When the year 2021 came to a conclusion, cryptocurrencies rose to the top of the heap once more. After starting the year with a total value of $774 billion, the value of over 16,000 cryptocurrencies has risen to about $2.2 trillion. The crypto market has nearly tripled in value.
Investors are enthusiastic about the financial and non-financial uses of blockchain, the future of a possibly decentralized metaverse, and the clarity that blockchain technology brings to the game, as seen by this surge.
Don’t buy cryptocurrency named after the Shiba Inu or Elon Musk, I repeat. That’s why Dogelon Mars (CRYPTO:ELON) (pronounced “Dog-a-lon”) (pronounced “Dog-a-lon”) is on the list of digital currencies to avoid in 2022.
The goal statement is the first indicator that you could be investing in a project with no genuine usefulness. Dogelon is “the first interplanetary money,” according to the main page of Dogelon Mars, which was recently updated. The project’s goal statement also mentioned “sending[ing] tokens to victims of frauds and scams over time.” A “rug” or “rug pull” is a situation in which the creators of a cryptocurrency accept money from investors and then disappear.
To begin with, there is no requirement for an extraterrestrial money. No human has ever visited another planet, much less colonized it to the point that money is required. The fact that Dogelon Mars was ever referred to as a “interplanetary currency” is a slap in the face to the investment community’s brains.
Furthermore, I am unable to discover how many establishments accept Dogelon Mars as a means of payment. That’s a good sign that this payment currency isn’t used by many, if any, companies throughout the world. Its ELON cryptocurrency has no real-world application outside of a few crypto exchanges.
Let’s not forget that Dogelon Mars has before popped and faded. ELON gained more than 6,200 percent in a three-week period last year (April 22 to May 11, 2021), but lost 97 percent of its value in the following six weeks. These illiquid, social media-hyped cryptocurrency should be avoided at all costs.
Dogecoin is another cryptocurrency to shun like the plague this year (CRYPTO:DOGE). Dogecoin’s two creators were, in fact, inspired by the Shiba Inu dog breed. Stop purchasing coins with Shiba Inus on them!
Unlike Floki Inu, Dogelon Mars, and Shiba Inu, which have all risen in value as a result of pirated Elon Musk tweets, Dogecoin has some ties to the world’s richest person. Only three digital currencies are owned by Elon Musk, one of which being Dogecoin. He’s also said he’s working with Dogecoin’s developers to enhance the network. This has given Dogecoin only a smidgeon of an advantage over the other three tokens in its ascent.
Dogecoin, like the other cryptocurrencies on this list, does not have any competitive advantages or difference. While Dogecoin’s transaction costs are lower than those of Bitcoin and Ethereum, they are regularly higher than those of almost every other popular payment coin.
Furthermore, the Dogecoin blockchain isn’t especially quick, doesn’t have any particularly impressive scaling capabilities, and saw the average number of transactions processed per day fall to a three-year low in September (about 20,000 per day). Visa can process the amount of Dogecoin transactions every day on its blockchain in a fraction of a second.
In keeping with the idea, just a few companies are prepared to take DOGE as a means of payment. It is accepted by less than 2,000 retailers globally, according to Cryptwerk. Even if it’s five times greater than SHIB, it’s still a pitifully low level eight years later.
Shiba Inu, Dogelon Mars, and Floki Inu, like Dogecoin, are all in danger of losing the majority of their value by 2022.
If there’s one piece of advice I can give cryptocurrency investors in 2022, it’s to stay away from currencies named after the Shiba Inu dog breed or after Elon Musk. Shiba Inu is at the top of the list of digital currencies to shun like the plague (CRYPTO:SHIB).
Shiba Inu had a record-breaking year last year. SHIB tokens have risen by 121,000,000 percent in less than a year at one point in late October. If you bought at midnight on January 1, 2021, the change in your pocket may have earned you a billionaire.
Increased visibility in the form of new exchanges allowing SHIB for trade, the introduction of ShibaSwap, the landing of a number of brand-name merchants, and the fear of losing out drove Shiba Inu’s record rise (FOMO). That final point is particularly significant, as social media excitement has helped to boost the prices of all four digital currencies on this list.
Shiba Inu, on the other hand, has three major problems. The most significant flaw is that it provides no competitive advantages or distinction (social media pumping isn’t differentiation). It’s essentially an ERC-20 token produced on the Ethereum blockchain that’s susceptible to the Ethereum network’s high transaction fees and processing delays.
Second, it is unusable in the actual world. Despite constantly ranking among the top 15 digital currencies in terms of market capitalization, Shiba Inu has just 400 shops ready to take its token, according to statistics from online business directory Cryptwerk. There’s no motivation for firms to accept SHIB as payment if they don’t have a competitive advantage or uniqueness.
Finally, history demonstrates that life-changing gains in the crypto realm are followed by similarly massive reversions. This indicates that SHIB will be in the doghouse by 2022.
If you’ve been reading, I’ll say it again: don’t purchase Shiba Inus or Elon Musk-inspired joke currencies. Floki Inu (CRYPTO:FLOKI) is a cryptocurrency named after Elon Musk’s Shiba Inu, Floki.
The Floki Inu craze appears to have been misappropriated. Despite the fact that FLOKI tokens appear to skyrocket whenever Tesla CEO Elon Musk tweets about Shiba Inus, Musk has nothing to do with the initiative. Musk’s brother, Kimbal Musk, is participating in the Million Gardens initiative, which aims to alleviate world hunger — and FLOKI is a part of it as well. But let’s be honest: it’s not because of what Kimbal Musk believes or tweets that investors are flocking to the company.
The absence of real-world utility of Floki Inu (and the other currencies on this list) is another concern. The white paper for FLOKI mentions a cooperation with CryptoCart, which enables FLOKI holders to use their tokens from over 1,700 merchants. The difficulty is that there are more than 500 million entrepreneurs worldwide, so 1,700 outlets are a drop in the bucket in terms of utility.
To further on this issue, most companies are unwilling to accept FLOKI. Many of these strange currencies have agreements with third-party providers that allow them to swap one coin, such as FLOKI, for the money that a business is willing to take, such as US dollars, for a charge. There aren’t 1,700 companies in the world that advertise that they accept Floki Inu as a means of payment.
Concerns have also been raised in the United Kingdom regarding Floki Inu’s aggressive advertising campaign. The legislation governing crypto advertising is always changing, and Floki Inu may attract negative attention from British legislators.
To put it another way, it’s a symbol that can be easily avoided in 2022.