Crypto investigator ZachXBT has raised concerns about Token2049's sponsor vetting process, emphasizing that platinum sponsorships do not guarantee legitimacy. He highlighted several sponsors, including JPEX and HyperVerse, which misused their sponsorships to gain credibility before collapsing amid fraud investigations, resulting in significant investor losses. Common warning signs of dubious coins include anonymous teams, low liquidity, and aggressive marketing tactics. Despite their controversies and lack of solid fundamentals, some cryptocurrencies continue to attract interest due to speculation, community support, and the allure of quick profits. ZachXBT identified several questionable sponsors at Token2049, such as Spacecoin, JuCoin, and Weex, which have faced scrutiny for their operations. These projects often survive through speculative trading, dedicated communities, and periodic hype. New investors should be cautious, researching project histories, evaluating marketing strategies, and assessing liquidity to avoid potential scams. Ultimately, while some shady coins persist, they often serve as cautionary tales in the volatile crypto landscape. Read more AI-generated news on: https://app.chaingpt.org/news