Key Points
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Crypto Investigator Zachxbt criticized Token2049 for criticizing bad sponsor reviews, warning that platinum sponsorship does not equal legality. Several sponsors he tagged proved to have a shady record.
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JPEX and Hyperverse use event sponsorship to predict reputation. Later, both collapsed under fraud investigations, causing billions of dollars in investor losses and arrests.
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Red flags include anonymous teams, low liquidity, exaggerated marketing, bad token learning and listings in obscure communications only.
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What drives these coins is not innovation, but speculation, influential buzz and cult-like followers, highlighting how unpredictability can promote its survival.
In the unpredictable cryptocurrency market, certain digital assets still exist despite controversy, a significant decline or a lack of basic value. Despite being marked as dark coins, they continue to attract great interest from dedicated followers. This ongoing engagement is often driven by speculative excitement, strong community support and the temptation of rapid profits.
Zachxbt is a well-known crypto detective who made some observations through his Telegram channel, which was on Token2049 sponsors of some major crypto events. He believes that organizers of such events have little due diligence on sponsors, and projects as platinum sponsors have not improved credibility. He continues to post a release on the channel about the rough Token2049 sponsor.
This article explores why some coins show excellent durability, albeit a little sketchy. It discusses five ongoing dark coins Draw crypto investors And investigated the reasons for its lifespan. It will also explain how novice traders can protect themselves from such projects.
Why dark coins have contradictions
Although the basic principles are weak, many people are suspicious Cryptocurrency Stick to the market. While most fail quickly, some survive or thrive for a short time due to specific factors. These include:
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Speculative Trading: Rapid price fluctuations attract load-bearing traders looking for fast profits.
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Specialized community: Loyal supporters are often driven by memes or nostalgia to keep these projects alive.
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Low market liquidity: Limited Trading activities Allow large investors or insiders to draw on speculator prices.
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Periodic hype: Social media trends, influencer recognition or surprise news can temporarily increase interest in these coins.
did you know? From “1,000 times guaranteed returns” to “Satellite-powered Defi,” Scammy Projects often uses flashy narratives to attract traders. When the claim is bold and without evidence, the coin may be sketchy.
5 dark coins refuse to die
Zachxbt discusses some Token2049 sponsors, which, despite opaque operations, are still in the unpredictable cryptocurrency market. He mentioned that the following coins were sketchy:
Space Coin (Space)
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origin: Spacecoin launched in 2024-2025 by Gluwa, titled Token2049, with the goal of becoming the first in the world Decentralized Physical Infrastructure Network (DEPIN) Powered by satellite. It claims its decentralized satellite network will provide global 5G internet to 2.9 billion people who currently lack access to connect the entire world.
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dispute: OnChain researcher Zachxbt labeled Spacecoin as “stimulating” and unreliable, questioning its legitimacy. Although BOTTED can be explained in many ways, the meaning is not pleasing.
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Why is suspicious: Worries surrounding pilots. For example, in June 2022, it claimed to have been undergoing months of refinement and smart contract audits without naming a specific audit company and providing public reports. Furthermore, there is no verifiable documentation regarding the launch of the satellite.
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What maintains it: Strong promotional work, sponsorship and speculative interests of events, and dedicated community and media attention keeping limited trading activities in place.
Jucoin
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origin: Jucoin, formerly Jubi, is from Singapore Cryptocurrency Exchange Founded in 2013, its Ju token and Cedefi Service Extension Its ecosystem is 2025.
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dispute: Zachxbt tagged Jucoin as a “rough” platinum sponsor of Token2049, citing historical changes in ownership, rebranding and regulatory hubs.
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Why is suspicious: Jucoin lacks regulations in major markets, although it has applied for a license in Taiwan. Except for Singapore’s monetary authorities, the project is not regulated in the United States, the EU or other major markets with strong regulatory standards.
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What maintains it: Guessing around tokens and active marketing motivation for trading activities.
WEEX
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origin: WEEX is registered in Singapore Encrypted futures The platform has been running since 2018 and offers anonymous transactions and bonus incentives.
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dispute: WEEX is not regulated by any financial institution with strict standards.
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Why is suspicious: There are social media posts complaining about abnormal behavior on exchanges, including frozen accounts and accidents Understand your customers (KYC) question.
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What maintains it: The attractiveness of futures trade, speculative interest in high yield opportunities maintains trading volume and positive promotions continue to drive.
Grow
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origin: DWF is listed as a Platinum Sponsor for Token2049 Market MakerAccording to Zachxbt, the company has traded on more than 60 exchanges and has engaged in high-profile investments. It has little public information about its background or team.
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dispute: Due to prior charges Cleaning transactions As a market maker, and more recently accusations of “carpet pulling” from Vite Labs.
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Why is suspicious: March 27, 2025, Vite Labs statement DWF’s marketing services and Binance’s decision to postpone the project was “raucous”.
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What maintains it: Meeting sponsorship, promotional narrative and recognition of speculative hype around lists Minimum transaction interest live.
Bitunix
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origin: Founded around 2021, Butunix is a cryptocurrency exchange registered in St. Vincent and the Grenadines. It offers spot and futures trading.
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dispute: Zachxbt is marked as “scratch”, which may be to conduct a review by the Financial Services Commission (FSC) by the Department of Financial Intelligence (FIU) in order to provide services to Korean customers without registration.
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Why is suspicious: Limited regulatory oversight and unclear corporate structure undermine trust.
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What maintains it: Trading volume by Niche Mountain Coinincentives and speculative traders seek rapid profits.
did you know? Companies like Certik or Hacken Audit legitimate smart contracts. Many sketchy coins claim “internal audit,” or just skip them altogether, exposing users to errors or exploits.
Previously rough project examples as sponsors
Here are two cases when the Shady Crypto project became a sponsor of famous events, just taking advantage of the credibility they gained for Dupe investors:
JPEX
Token2049 in Singapore, JPEX contribute $70,000 Become a platinum sponsor and using it looks legal. However, in mid-September 2023, after Hong Kong regulators issued a warning, JPEX abandoned the booth and disappeared from the event the next day.
Shortly thereafter, the exchange stopped withdrawal and charged an excessive fee of 999 USDT (USDT) conducted 1,000 USDT transactions and faced thousands of complaints accusing them of fraud and unauthorized. Authorities arrested several people, frozen assets and estimated investors to lose more than 1 billion Hong Kong.
Super verse
Hyperverse hosts luxury promotions including a $3,500 party at Megayacht in Florida, which includes rapper Rick Ross to enjoy prestigious cryptocurrency and Yuan Ci platform. It claims to be developing a “perfect virtual world” and promises daily returns to attract global investors.
However, U.S. regulators later revealed that the hyperverse is a Ponzi scheme This has brought investors about $1.89 billion. The main promoters, including Steven Lewis and Brenda Chunga, were charged by the Securities and Exchange Commission for running the fraudulent pyramid scheme.
did you know? Some dark coins use robots to create fake trading volume and trick platforms to rank them higher. You need to research well before investing.
Newbie traders should be wary of
For those new to cryptocurrencies, identifying suspicious coins early can prevent economic losses and stress. Here are the key factors to consider when evaluating cryptocurrencies:
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Research Team and Project History: Look for warning signs such as anonymous founders, frequent brands or lack of reputable partnerships.
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Evaluate marketing strategies: Be cautious about coins promoted through aggressive marketing, including meme-driven social media, influential and influential recognition or unrealistic claims such as “guaranteed 100x return.”
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Assess liquidity: Coins with low transaction volume or centralized ownership are susceptible to price manipulation by insiders.
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Check Token Learning: Pay attention like red flags Too much token supplynot clear Token burning process or the allocation is very favorable to insiders, which may indicate Price manipulation or scam.
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Verify exchange list: Coins listed only on little-known or bad exchanges may lack transparency.
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Investigate past issues: Study the history of any problem, such as stop withdrawal, scam or regulatory warning.
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Use reliable tools and diversify: Avoid relying solely on influencers or trend charts. Instead, use OnChain Analytics to monitor wallet activity and diversify investments to limit risk.
Shady coins often act as warnings, not real investment opportunities. They attract investors with a promise of large profits, but often hide manipulation plans, unclear team backgrounds and weak fundamentals. Despite frequent collapses or controversy in the market, these coins remain due to the unpredictable, community-oriented nature of the crypto market.
This article does not contain investment advice or advice. Every investment and trading move involves risks and readers should conduct their own research when making decisions.
