5 Cryptos I Would Not Buy With Free Money

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Based on the most recent data, it is estimated that there are between 4,500 and over 10,000 cryptocurrencies. No matter the exact number, it’s a lot. And because it’s easy to create new cryptos, that number keeps increasing.

Some cryptocurrencies have potential and can be a good investment if you are comfortable with the risk. But a large chunk of it is, for lack of a better word, garbage. The teams behind them run aggressive marketing campaigns, hire influencers, and trick people into believing that a small purchase will one day turn into “Lambo money”.

By familiarizing yourself with these cryptos, you can get an idea of ​​which red flags to watch out for. Here are some recent examples of popular cryptos that are a complete waste of money.

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1. Ethereum Max

EthereumMax (EMAX) ticks all the boxes for a pump and a dump. It’s unclear who the management team is, there’s no whitepaper, and the website makes vague promises of “exclusive lifestyle benefits” without specifying what those benefits are. It bears the name Ethereum (ETH), which may benefit from the popularity of this coin.

Whoever is behind EthereumMax has paid Kim Kardashian in the hundreds of thousands to talk about it on Instagram, one of the many celebrity backers. They apparently didn’t want to pay anyone to reread the EthereumMax website, which promises “Proven Tokenmnomics (sic)”.

With all the red flags, EthereumMax looks like a crypto designed to attract investors and make money fast.

2. Baby doge currency

Let’s start with the most glaring problem – it’s called Baby Doge Coin (BABYDOGE). The name makes it sound like a joke trying to catch the hype Dogecoin (DOGE) train.

The roadmap doesn’t do much to change that impression, with goals that include “adding a lot more memes,” sculpting a baby doge image on a mountain, and starting a baby doge religion.

Baby Doge Coin’s whitepaper says it was designed for the long haul, but it’s hard to see what long-term value this token offers. It’s a memecoin, and its main marketing strategy is that it’s a cuter version of Dogecoin. There are only a limited number of people willing to buy something just because of its fun.

3. Safety moon

Safemoon (SAFEMOON) popularized the idea of ​​a 10% tax on each transaction, half of which is redistributed to token holders. It quickly became the calling card of every fraudulent token with no use other than “going to the moon”.

The plans for Safemoon are a mishmash of ideas that seem destined to keep the hype going. There was an announcement months ago of a “Project Pheonix (sic)” that would make Safemoon the “fuel behind the freedom of the unbanked”.

In addition to intentionally vague plans, Safemoon has also included clear goals in its roadmap. The second quarter of this year was supposed to bring the completion of a Safemoon app (did not happen), a wallet (no) and a game (another no, unless losing some money not be the game).

If there’s one thing Safemoon has done well, it’s marketing. The token has a cult of holders who fervently defend it even though it misses its own deadlines and the whales of Safemoon sell billions of tokens.

4. Shiba Inu

Due to the success of Dogecoin, there have been quite a few counterfeits. Launched in August 2020, Shiba Inu (SHIB) has dubbed itself the killer of Dogecoin.

Like the other cryptos on this list, Shiba Inu prioritizes popularity over any real-world use. The biggest example of how whimsical he is came in May 2021, when the anonymous creator of Shiba Inu sent half the offer to Ethereum founder Vitalik Buterin.

It was a pretty obvious marketing stunt, but it wasn’t a success for Shiba Inu. Buterin burned (destroyed) 90% of the tokens he received and donated the remaining 10% to the Indian Crypto Covid Relief Fund (CCRF). CCRF officials struggled to cash these tokens, which is unfortunate, as Shiba Inu has lost quite a bit of value since the donation took place.

The Shiba Inu team tried to present this as positive. They even called Buterin a “friend of Shib” in their whitepaper, just before they misspelled the name of the cryptocurrency he created.

5. Bonfire

Bonfire (BONFIRE) claims to keep holders warm, warm and safe from an uncertain crypto market. Put all the platitudes aside, and it’s essentially a Safemoon knockoff. It launched about a month later and copied the 10% tax per transaction, with half going to token holders.

Much like Safemoon, his team have set themselves ambitious goals to keep the hype going. They claim that they are planning to launch a non-fungible token (NFT) market, just as many other small-cap tokens are supposed to. There was talk of a billboard to advertise the token in Times Square and also of a Bonfire app, which was originally slated for the second quarter of this year.

Three members of the Bonfire team left the project in July. Considering how it’s been so far, they’ve clearly got the right idea.

Be careful what you buy

These lousy cryptos are just the tip of the iceberg. If you browse different sites, you will hear about many other amazing new tokens that are all going to make their holders rich. Some of them have a big price increase in the first few weeks, but after that their value drops off a cliff.

There are plenty of red flags to watch out for, including:

A name based on another cryptocurrency A focus on price and popularity on what the cryptocurrency actually does An offering of hundreds of billions or quadrillions of tokens A cult-like environment where supporters attack anyone who criticizes the project Not being listed on any reputable cryptocurrency exchange

Always take your time to research cryptocurrencies before buying. If that doesn’t sound professional or has the vibe of a get-rich-quick scheme, save your money for better projects.

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