As the year-end approaches, the cold wind in the crypto world is more biting than the winter outside. The wails in the rights protection groups are rising and falling, and WeChat's official control over crypto communities is getting stricter. Many so-called 'public groups' have disappeared overnight—this all reminds us: the end of the year is the peak period for 'harvesting leeks'. Today, as a veteran who has been struggling in the crypto world for many years, I will break down the core techniques for identifying coins to help you avoid those traps that could lead to losing everything.
1. First understand these 4 types of coins, then talk about making money
1. Mainstream Coins: The 'anchor' of the market
Truly mainstream coins must have three major characteristics: a solid blockchain technology foundation, widespread market consensus, and practical application scenarios. Their market values are usually stable at the top and have the strongest risk resistance.
Core representatives: Bitcoin (BTC), Ethereum (ETH) — the former is digital gold, and the latter is the cornerstone of smart contracts.
Personally, I classify some coins with higher market caps, live mainnets, and stable ecosystems as 'small mainstream', such as ADA, BCH, EOS, etc. However, these types of coins will have greater volatility than BTC and ETH, so they should be approached with caution.
2. Altcoins: 'Growth stocks' with both risks and opportunities
The key to altcoins is 'having real value': there is a real development team behind them, projects are strictly advanced according to the white paper, the community is active (not just relying on brainwashing to recruit), and most are issued based on Ethereum ERC20 contracts, with clear plans for a mainnet launch in the future.
The market cap management and trading volume of these coins are relatively healthy, such as ONT, AE, ZIL, etc. (for example only, not investment advice). However, note: the 'value' of altcoins needs to be tracked over the long term. Once the team goes downhill or progress stagnates, they may very likely turn into air.
3. Air Coins: A 'money-making tool' purely based on speculation
The trick of air coins is very simple: a grandiose white paper + ERC20 token issuance, but there is no real team doing the work; the only purpose is to raise money and run away.
The most typical example is the superstar MXCC, which 'took away 5 billion in six weeks', along with Hero Chain HEC, Space Chain SPC, etc. These types of coins often experience huge surges and drops; for example, ARP once fell 99% in a day, ultimately ending up at zero. Remember: don't even look at coins with almost zero trading volume on exchanges.
4. Ponzi Coins: 'Ponzi schemes' dressed in blockchain clothing
Ponzi coins are best at packaging, but the core is still a Ponzi scheme: no real technology, they do not solve any industry pain points, tokens are not listed on formal exchanges, and cannot even be transferred through wallets, relying entirely on a self-built platform for trading by the project party.
Their typical rhetoric is 'only goes up, never down' and 'referral rewards', such as BIM, AOT, and Wanshang Coin. These types of coins have nothing to do with blockchain; they are traps set up using human greed.
2. 3 tips to help you quickly identify scams; preserving life is essential at year-end
Check 'roots': Is the code open-source, is it decentralized?
Legitimate digital currencies will have open-source code (e.g., available for checking on GitHub), issuance volume, circulation volume, and transaction records are all transparent, and anyone can trace them. In contrast, Ponzi coins and air coins either copy code or are not open-source at all, and the issuance volume and transaction records are completely controlled by the project party, making it a centralized 'digital game'.Check 'road': Is trading free, is it listed on formal exchanges?
Mainstream coins and quality altcoins are listed on multiple formal exchanges, supporting free deposits, withdrawals, and peer-to-peer transfers. If a coin is only traded on its own platform and cannot be withdrawn to an external wallet, it is 100% a scam.Observe 'appearance': Is the official website secure, does it have substantial content?
The official website of a legitimate project will start with https (encrypted transmission, protecting user data), and the homepage will clearly display the team, technology, white paper, and code links. In contrast, Ponzi coins' websites often start with http, with content all about 'getting rich quickly', and there are no technical details or team information.
3. Final reminder for the year-end: preserving life is more important than making money
Recently, the 'crash wave' in the crypto world has been frequent, with many shady exchanges running away. If your coins are still on small platforms, quickly withdraw them to a cold wallet or top exchanges (like Binance, Coinbase), don't hold onto false hopes.
This industry indeed has its myths of wealth, but there are more stories of losing everything. Those packaged as 'high return' funds are essentially after your capital. Remember: you are greedy for profits, but they are after all your assets.
As the year-end approaches, preserving your capital is more important than anything else. Do not touch projects you do not understand, and when being brainwashed by 'mentors' in the group, ask yourself: 'What makes me deserving of good fortune?'
Follow me, and I will share more 'pit avoidance guides' and quality project analyses to help you avoid detours in the crypto world. If you have encountered any traps, feel free to leave a message in the comments; let's expose the scams together!#币安HODLer空投ERA #山寨季何时到来？
