I wonder if some of you are thinking, "What is a Shitcoin?" and "What happens when you invest?"
Unlike famous virtual currencies such as Bitcoin and Ethereum, Shitcoins are not popular and have low value.
However, even though it is not popular, investing in Shitcoin can give you a chance to make a fortune.
Although Shitcoins may get high returns, they also have an aspect of high risk.
In this article, I will introduce the outline of Shitcoins, the advantages and disadvantages of investing, and points to choose.
I hope it will be useful for those who are thinking of investing in Shitcoins.
- 1 What is a Shitcoin?
- 2 Advantages of Shitcoin investment
- 3 Disadvantages of grass coin investment
- 4 How to choose Shitcoins
- 5 Summary
What is a Shitcoin?
Shitcoins are currencies with low market capitalization that are generally not recognized by many people.
Some of the characteristics of Shitcoins are, they have just been created, and that the price per currency is low.
Unlike famous coins such as Bitcoin and Ethereum, the transactions are few, and in many cases not very much used.
However, there are various advantages in investing in Shitcoins, and there is a possibility that large profits can be recovered in a short period of time.
Advantages of Shitcoin investment
There are three advantages of Shitcoins.
- The price may rise sharply
- It is possible to hold large volume because the price is low
- You can purchase a wide variety of virtual currencies
I will explain each, so please refer to it.
Prices may rise sharply
The advantage of investing in Shitcoins is that prices can rise sharply.
Since Shitcoins are low in price, there is a tendency for the amount of circulation and holdings to be small.
Therefore, when a famous influential figure and cryptocurrency investors on SNS speak out, at that moment the price often rises sharply.
For example, there are cases where the prices of Shitcoins such as barges and experience points suddenly increased.
As a result, investing in Shitcoins can lead to sharp price increases, and you'll often get big profits.
Since the price is low, you can hold big volumes
Since the price of Shitcoins is low, you can hold big volumes.
Cryptocurrency such as Bitcoin has a high market capitalization, and the price of one coin is around 1 million.
You can start owning from a small amount of money, but you need a large amount of money to make a big profit.
However, since some Shitcoins can be traded for 1 coin or 100 yen, it is possible to hold a large amount of coins.
You can purchase a wide variety of cryptocurrencies
Being able to purchase a wide variety of cryptocurrencies is another advantage of Shitcoins.
Some Shitcoins can be purchased for less than 100 yen each, so if you make it to 50,000 yen, you can hold more than 50 kinds of currencies.
Since you can invest in a more diversified way, you can expect great profits by selecting the appropriate cryptocurrency.
Holding several types increases the chances of a break, so you will have a well-balanced crypto investment.
Disadvantages of grass coin investment
There is a possibility that you can expect a big profit from Shitcoins, and you may be able to follow the path to a billionaire in a flash, but there are some disadvantages.
The main disadvantages of Shitcoins investment are the following three.
- Price may plummet and lose its value
- The handling of exchanges may be abolished
- There is a possibility of fraud
If you confirm the disadvantages of investing in Shitcoins before trading, you can reduce the risk, so be sure to fully check before actually trading.
There is a possibility that the price will plummet and lose its value
Shitcoins have the merit that the price will rise sharply, but there is also the possibility that they will fall and lose their value.
Since Shitcoins are originally unpopular coins, there is little expectations in the future. Therefore, there is a risk that Shitcoins will suddenly become worthless.
When investing in Shitcoins, we recommend that you understand the aspects of high risk and high return before investing.
Handling of exchanges may be abolished
It is also a disadvantage of Shitcoins that the handling of cryptocurrency exchanges may be abolished.
When dealing with cryptocurrencies that have little liquidity and are in low demand, from the viewpoint of the exchange, it is difficult for users to trade and there is not much merit.
If the exchange is abolished, the liquidity and value of the coin may further decline.
Even if you can trade Shitcoins, they may be abolished from the exchange, so it is important to be able to determine if they are reliable coins.
There is a possibility of fraud
In addition, Shitcoins have the potential for fraud.
There are various types of cryptocurrencies, and there are coins that have been developed for the purpose of tricking money and coins that have no actual condition.
In Japan around 2017, a cryptocurrency called "Clover Coin" was popular, which was rumored to increase in value if purchased.
However, the reality is that it is a typical MLM, and many people are deceived as fraudulent coins.
If you invest in fraudulent coins, you will lose the cost of purchasing the coins, meaning a big loss.
When purchasing coins, it is important to collect information from the viewpoint of development purpose and practicality.
How to choose Shitcoins
From here, I will introduce how to choose Shitcoins.
Although Shitcoins have the potential to generate large returns, they are also highly speculative because of the high risk.
Therefore, it is recommended that you check it according to the following three points.
- Reliable coin with a market capitalization of 100th place or less
- Prices with little fluctuation
- Coins not listed on major cryptocurrency exchanges
I will explain each point in detail.
A reliable coin with a market capitalization of 100 or less
When choosing Shitcoins, we recommend that you choose a reliable coin with a market capitalization of 100th place or less.
Cryptocurrencies, which are in the top ranks in the market capitalization ranking, are well known and have high liquidity, but profits are unlikely to increase several hundred times.
However, Shitcoins, which have the aspect of high risk and high return, have the potential to increase several hundred times at a stretch, so it is recommended to select a less popular coin with a market capitalization of 100th place or less.
In addition, if the operator and developer are specified on the official website of Shitcoins, you can also check whether you can trust them.
In fact, there are many coins that have suddenly risen in price from 100th place or lower, so you can expect high expectations for coins that can be trusted below 100th place.
Price fluctuations are small
When choosing a Shitcoin, it is also important to choose the one with small price movement.
Once the price of a Shitcoin rises, the price then returns to the original state, and there are many coins that do not soar again.
It seems that there are many investors who decide not to invest in the Shitcoins that once soared.
Therefore, when choosing a Shitcoin, one of the choices would be the “one that has never suddenly soared before and has a constant chart”.
Coins not listed on major cryptocurrency exchanges
It is also a point to choose Shitcoins that are not listed on the major cryptocurrency exchanges.
The coins that are being traded on famous cryptocurrency exchanges are likely to be known to many and may not be the minor shitcoins.
Coins that are not listed on the major cryptocurrency exchanges may not have been spotted by anyone yet, so there may be an opportunity for a significant return.
Choosing unhandled coins at major cryptocurrency exchanges is the recommended way to get a big payout.
Investing in Shitcoins can either generate big profits or, conversely, big losses.
Therefore, although there is some risk, it is a recommended coin for those who want to aim for a big payout.
However, if you are not careful enough, you may suffer serious damage, so it is advisable to invest in Shitcoins with surplus funds.
Hedge your risk as much as you can, prepare funds for less damage, and invest in Shitcoins.