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When and how do cryptocurrencies fail?

When and how do cryptocurrencies fail?

Ever since Bitcoin became popular and a larger number of people started to believe that cryptocurrencies had a clear future, a large number of altcoins, also known as bitcoin-alternatives started being developed. With this in mind, along the last couple of years, there have been tons of different coins developed, some of which became prominent figures in the industry, whereas other failed miserably.

However, what is it that can make a cryptocurrency with a bright future lose its popularity, or just fail and disappear? In order to put things better into perspective, we’ll leave bitcoin aside for this article, and discuss about a different cryptocurrency, known as Digitalcoin.

After being created a few years back, Digitalcoin was known for bringing in a couple of great benefits that other cryptocurrencies were not able to provide their users with. DGC is basically an established cryptocurrency with a transparent history, which also has a team that currently ensures the stability and health of the network through evolving policies. Thanks to this, excitement started to build up around it, especially after being presented at a couple of crypto-related conventions, and being welcomed open-heartedly. Shortly, DGC started having an important influence on the market and received a great number of followers, many of whom are still here today. One of the biggest hits that the cryptocurrency had received is that the creator was apparently robbed out of 560,000 DGCs, which if transformed in fiat or Bitcoin, meant quite a lot of money at that moment in time. The causes behind this are still mysterious, mostly due to the fact that most of the coins were dumped shortly. With this in mind, whoever dumped the coins clearly had no confidence in DGC’s future, and thought that he/she could end the currency’s growth with this move. Not only did he scare off many of the followers, but he also had a negative impact on the future developments of Digitalcoin.

After a while, the Digitalcoin Foundation was formed, led by kenel, which then took over the development of the coin, thus assuming full responsibility for its future. Not long ago, the President decided to step down, stating that the currency was not in need of a leader to evolve. This was considered a cop out by many, especially because of the fact that DGC is now terribly in need of a new leader, to give the coin some guidance, and make sure that it rises to the position that it was in, prior to the dump. Unfortunately, no one in the Foundation is currently willing to assume responsibility and step up, so this is why someone else will have to get involved in the Digitalcoin market, and then offer as a volunteer, to be President of the Foundation. While anyone is free to try, the person who will be chosen will need to have great leadership skills, and also a great understanding in the inner workings on the cryptocurrency. If the right person is found, then Digitalcoin has great chances of being one of the top 10 cryptocurrencies, hence powering the financial crypto-based market.

What’s interesting is that Digitalcoin is not the only cryptocurrency to have experienced such a fall. Based on what has been outlined so far, robberies, currency dumps, the failure of believing in the future of a coin together with bad planning and leadership are just a few of the main reasons why so many cryptocurrencies have fallen so far.  

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