Dead coins are usually coins that have lost value to the point of being forgotten or even being abandoned by the project developers and the community. Dead coins most times have very low or no market cap, no active nodes, no trading volume and are delisted from exchanges if they ever traded on one. Most dead coins at one time had an active community and early investors who believed in the project but unfortunately they got turned to bagholders. There are various reasons that can make a project fail. It could be that the team has little or no experience, they failed to deliver their promises, bad advisors, people left because the team was not following their roadmap or the project was an outright scam or a joke made to mock other coins. It could also be that the team could not raise enough funds so they had to abandon the project. Many factors can easily influence the progress or death of a coin. An influential crypto personality person can even make people lose their confidence in a project and abandon it just by constantly posting negative tweets about the project.
However, because there are no regulatory or central institutions dictating the value of coins, dead coins can be revived. Instead of deleting the wallet entirely or discarding login details, it is better to hold on because anything can happen. Dead coins are best described as dormant because they still stand a chance of being revived. A team of cryptocurrency experts carried out an in-depth research and decided to clean up the crypto market and restore value to bagholders. They built a project called CoinJanitor.
CoinJanitor is a crypto based project that proposes to solve the problem of numerous dead coins and unlocking the value trapped in them by enabling a transfer to other successful crypto networks. They will also eliminate these dead coins entirely by burning them. When value is restored to owners or users of those dead coins, they can trade the new tokens thereby releasing value to the general crypto market. CoinJanitor intends to process and recycle dead coins in a user-friendly way.
How Does CoinJanitor Work?
To start with, CoinJanitor carried out diligent research to find a general definition of a dead coin by checking previous discussions on the topic, GitHub repositaries, discussions with popular and early crypto adopters as well as coin developers and trying to come up with an activity score for coins. They discovered that there is no common definition for a dead coin therefore, they will use public discussions which they will initiate and sustain. It is noteworthy that CoinJanitor will not take action to revive a coin without the full cooperation and support of the project owners and communities involved. CoinJanitor will also have their own parameters that they use to decide whether a coin is suitable or not. Their criteria are as follows:
- The coin Must Not be listed on any exchange.
- The coin should be one that uses a Proof of Work (POW) consensus algorithm
- The coin's market cap must be under $50,000 USD
- The coin must be at least 2 years old
- The project owners should be contactable and willing to work with CoinJanitor
The CoinJanitor approach is more economic than technical. The CoinJanitor team created a token (JAN) that will serve as a convertible asset for users or owners of dead coins. Dead coins will be swapped with JAN tokens and users will then be able to trade their JAN tokens with bitcoin or any desired crypto thus releasing value into the market again. The swapped dead coins which CoinJanitor receives will be burned and the failed projects that meet the requirements will be amalgamated into one project under CoinJanitor.
Creating their own token may sound like CoinJanitor is just another project with their own token but their approach makes sense when you think about it. There are hundreds or even thousands of failed projects and dead coins that just lie useless in the crypto market. Merging failed projects into one while giving holders the opportunity to swap a worthless token with a token that has value is a great idea and that is what CoinJanitor does. Their approach helps to clean up the mess left behind by failed projects while restoring value to investors.
Basically, CoinJanitor is buying back delisted tokens, recycling them into one project and burning up old dead coins. As the project progresses, there will be many more tools for restoring value to owners and the CoinJanitor community can contribute suggestions for new tools that can be used to achieve the CoinJanitor objective.
The CoinJanitor Token (JAN)
JAN tokens are Erc20 tokens that uses the proof of stake (POS) consensus algorithm built on ethereum. Although CoinJanitor targets POW tokens, they found POS tokens more effective in order to achieve their aim in good time. Using a corresponding POW coin to restore failed projects would require an independent blockchain and expensive mining resources to be among the top ranked coins. Using POS Erc20 tokens allows CoinJanitor to focus on the economic aspect of their project so that they can utilize their time better. They can decide to create a POW coin in future but for now, they will use Erc20 tokens. This is not an attempt to force people who prefer POW tokens to move to POS. It is even more reassuring that they are focusing on delivering their project promises first.
The CoinJanitor Team
The CoinJanitor team is made up of early crypto adopters who have years of experience in relevant fields. The CEO, Marc Kenigsberg founded two blockchain based companies – BlockSmarter and Bitcoin Chaser. He is also one of the renowned ICO advisors worldwide and speaks regularly at blockchain conferences.
Asaf Yosifov, the CTO of CoinJanitor has 16 years of experience in software development and is the head of innovation at a top innovation company. Other key members include Tzahi Kanza, Tzvi Shishler, Theo Morgan-Somers and Steven Gleiser. They also have analysts, researchers and community managers who work hand in hand with them.
Visit the CoinJanitor official website or any of the following links for more information:
Website: https://www.coinjanitor.io/
· Products & Services: https://www.coinjanitor.io/#how-it-works
· Link to a press release: https://www.trustnodes.com/2018/04/27/press-release-coinjanitor-project-charge-cleaning-cryptocurrency-markets-dead-coins
· Next event: https://www.decentralized.com
· Facebook: https://www.facebook.com/CoinJanitor-201490483964845/
· Medium: https://medium.com/@CoinJanitor
· Twitter: https://twitter.com/CoinJanitor