While 2021 was a 12 months of highs, cryptocurrency buyers skilled a significant pullback in 2022. While Bitcoin plummeted 66%, different investments misplaced virtually all of their worth.
Among the worst cryptocurrencies of 2022 Earth (MOON)now referred to as Terra Classic (LUNC)and your stablecoin TerraUSD (US)has additionally been renamed Classic.
Next, the signal FTT: from a bankrupt FTX dealer completes this much less memorable podium, adopted by different giants akin to Solana (SUN)🇧🇷 Axie Infinity (AXS) and: Sandbox (Sand).
Earth Fiasco (LUNA)
Cryptocurrencies have been already in a steep decline since November 2021, when the Fed began elevating rates of interest, however issues bought a lot worse in May 2022.
On that date, the UST algorithmic stablecoin misplaced parity with the greenback, reaching $0.05 in the identical month. As a consequence, Earth (LUNA) additionally collapsed as a result of mechanism linking these two cryptocurrencies.
In whole, round BRL 310 billion evaporated from the market as LUNA and UST misplaced 99.99% and 97.88% of their values respectively.
The chapter of FTX
Rounding out the highest three worst cryptocurrencies of 2022 is FTT, the FTX dealer token. After knowledge confirmed that a good portion of Alameda Research’s portfolio was made up of FTT, a number of rumors surfaced that FTX could be bancrupt.
The looting rush ended just a few days later confirming the rumors, resulting in the chapter of FTX and a minimum of 130 different firms on this empire. As a outcome, the FTT token misplaced 97.77% of its worth, and it appears a miracle that it hasn’t hit zero but.
Already in latest weeks, the manager director of Alameda Research has admitted that he dedicated fraud. Meanwhile, FTX founder Sam Bankman-Fried (SBF), was arrested within the Bahamas and extradited to the US, however was launched on BRL 1.2 billion bail.
Another affected by the FTX crash was the Solana (SOL) cryptocurrency, which is closely supported by SBF. Losing 94.36% of its worth for the 12 months, SOL was one of the worst investments of 2022.
ETHW, Ethereum that did not work
Although it was a promising 12 months for Armenia Ethereum:Vitalik Buterin’s cryptocurrency closed the 12 months down 70%, abandoning updates from The Merge.
However, the most important loser was Ethereum PoW (ETHW), which was created by the group after ETH’s migration to Proof-of-Stake in an effort to maintain mining alive.
Without any leverage, ETHW not solely dropped by 97.6%, however turned a fad for scammers. In different phrases, the long run of this cryptocurrency is difficult to think about in 2023.
Finally, metaverse cryptocurrencies have been others that didn’t do effectively in 2022. The eponymous token of the Axie Infinity recreation, thought-about the chief within the P2E sector, misplaced 93.6% of its worth, much like SLP, one other token on this vary.
In addition to the weakening of the metaverse, which additionally diminished The Sandbox (SAND) by 93%, it’s price remembering that Axie Infinity was the sufferer of one of the most important hacks in historical past, dropping 3 billion BRL on the Ronin community.
Finally, different lesser-known cryptocurrencies additionally noticed big losses in 2022. Helium, which was faraway from Binance in October, ended the 12 months down 95%. However, it’s clear that different smaller cryptocurrencies have carried out even worse, dropping 100% of their worth.
Therefore, this most up-to-date bear cycle has made one other clear sweep available in the market. Analysts say the trade has potential, however many tasks are prone to fizzle out, identical to the Internet increase of the 2000s.
The 10 Worst Cryptocurrencies of 2022
- THE MOON