The curious case of crypto rankings : substance vs speculation

In the cryptocurrency world, there is a lot of discussion over cryptocurrency rankings some people think rankings are crucial because they guide investors in choosing the best projects to fund others think rankings are irrelevant and that investors should concentrate on the core aspects of each enterprise.

Rankings of cryptocurrencies are frequently criticized for being based more on speculation than substance. Some rankings for instance are determined by market capitalization which is just the sum of the values of all currencies or tokens in circulation this implies that even if a project has little to no real world value it might score highly if there are a lot of currencies or tokens in use.

The case of bitconnect ( bcc ) is one instance of irony in the field of crypto rankings. In 2016 the cryptocurrency bcc was introduced it gained popularity swiftly and amassed a market value of around $3b however it was discovered in 2018 that bcc was a ponzi scheme bcc's founders promised investors significant returns on their investments but in reality they used funds from new investors to recoup funds from previous investors bcc plummeted as a result causing enormous losses for investors.

Investors need to exercise caution when considering projects with significant market capitalization a project may have a big market value but it does not automatically make it a wise investment.

For instance bcc was a ponzi scam even though it had a substantial market capitalization.

Those who think crypto rankings are significant contend that they might aid investors in locating the most well liked and reputable projects.

It's likely that the discussion over cryptocurrency rankings will last for some time both sides of the argument have strong points to make. Utilizing crypto rankings for making investment selections is ultimately up to each individual investor.

For some investors cryptocurrency rankings might be helpful but they shouldn't be the only source of information, before choosing an investment, investors should take the fundamentals of each project into account.

Given the risks associated with cryptocurrency rankings, what other factors should investors consider when making investment decisions? Tvl is 1 of the important ones imo