Top 10 Cryptos on the SLP Blockchain
The SLP (Simple Ledger Protocol) that runs on the Bitcoin Cash blockchain has made it incredibly easy for anyone to create and issue their own cryptocurrency with very little cost or technical skill. On one hand, this democratization of coin issuance encourages innovation by allowing anyone to create an idea, issue a token, and let the public decide whether or not to support the project. At the same time, the low barriers to entry make it easy to create worthless tokens that lack direction or a comprehensive value plan. The ease of creating tokens makes SLP blockchain the wild west of cryptocurrency, and great tokens with a solid vision and dedicated team can be found right beside outright scams. In today's article, we will briefly examine the merits of the top 10 SLP cryptos issued on the Bitcoin Cash blockchain.
https://lbry.tv/slp-tokens:4c154a8067134be60a2d27ae881be0245577c875?src=embed
The Lineup
For this article, we will be discussing the top 10 cryptos listed on Memo.cash as of 07/16/2020. I just want to point out that this is the top 10 by market cap and does not reflect my personal feelings about the most valuable or useful SLP tokens.
Slipper
Unfortunately, the very first coin listed on Memo.cash is also one of the most suspect. Although the Slipper token (SLPPR) has the largest market cap, it has earned this market cap by cleverly tricking the market cap algorithm. The most simplistic way of calculating market cap is to multiply the total supply by the current price. This method assumes that each token can be sold at the current price, which leaves it vulnerable to manipulation. For example, SLPPR has a market cap of 9,223,371,036,854,775,808 tokens. However, it only has a single completed transaction where a mere 25 Billion sats were sold (to the same person) at an average price of .000001 BCH. Due to the way the algorithm works, SLPR is listed as the #1 token even though it has virtually no transaction history, no linked webpage, and can't even be discovered in Google search results. In fact, the simple ledger block explorer shows that this token only has two valid addresses. I'm not sure what is going on with this token. It might be some glitch in the system, or the token might just be trying to cash in on being the #1 by market cap, but this is one of those tokens that makes me a bit leery.
Zapt
Although SLPPR started out on the wrong foot, ZAPT comes in second place and is a far better token IMO. Zappit is a Bitcoin Cash cryptocurrency wallet that also supports SLP tokens. The wallet allows users to store, send, and receive funds and has a functioning website. The ZAPT token gives users the ability to instantly convert their Bitcoin Cash to the USDH stablecoin directly in the wallet, so it does have an actual use case, although that use case is dependent upon the user base of the Zapit wallet itself. ZAPT has a decent transaction history to back up its position as the #2 token on the list and an actual use case for the token.
Renw Token (RNEW)
As we move down the list, we come to one of my favorite SLP tokens. The Renew token is designed to encourage the adoption of renewable energy by paying users for installing solar panels, using wind turbines, and taking other measures to produce renewable energy. It has a functioning website, a solid goal, and a good transaction history to back up its place as the #3 SLP token.
GAB
The GAB token comes in at #4 on the list, but this token is a bit of a mystery. The listing on Memo.cash doesn't link to an official webpage or white paper but instead contains an un-clickable crown emoji. I tried finding info on the token on Uptrennd, Publish0x, and Twitter, but couldn't find out much. The SLP block explorer does show some recent transaction history, but that's about it. I don't know if this token is affiliated with the Gab.ai social media site or not. Without more information, I can't really say much about the merits of this token.
Tether USDt
Coming in at #5 is Tether. Tether is one of the most widely recognized stablecoins and has countless trading pairs across a variety of DeFi protocols, exchanges, and DEXs. It has a strong transaction history and a functioning website. This version of Tether is compatible with the Bitcoin Cash blockchain and the SLP protocol which gives me great hope that we will see some BCH based DeFi applications coming in the near future.
VNT
Unfortunately, the Vent token is another token that doesn't have a lot of info available. The Memo listing doesn't link to a website, whitepaper, or even a social media account. I was able to find a fully functioning website and a reference to a VNT chain on Etherscan, but since VNT is an SLP token and Etherscan tracks ERC-20 tokens, I'm betting that they are two different things. It is possible that the VNT listed on Memo could be an SLP compatible version of the VNT Chain described on Etherscan, but with the lack of info, I can't say for sure.
Honest Coin USDH
The Honest Coin stablecoin comes in at #7 on the list. Those of you who follow my work know that I believe a reliable stable coin is one of the key ingredients to on boarding new crypto users and is a requirement for a functioning DeFi ecosystem, so I'm glad to see that the SLP blockchain has another functioning stablecoin in addition to Tether. The website is functional, but some of the links redirect to a foreign language which is odd.
USDH is listed on several exchanges, but trading volume is quite low, and several days can pass between filled orders on the Bitcoin.com exchange. At the same time, the SLP block explorer does show several transactions today. Interestingly, this token is related to the #2 ZAPT token. When users of the Zapit wallet convert their BCH to a stablecoin, USDH is the stablecoin that they receive.
🍞
I don't even know how to pronounce #8. It appears to be a bread emoji, but there is no link to an official document. I can't even find the token on the SLP block explorer because there are several other tokens using the bread emoji in their token name. I'm not sure what the purpose of this token is.
SOUR
The SOUR token is designed to reward people for promoting BCH and SLP token usage, so it does have a certain use case. Moreover, users can earn extra SOUR by holding SOUR for an extended time, and they can spend SOUR on the SOUR store to get some merchandise. In some ways, it does remind me of Banano as it is a fun-focused crypto that is designed to promote crypto usage and adoption.
SPARE
The SPARE token rounds out the top 10, and is, unfortunately, another one of those SLP tokens that doesn't give a lot of information. Although the token does link to an official webpage, the linked webpage appears to go to some type of aggregated webpage and not a SPARE specific domain. I wasn't able to find info about SPARE on Google, so I once again can't give a verdict on this coin.
Summary
The phrase "caveat emptor" which translates to "buyer beware" should be every crypto investor's guiding principle. Investing in crypto brings the possibility of great rewards but also great risks to the overly eager and uninformed. Investing in mainstream, large cap cryptos like ETH and BTC demands significant research, but the importance of due diligence and research is even more important when dealing with small cap tokens that have virtually no barriers to entry. As shown in this analysis, the freedom and low barriers to entry allow almost anyone to come up with an idea, pitch their dream to the global crypto community, and issue their token. Invariably, some of these tokens will be great ideas, some will be lousy, some will be scams, and the vast majority will fall somewhere in between. Always do your own in-depth research, and don't blindly trust "Top 10" lists, influencer opinions, or advertisements to make your investing decisions.
Resources
https://memo.cash/token/market-cap
https://www.renewable.cash/#about
https://etherscan.io/token/0x69d2779533a4d2c780639713558b2cc98c46a9b7
https://exchange.bitcoin.com/BCH-to-USDH
https://keepbitcoinfree.org/SOUR/
Image Credit
nice good job