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How do we rate a crypto coin’s “Lasting”?

There are many people, firms, and banks that will mostly reply on market cap. There are also many different ways to approach this. One way, which we will use here, will be to use four equal parts to figure out if this is a coin that will last. Like we mention on this site, there are coins people will want to invest in for some short term profit that may be useless bags of you know what. That’s not us. We’re focusing on long term coinage. 

So here are the four parts:

1. Market cap
2. Circulation
3. Strength of current project plus future projects
4. Transparency
5. Business partners

Each part equals 19 points and so it is out of a possible 95 rating. This number may seem odd to you but there is always a 5% chance that anything will happen in life. There is no 100% certainty for anything except death and taxes. Don’t like that number? Deal with it.

1. Market cap

I think this is an obvious reason so I won’t go into detail but for those who don’t know, the market cap will allow to understand the size, value and worth of a company. It is not a definitive and only reason to choose a company with a medium to large sized market cap but it will help you understand if a company is under valued by it’s price and also if a company is really really small and possibly vulnerable or weak.

2. Circulation

This is a great one. You don’t want, in my opinion, to have a crypto coin with a large circulation (meaning how many of the coins are out there). There is also supply; which is very important and related. For example, Cardano at the time of writing this has 74% of the total supply available. So pay attention to this because in my opinion it is the most important. Shiba Inu, for example has 549 trillion in circulation at the time of this writing while Bitcoin has 19 million out of a 90% supply. THIS is why Bitcoin is at 57.352 and Shiba Inu is at 0.00003950 cents at the time of this writing (11-28-21). Some will tell you to find a coin that is not over a billion; in the millions. But I disagree. Look at Decentraland (MANA). It was 76 cents October 27th 2021 and now (11-28-21) it is at $5. I think it breaks $10 by early next year. It’s circulation is 1.9 billion. If you are going past 100 or 500 billion in circulation, the price f the coin will have a hard time having upside. It will also have a hard time keeping people interested. There’s only so long people are going to want to keep the 0.00000002178 cents coins before giving up entirely. This, the crypto market, will shake many coins out.

3. Strength of current project plus future projects

I think of a simple match up when I think of this. I hate to say anything negative about anyone or any coin, but if you do a simple match up of a few shit coins and let’s say a Polkadot (DOT). This sums everything up for this point. Polkadot has created a platform or blockchain where other users can create their own blockchains (called parachains and parathreads) while pooling their security. This includes messages, transactions and/or NFT’s. Polkadot has been compared to Ethereum which is the queen of all crypto currencies. Polkastarter is now running their platform (“environment”) not on Ethereum but on Polkadot. OK, maybe you got that or maybe not but …you will understand this comparison. I’m gonna skip saying the name of a few shit coins but not only is there no “About  page” on their site, and they have no “White paper” (describing in geek talk how they came up with their idea and how it works),  no “roadmap” but there is nothing but fun cool graphics and they say funny and silly things or it looks like a copy and paste talking about the “privacy and decentralization” of crypto currencies blah blah blah.  Know when you are being scammed and know when you are looking at bullshit. It’s always the shit coins, the meme coins and some of the alt coins that have nothing to say because they are worthless. It’s a pump and dump scam and you are wasting your time. Project and future projects versus nothing but smoke and mirrors (or lots of cool graphics and a fun cool name.

4. Transparency

This is a simple and easy one. I look for an “About page” and some type of decent contact form plus a decent “White paper” and “Roadmap.” You will find most shit coins have none of this. I think people should start calling them scam coins. Maybe they do. Moving along… A good “About page” is where I start even before looking at their White papers or roadmap. It should not be hard to find out who these people are, what they have done and what they want to do. 

5. Business partners

I like CoinMarketCap and a few other sites but they are not partners. When I think of partners, I think of another company that invests AND/OR has a part in the primary company’s projects. CoinMarketCap is almost like an exchange. It’s a great place to use charts and look at prices but they are not a crypto coin, blockchain developer or an exchange. But, in April 2020, CoinMarketCap was acquired by Binance Capital Mgmt. Binance is an exchange and a coin. That’s different. Many meme or shit coins have been listed on CoinMarketCap and then list CoinMarketCap as a partner. That’s just wonderful. Like stated above, we like to use CoinMarketCap, we just don’t consider them to be an impressive partner to be listed on a website. Many strong coins have partners such as other crypto coins like Solana, Cardano, Polkadot, Chainlink. And they also have partners with investment firms, banks and think tanks like the Blockchain Research Institute. You have to took for a nice list of partners instead of a short list of just websites that list crap and shit coins.