What Is A Deadcoin?
Cryptocurrencies can die, when this happens they’re declared a ‘Deadcoin’. Deadcoins are crypto projects which turned out to be a scam, have been abandoned by the founders, and have low liquidity among other reasons making the project no longer feasible.
Although cryptocurrencies labeled as Deadcoins go extinct in markets, there is always the possibility that a project can regain traction and reappear in markets.
According to a recent report from The Distributed, as of April 2022, there are currently 1705 Deadcoins floating around in blockchains worldwide.
Examples Of Deadcoins
It was during the ICO mania back in 2017 that many of the current ‘deadcoins’ took their first form. Over 80% of all ICOs in 2017 had been scams.[1]Bloomberg – CRYPTOASSET MARKET COVERAGE INITIATION: NETWORK CREATION
BitConnect
BitConnect ($BCC) is the most well-known scam within the cryptocurrency industry. It was essentially a Ponzi scheme laced with multilevel marketing and impossibly high payouts (1% daily compounded interest). After being labeled by Texan regulators as a Ponzi scheme, the price plummeted to less than $1 from a high of $525.
VegasCoin
VegasCoin ($VGC) was a project that was abandoned. Due to the sports betting nature of the coin, reports show it was acquired and discontinued by another company.
0xBitcoin
0xBitcoin ($0xBTC) was another project abandoned by the founders. The first 0xBTC was mined in 2018 and soon reached a price of around $5 before dropping to $0.10, which caused the core team to leave the project entirely.[2]CoinMarketCap – What Are Deadcoins?
Although the project is still indexed on CoinMarketCap and is trading at $0.95.
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