The false prosperity of $415 million? Super 30% cryptocurrency item no longer updates code

GitHub and development activities are one of the indicators for measuring the status of cryptocurrency startups. Tracking codebase activity is very important, and regular codebase activities show the promise of the project, and it is necessary to get the investor's trust in the project.

Some code bases are very active, especially around some key activities.

Crypto

But in many cryptocurrency projects, as many as 32% of projects did not release any single line of code in 2019. According to Coincodecap's research on 2,000 startups and 16,000 code bases, 640 completely stopped their activities. Many of these assets are rolled out on multiple exchanges, including centralized and decentralized exchanges, with market capitalization of millions of dollars.

The last update time for these 640 cryptographic currency code bases is as follows:

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This number is not surprising, with only a few projects taking the top spot on the number of GitHub code submissions. However, this sign is disturbing, and many startups are either obscured or simply fail.

Coincodecap commented:

"The cryptocurrency field is full of lies and bad checks. To make this ecology better, we need to eliminate projects that don't deliver on promises to investors."

According to Coincodecap analysis, the crypto assets of inactive projects have a market capitalization of $415 million. The most striking example is the Proton project, which has not released new code since 2018. There is also a coin BQTX Github with almost no code, but the market value is more than 45 million US dollars.

One of the reasons for the inactivity of these projects is that it is too simple to create a brand new blockchain project, especially based on the tokens of the Ethereum network. In the past, many projects have promised to launch their own main network, but few projects have chosen to create new networks during the competitive bear market.

But even more active projects have slowed their pace. The number of code submissions in mainstream currencies like BCH and Monroe has decreased. The top ranked Komodo and Lisk activity has also decreased.

However, many projects that are not active on GitHub are popular on some exchanges, and some transactions are usually willing to go online with some unknown projects. YoBit is one of them. The 62 tokens on the exchange did not write a single line this year.

Most exchanges such as YoBit are unable to earn enough revenue from the transaction, so they charge a high amount of the currency fee. This behavior is harmful to the entire industry. As more and more investors are victimized, regulators will track these exchanges and assets. Self-regulated markets must consciously maintain integrity and not expose customers to these harmful assets.

At the same time as code output slowed, most cryptocurrency projects also lost their advantage, especially those that raised funds during the market boom. Ethereum has fallen below $200 and many projects are unable to meet its development needs.

In the world of cryptocurrencies, the demise of projects is nothing new. But for now, most inactive startups have at least a bit of trading volume.