#USBT, a recently introduced cryptocurrency bearing a remarkable resemblance to #USDT, has entered the market. Despite this resemblance, #USBT functions as a distinct entity and has experienced a significant drop in coin holders from 700 million to just 60 million. This drastic reduction has cast doubts on the authenticity of #USBT, particularly with over 100,000 users still retaining these coins. Concerns regarding potential fraudulent activities have surfaced, fueled by the substantial profits reaped from the sale of these coins.
In the realm of cryptocurrency scams, comprehending the various tiers of deceit is imperative.
Low-level scams, often observed on decentralized exchanges (DEX) or lesser-known trading platforms, typically entail a swift devaluation of coins following an initial surge. This rapid depreciation acts as a warning sign, indicating the unsustainability of such projects.
These low-level schemes tend to disintegrate rapidly, prompting holders to hastily divest their assets before the collapse. Another prevalent low-level deception involves tokens that imitate renowned cryptocurrencies like #BTC, #ETH, #SOL, #MEME, or other popular tokens but function on disparate chains, leading to investors being unable to liquidate their holdings, thereby trapping their funds.
Medium-level scams frequently revolve around deceptive trading practices. For instance, #USBT showcased a substantial initial market capitalization despite a restricted supply of 700,000,000 tokens. While its market capitalization soared into the billions, daily trading volumes surpassed the actual supply by a considerable margin, hinting at potential manipulation through wash trading (where one entity conducts buy and sell orders to artificially inflate trading volume). Such practices are highly precarious, often resulting in significant losses for unsuspecting investors.
In the Terra Classic chain, initiatives like #MBA, #DFC, #TERRA, and even Terra Casino demonstrate sustainability. However, numerous projects within the Terra Classic Chain are fraudulent and have either failed or lack a sustainable approach.
