Just Because a Crypto Project Fails Does Not Mean it is a Scam or Shitcoin

Shitcoin.

Shitcoin is what many people call most cryptos. No one can deny that there are a lot of crypto "projects" that are not real projects and are scams. These deserve to be called shitcoins since that is what they are, and they provide no benefit to the crypto-sphere.

Still, this is not where people stop when they talk about a crypto being a shitcoin. The fact is that almost all cryptos fit the definition of a startup. There is a reason why in the US, you need to be a qualified investor to invest in startup companies. Most Startups Fail. This is true in crypto and out of crypto.

• 90% of startups fail¹
• 75% of venture-backed startups fail¹

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90% of Crypto Projects are Expected to Fail

Taking these stats, it is realistic to say that 75% of venture back cryptos will fail and 90% of crypto projects overall will fail. The actual numbers for crypto projects show that 92% have failed².

All startups that fail are not shitcompanies that offered shitshares. The thing is that most of us here are not allowed to invest in "normal startup companies," but we can invest in crypto startups (unless Gary Gensler has his ways). It should be expected that most crypto projects will fail. Having venture capital money over doubles the chance that a project will not fail, but it likely will still have a 75% failure rate.

When we talk about legit crypto projects as shitcoins**, we are not helping crypto adoption and perpetuating the news that the media portrays as crypto being a scam.**

We should not be referring to legit projects that are trying as shitcoins, even if there is a good chance they will fail. Now, there are A LOT of cryptos out there that are not real projects; these are the true shitcoins of crypto and should be labeled as such.

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1: https://review42.com/resources/what-percentage-of-startups-fail/

2: https://zycrypto.com/why-are-most-crypto-projects-destined-to-fail/