Why do these weed related coins rapidly increase in value 1 hour, then fall right back down the next hour?
I am relatively new to trading crypto-currencies, however, I am aware of the term PND (pump and dump) and can see that these weed name related coins are a massive hit for that type of trade.
What I have been thinking about laterly though, is if one of these actual coins has a solid project, a platform perhaps and a vision that can be matched by a team. I have recently invested in Paragon tokens, which again is another weed related coin - but they looked to have a strong understanding of the up and coming weed industry and how technology such as blockchain could benefit investors.
I am not yet sold on Paragon, and so would like to open up the debate to the community to see what information is out there to justify investing in any of these type of coins.
From my own research this is what I have found out:
HempCoin (THC)
HempCoin was among the first 30 currencies developed in 2014 and is a highly focused digital currency for the Agriculture/Farming Industry and Marijuana/Hemp Industry, built on the source of Bitcoin, its use includes the Marijuana dispensaries and the entire Agriculture/Farming trade business.
Basically, HempCoin is a digital asset designed to facilitate transactions between farmers, distributors, and dispensaries.
Website: YES
Wallet: YES
RoadMap: NO
Proof-Of-Stake: YES
They are semi-active on facebook and other social media platforms, however, a lot of the talk is just about gains, and no real development work.
I can't be sure, but from what I read, it does have a use and if adopted, might be worth a small holding position, but due to the lack of info, this coin seems best to PND, get in low, and sell high if you don't miss the regular pumps that are going on.
DopeCoin (DOPE)
Apperently the first decentralized, cannabis-themed digital asset providing a payment and banking solution for the legal marijuana industry.
They believe DOPE coin is scalable, secure and is a proof-of-stake coin which helps save on costs.
There is limited information around to suggest how active the team is and where there roadmap is going, it is obviously dependant on cannabis being legalized in more states and countries to allow for a payment system using dopecoins to be adopted.
You can't currently purchase weed with this coin.
More research reqiured.
Wallet: Not sure - Cant access their site right now?
PotCoin (POT)
PotCoin is an ultra-secure digital cryptocurrency, network and banking solution for the $100 billion global legal marijuana industry.
PotCoin is the first digital currency created to facilitate transactions within the legalized cannabis industry. PotCoin is a community based effort.
PotCoins are digital coins you can send via the internet, which allow cannabis enthusiasts to interact, transact, communicate and grow together.
Wallet:YES
Developer resources: YES! - Source Code, Bloc Explorer, API, JS, WordPress, Marketing Tools...
Looks good and active from a developers point of view, and is community driven.
Roadmap: Yes
This one looks more substantial than the others from the surface, but more digging around is required, however, I would currently on first inspection, invest more in this coin than the others.
I'd be interested in what others think - for me, I'd like to get a more technical analysis on the trading of this coin and also some more insight into the roadmap and what is to come to help with future growth predictions.
As it stands, POTCoin is worth:
0.00001795 BTC
Have a good day all.
Thanks
Michael