Las Vegas resident Glauber Contessoto, famously known as the "Dogecoin Millionaire,” took to his social media account to throw light on the concept of fair launches in the crypto markets.
What Happened: The heavily followed trader argues that the presence of snipers and bots has created an uneven playing field, making it nearly impossible for average investors to compete.
"These days, there is no such thing as a fair launch," Contessoto asserts. "Snipers, people who use bots and are fucking professional at it, are who you’re going against when a coin launches." He emphasizes that, this cannot be considered a fair launch, as these players are not adhering to the same rules as regular investors.
He further warns that attempting to participate in these launches is a surefire way to lose money, stating, "They’re not playing by the same rules as you, and you will lose money 100% of the time. Stop being completely delusional." He paints a picture of snipers waiting on the sidelines, ready to "crush and destroy a project the second it goes live."
Also Read: Meme Coins Are ‘A Pure Ponzi’ And ‘Destroying Crypto,’ Says Trader Who Thinks Dogecoin Was Different
Why It Matters: For the betterment of the situation, Contessoto suggests that the best outcome investors can hope for is to support projects with solid teams that understand the challenges posed by snipers and bots.
He advises teams to take proactive measures to protect their projects and communities. They could buy up most of the supply and distribute it over time, allowing the project to grow naturally with a thriving community as the market cap rises.
His suggestion to investors is to focus on these types of projects rather than chasing the so-called "fair launches" that are vulnerable to snipers and bots. He also warns that as soon as the snipers dump their bags within hours of launch, they move on to the next coin that they can demolish and make endless money.
Contessoto famously watched his fortune take a drastic plunge from $3 million to as low as $50,000 when he did not sell his Dogecoin DOGE/USD holdings after a massive run-up.
What’s Next: The influence of meme coins and Bitcoin as an institutional asset class is expected to be thoroughly explored at Benzinga’s upcoming Future of Digital Assets event on Nov. 19.
This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Image: Shutterstock
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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