TokenInsight Reveals Multiple High-Risk Projects, Warning Investors to Stay Away
One of the biggest issues that plagues the cryptocurrency community is the risk that comes with investing. Institutional investors, along with newcomers to the crypto industry, often do not have much direction regarding the dangerous players in the space. To help with this problem, TokenInsight recently posted to Twitter to discuss some of the “high-risk projects” in the space right now.
⚠️ ⚠️#High-risk Project Warning
— TokenInsight (@TokenInsight) April 5, 2019
The list includes 8 cryptocurrencies right now, which include QChi, CWV Chain, Quasarcoin, Ecobit, Animation Vision Cash, HiCoin, Dignity, and Cashcoin. The chart breaks down the reason for calling the token a risk, giving them a rating and stating the platforms that still allow trading on them.
QChi is the first of the list, only getting a C rating. Others with a C rating include Ecobit, Quasarcoin, Dignity, HiCoin, and Cashcoin. Though a C rating is still pretty bad, it’s the highest grade any of these tokens received on the list. A CC rating was given to CWV Chain and Animation Vision Cash.
Interestingly, there are some tokens with exactly the same risk details, while others are more unique. For instance, the open source code and social media profiles have not been updated for at least three months for Ecobit, Animation Vision Cash, and HiCoin, while the same data has not been updated for two months with CWV chain. Some projects are not showing progress at all, are under construction, or are even shut down on some social media channels, like Dignity, Cashcoin, and QChi.
In January, BitcoinExchangeGuide reported that Ecobit was among the “unsavory ICO” projects launched that XEM Foundation’s former president Lon Wong had advocated for. However, Wong has been attached to multiple projects that have become known for their suspicious activity, so his advocacy may not be the best way to determine if a project will last or even be valid.
To continue keeping consumers informed about the risks that they face in the market, TokenInsight plans to continually update this list, using their “dynamic monitoring” process. We would advise you to stick with bitcoin first and foremost, then go from there down the line of these high risk coins. If there are any questions, consumers can contact the platform directly via email at [email protected].