The world of cryptocurrency can be exciting and lucrative, but it is also fraught with scams and frauds. One of the most recent examples of such a scam is X-Ai Corp (XAIC) coin, which saw a sudden spike of over 2,000% over the weekend. This coin, which is named after Elon Musk’s upcoming company, is likely a pump and dump scam that piggybacks on the AI crypto project trend. In this article, we will discuss the dangers of this coin and why it is not a good investment.
What is X-Ai Corp (XAIC) Coin?
XAIC coin is an unknown cryptocurrency that appeared on PancakeSwap, a decentralized exchange, and saw a sudden and significant increase in price over the weekend. It is not affiliated with Elon Musk or Tesla in any way, but it is named after Musk’s new AI company, X.Ai Corp. While some joke coins are easy to spot, fake tokens named in some way after Elon Musk, Tesla or his new AI company X.Ai Corp can be more dangerous with all the artificial intelligence hype.
The Dangers of X-Ai Corp (XAIC) Coin
The sudden explosion of XAIC coin is likely a pump and dump scam, where the creators of the coin manipulate the price by owning the supply of tokens. These scammers take advantage of inexperienced investors and can cause significant financial losses.
According to data from Coinbrain, the 24-hour volume that caused the XAIC price to pump over 2,000% this weekend is actually minimal, and its verified liquidity is tiny. In other words, even if you make a profit, you will have difficulty selling any significant amount of XAIC tokens without slippage. Large orders won’t get filled at a given XAIC price. Furthermore, XAIC token could also dump as quickly as it pumped – when the holders of most of the XAIC supply sell and ‘pull the rug’.
Elon Musk has not announced any upcoming crypto project he backs, only ever lending his support to Dogecoin and Bitcoin. Many new coins on PancakeSwap that name themselves after the billionaire SpaceX founder are malicious, with some even having manipulated smart contracts that prevent buyers from being able to sell.
It is essential to note that investing FOMO’ing into a coin up thousands of percent is usually a recipe for disaster. Instead, it is better to stick to new coin listings on centralized exchanges (CEX) platforms rather than DEXes, unless you’re an experienced trader. Our X-Ai Corp prediction is for it to fully retrace, eventually – some rugpulls like 2022’s Bitsubishi (BITSU) pumped for days on thin order books.
Best Crypto to Buy Now
Investing in a new cryptocurrency early in its roadmap with high upside potential is usually a winning strategy – as long as the project is legitimate. CryptoNews has reviewed many upcoming crypto launches still at the presale stage, which have a public team behind them.
One of the most hotly anticipated projects of 2023 is Love Hate Inu (LHINU), which has now raised close to $5 million in its presale. Its CEO is doxxed – Carl Dawkins is a veteran in the cryptocurrency space, having worked with a range of brands and exchanges and been a speaker at blockchain conferences around the world. Featured on Yahoo Finance, Bitcoinist, Finbold and a range of other media outlets as the best crypto to buy now, analysts have highlighted its vote to earn utility as bringing something new to the meme coin space.
In conclusion, investing in X-Ai Corp (XAIC) coin is a risky venture that could lead to significant financial losses. While it is tempting to invest in a coin that sees sudden and significant spikes in price, it is crucial to do your research and invest in legitimate projects with public teams behind them. The best strategy is to invest in new cryptocurrencies early in their roadmaps for high upside potential. But be sure to only invest what you can afford to lose and always practice due diligence.