Coins to Avoid Even If They're Trending
In the world of cryptocurrencies, being in a trend doesn't mean a coin is trustworthy or a safe investment. Many projects that quickly catch on quickly disappear even faster. Below is a professional and detailed recap of my points, along with risk factors, warning signs, and practical steps to consider before making any decisions.
1. Very New Meme Coins
Example: Coins launched quickly around a momentary trend or the name of a famous person.
Why are they risky?
• Often, there is no real development team or roadmap for the project.
• A large percentage of tokens are owned by a small group (sometimes 90%+)—this gives them the power to control the price and suddenly "take" it.
• After the trend hype, liquidity disappears, and the price drops sharply within days.
Warning Signs: Concentrated token distribution, lack of technical documentation, intense marketing hype without a real product.
2. “First-Hear-Of” Coins with Zero Numbers (Tokens with Millions/Billions of Supply)
Why Are They a Risk?
• Massive marketing campaigns to fill the purchase with no actual product or use.
• Trading terms that require you to invest money or promote tokens (incentivized minting) — usually a sign of a Ponzi scheme or fraud.
• Often end in a rug pull or gradual collapse when the team stops funding the purchase.
Warning Signs: Massive total supply, no clear practical use, unreasonable rewards for promoters