One of the best ways to make a huge profit as a trader or crypto enthusiast is to onboard a project at its early stages. Also, projects with vast utility have proven to be an avenue for traders to net massive gains.
Investing early in a crypto project offers investors the unique opportunity to net huge gains. Crypto projects at early stages mostly come with low entry prices, allowing investors to acquire the token with less than a fraction of a cent.
The value of the token often soars and gains traction as the project attracts more community engagement, collaboration, and technological advancement. Also, early investment in crypto comes with extra benefits like exclusive incentives like bonuses and airdrops.
Consequently, these opportunities allow investors to maximize their gain and leverage the momentum a flourishing crypto project can attract. Also, early investment in crypto allows investors to participate in the governance of the project, giving them so many opportunities to influence the future growth of the token.
However, in the quest to scout for the next big thing in the crypto market, investors sometimes end up with the real deal. On the flip side, they sometimes get strapped with tokens that promise much utility and have a promising roadmap but fail to deliver as expected.
In the past, the crypto space has witnessed the demise of numerous projects that promised so much potential and opportunities. In the end, early movers ended up with worthless tokens due to some of these projects ending up not launching.
Below are some of the cryptocurrencies that promise vast utility but ultimately fail to live up to expectations.
List of Top Crypto Tokens That Have Failed To Deliver
Bitconnect
Bitconnect entered the crypto landscape as an investment platform and lending program. The project made an intruding entry into the virtual assets market in 2016, allowing users to invest in its native token $BCC.
More so, the platform promised early movers high gains through its trading bot. The bot, according to the project, is designed to trade BTC and repay investors with its return.
By promising high returns, Bitconnect swiftly attracted numerous investors, however, the platform endured criticism for functioning like a Ponzi scheme. The comparison with the platform’s operation with a Ponzi scheme is due to how Bitconnect requires new investors to join the platform before existing users can receive their profit.
In 2016, the United Kingdom authorities issued a notice to the platform to prove its legitimacy. Thereafter, on January 3, 2018, the Texas State Security Board issued a notice to Bitconnect that the platform should stop operating.
Unexpectedly, on January 17, 2018, Bitconnect shut its lending outlet which led to a significant financial loss for investors. Consequently, the price of BCC dipped by 92% leading to huge losses for investors.
OneCoin
OneCoin is a cryptocurrency that embraced a multi-level marketing (MLM) system that attracted huge criticism and widely criticized as a Ponzi scheme. Founded by Ruja Ignatova in 2014, the project promises to rival Bitcoin and offer investors high returns through its investment in other cryptocurrencies.
Meanwhile, OneCoin doesn’t have a legitimate blockchain network or have a native cryptocurrency. Instead, the platform operates sorely on convincing new intakes to invest.
The project deceitfully rode on the growing popularity of cryptocurrencies, gained massive attention, and attracted scores of investors across the globe. In 2017, Ignatova went into thin air, when intensified investigations into the operations of OneCoin.
Numerous regulators across various countries took action against OneCoin leading to the arrest and legal proceedings against some prominent figures involved in the project. Eventually, in 2018, the United States Department of Justice charged Ignatova with fraud.
Likewise, the FBI placed Ignatova on its Ten Most Wanted Fugitives list. In the end, OneCoin scammed investors more than billions of dollars.
Emercoin
Emercoin is another top cryptocurrency that gained market attention in 2013 amidst the growing attention on virtual assets. The project made it to the list of top exchanges in 2014, making rave as a payment tool for the internet.
While numerous investors invested in Emercoin with the hope of seeing it become the internet currency, the token has failed to live up to expectations and deliver its promised offerings. Additionally, the project team promised to make the platform an outlet that’ll protect websites and copyrights.
However, despite being a means of payment within its ecosystem, Emercoin failed to deliver all the utilities it promised which led to its decline. Presently, the project is already a dead one as most exchanges have delisted it.
Conclusion
At inception, most crypto projects mostly flaunt their offerings to attract investors. Meanwhile, upon launching, most of these projects often fail to deliver as expected, resulting to their deterioration.
In some cases, some of these projects are designed by bad actors with the intention of scamming investors. Therefore, it is essential for early movers to carefully examine the prospects of a project before investing in it.
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