How many cryptocurrencies have gone to the graveyard in the last 10 years?
It’s no secret that most cryptocurrency projects are closed and sent to the “cryptocurrency graveyard.” The CoinGecko analytical department conducted a study and determined the number of tokens that have died over the past 10 years. In particular, it is indicated that more than half of the created coins do not survive.
Some details
Over the past 10 years, more than 24,000 tokens have appeared on the CoinGecko platform. Of the total supply, 14,039 coins ceased to exist. Percentage: more than 50%. The largest number of non-viable coins were launched in the period from 2020 to 2021. During the bull period, more than 11 thousand coins were created. Closed – 7530 tokens. This is: almost 70%. If we count from the total number of coins, it turns out that 53.6% of closed projects accounted for that period.
The main reason for the non-viability of cryptocurrency projects
Tokens are easy to deploy. During this period, meme coins are gaining popularity. Many projects do not have a specific product behind them. Accordingly, there is no price basis. In this regard, their life path is too short.
The best year for cryptocurrencies
The year 2015 is considered the most favorable. Of those tokens that were launched this year, only 27 closed.
Indicators for 2022 and 2023
In 2022, the beginning of a decline in the trend of 2020–2021 is observed. During this period, 3,520 cryptocurrencies died. The next year turned out to be more favorable. 4000 coins were launched. Of these, only 289 coins did not survive.
Signs of “death” of a coin
First. Over the past 30 days, trading activity has been zero.
Second. Projects that are considered fraudulent. News content and the opinions of CoinGecko experts are taken into account.
Third. The project team is disbanded. Carrying out rebranding. Official closure of the project. In accordance with CoinGecko standards, coins become illiquid.
So it turns out that more than half of the projects over the past 10 years have been ordered to “live for a long time.” The main reason for SCAM is that there was no product behind the tokens. As Popandopoulo said, there was no “gold reserve”. In this regard, I would like to say that before joining this or that project, you need to carefully familiarize yourself with the token, analyze the cryptocurrency base and its viability. I wish everyone financial well-being.
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