like 2017 with ICOs or Dieudonné’s all-out tokens.
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But how is this possible?
Already, creating a cryptocurrency is not that complicated. There are definite models and it is possible to make crypto from a blockchain, like the ERC-20 tokens based on the Ethereum blockchain. Except that for the ERC-20 model it is necessary to respect certain rules and that other models are more permissive. And then everything has an origin. And there the culprit is the Dogecoin. A crypto invented in the form of a joke that takes the very famous meme of the slightly neutered Japanese Shiba Inu. Since rare things are expensive, it only took a large enough number of wacky investors to buy to raise the mayonnaise. And then with the popularization of cryptos and word of mouth, uninformed people start buying Dogecoin without knowing anything about it … Elon Musk talks about it so there it is x10!
Read also: Where and how to buy Bitcoin safely?
Elon Musk plays yoyo with your pennies
Result, the Dogecoin went from 5 cents to 36 cents in 1 month. And people have necessarily got richer in the business and that’s good. But those who will be really rich are the 9 “whales” or whales that hold the most of this crypto, in particular the largest which encompasses more than 20 billion dollars at the current price. Because while waiting the course rises and rises. And when the time is right, cetaceans will sell everything for billions of dollars and small investors will find themselves with a price of -30%, -50%, -60% until perhaps the currency collapses. Imagine that even the creator of Dogecoin recently explained that it is scared of the extent of his “joke”.
Shitcoin to the moon? Rather in the toilet.
What if this joke turns into a running gag? Because smart people have smelled the good deal: make a crypto with a funny name, present it and popularize it on the Internet then try to raise the mayonnaise in their turn. The prize of the moment goes to the SHIBA coin which is squarely pumped on the Dogecoin by taking over the totem of the Japanese dog. As Jean-Claude Dusse would say “On a misunderstanding it can work” … The moral of the story is that when you want to invest in crypto, do not spend money on a whim because you have read an “expert” article on Reddit or seen a meme on 9gag. It’s a bit complicated to contain yourself in this case since crypto is a world where things go fast and we could miss a big opportunity if we let the train go. But it is better to stay on the platform than to leave half of your savings in a stupid token …
Do not take the train if you are not sure
You are of course free to invest in whatever cryptos you want, but if you want to invest smartly, your best bet is to stick to digital assets that are not new. Certainly very good serious projects take off quickly, but for that you need to know about it, read, learn and it takes a time that you probably do not have. It’s best to let the pros decide which currency is trustworthy and which isn’t. For this, many investors trust Coinhouse, a French company registered with the AMF (Autorité des Marchés Financiers) which allows you to buy cryptos that have proven themselves: the classics Bitcoin, Ethereum, but also very nice projects such as Stellar, Cardano or the new EUR-L, a stablecoin backed by the Euro. Like all sites of this type, Coinhouse takes a commission on purchases (3% here), but you can keep your cryptos for free on the site to trade or sell. Please note, above a certain amount, we recommend Ledger Nano wallets in USB or Bluetooth format to secure your capital.
The paid version of Coinhouse
Coinhouse is free, but it is possible to access a very interesting Premium service. This gives access to 32 additional cryptocurrencies with very high potential, exclusive advice for better investing and practical guides. If you want to invest for a company or if you want to invest a large capital, you can also benefit from a free consultation with a tax lawyer. The price of this Premium plan is 468 € / year (or 39 € / month), but if you come from us, you benefit from a reduction of 50 €. You just have to mention Android-MT when your meeting.
