Scam Coins creators make money by adding value their scam coin and eventually when demand for it increases, they have an option to literally do as they wish.

Scam operators usually operate in two ways:

  1. They establish a fork with a pre-existing currency or their own blockchain.
  2. The establish the notion of a coin that’s released.
  • In the first case scenario, the scam coin usually has a longer lifespan before people realize that there isn’t a viable economic scenario within that ecosystem.
    Scam coins creators release tokens initially. They basically obtain tokens for free what people usually would be bidding for a lot more.
    The scenario basically means that you have a commodity that you obtained for free which later on gains value due to demand on account of hype created.
    This commodity that you obtained for free can now be traded at a higher price.
  • In the second scenario, the scam coin has a shorter lifespan before which people realize that there really isn’t a genuine blockchain.
    Experienced Blockchainers usually notice at the very beginning that there isn’t any genuinely to this notion of there existing a blockchain.
    No Blockchain means no accountability hence a scam.
    Inexperienced people, however, would probably be trying out different cryptocurrencies with the notion of hoping to get rich quick.
    They tend not to verify the authenticity and the basis upon which a coin or a cryptocurrency is released, in this case, there really isn’t anything.

People are allowed to trade whatever currency that is said to exist through their very own (scam coin creator’s) exchange. They literally can project anything in the front end and modify anything in the backend of a simple website.
A scam coin creator in the second scenario may attempt to replicate not just the notion of your coin, but everything from an exchange to the notion of a whole economic scenario.

In both the scenarios essentially the scam coin creators make money by adding value, the value in terms of unprecedented demand without a backed asset/ commodity or a labeled cryptocurrency without a viable sufficiently different economic scenario.

To express the simplicity of creating one’s own coin, here are some links to make your very own coins. But be warned, unless the genuine value is created and traded using this currency, your coin would end up a scamcoin as well.


Subscribe for New Krown Content!

Posted by Min Park

Blockchain Marketing Specialist / ICON ($42M) / MediBloc ($25M) / BOScoin ($12M) / PAXchain ($60M) / Krown Media / :0

Leave a Reply