### Beware of Risky Altcoins: Protect Your Investments

Did you know 98% of altcoins are unlikely to grow? Investing $10,000 in $AXS in November 2021 would leave you with only $382.5 today. Here’s a guide on avoiding risky tokens and making smarter investments.

#### Key Factors to Analyze Before Investing:

- Market Cap (MC)

- Fully Diluted Valuation (FDV)

- Future Unlocks

- Token Demand

- Sector (Narrative)

Understanding these aspects can help identify promising tokens and avoid financial losses.

#### Types of Altcoins to Avoid:

1. Outdated and Overvalued Projects: These often lack real technology and lose value over time.

2. Projects Tied to Past Narratives: High FDV, low market cap, and constant selling pressure make these tokens poor investments.

3. Tokens with Artificially Inflated Prices: Controlled by teams or VCs, leading to manipulated valuations.

#### Top 8 Risky Tokens to Avoid:

1. XMR (Monero): Known for anonymity, but stagnant since 2022 and facing potential bans.

2. FLOW: Initially promising for Web3 and NFTs, but interest has waned.

3. XRP (Ripple): Overhyped, unnecessary fork of BTC with inflated valuation.

4. ADA (Cardano): Loyal community but lacks substantial progress.

5. AXS (Axie Infinity): The hype around play-to-earn tokens has faded.

6. DYDX: Suffering from constant selling pressure due to token unlocks.

7. WLD (Worldcoin): Controlled supply and insiders offloading it make it risky.

8. BCH (Bitcoin Cash): Essentially a redundant fork of Bitcoin.

To protect your investments, distinguish between junk and gems, and avoid these tokens destined for failure. This is just my personal opinion, so always do your own research.