Crypto tokens, especially alt tokens, are known for their sudden sporadic volatility. Volatility in assets is what can lead to nightmarish losses but also stratospheric gains. The multifold gains made by those who hit the jackpot by choosing the right coins is what motivates many cryptocurrency investors to go for altcoins.
Now, after Shiba Inu (SHIB), Dogecoin and others, a new dog-based cryptocurrency has become the latest token to see crazy returns in an incredibly short span of time. The Shih Tzu (SHIH) token, named after the eponymous breed of tiny dogs that originated in China, went on a wild two-hour rally on November 22. The token saw its value rise to $0.00005477, up from $0.000000009105, an increase of 6,01,438 percent, with trading volume increasing by 65 percent across major cryptocurrency exchanges.
Also read: Most cryptocurrencies will not survive; pose same problem as unregulated chit funds: Raghuram Rajan
The price movement of the SHIH token seems unexplained and sudden, with many sceptics calling for caution on such tokens. Kokoswap, Ethereum Meta and ARC Governance were also some of the other tokens that saw a sudden and unexplained rise in their prices.
“The price rally does not seem sustainable at this point in time. It’s just cashing in on the NFT and metaverse gaming momentum,” said Sharat Chandra, a blockchain and emerging tech evangelist, told ET.
Also read: India to ban all private cryptocurrencies in Parliament’s Winter session
The popularity of cryptocurrency and the rise in the value of major cryptocurrency tokens like Bitcoin, Ethereum and others have also led to an increase in the popularity of scam coins. The recent Squid Game Token scam saw investors lose millions, and others, like Dubai Coin, also capitalised on established names to scam investors.
Also read: A crypto token based on Netflix’s Squid Game is up 2,400% in 24 hours
The token’s website claims that it works on an Ethereum and Binance blockchain.
“Shih-Tzu token is an ERC-20/BEP20 token built on Ethereum and Binance Smart Chain that focuses on improving the quality of life, and ultimately the happiness, of animals and critters across the globe. With a strong and ever-growing community, we advocate and donate to animal rights support groups, advocates, and causes,” read the website.
Also read: Crypto Scams: What they are, how to recognise them and stay safe