The CryptoCurrency Facts on Verge
Here are the cryptocurrency facts (see the title of our site) on Verge:
First off, check out this official Verge Tweet which confirms what you heard on social media was pure FUD designed to bring the price down:
There are rumors being spread on the internets that @justinvendetta hasn’t been communicating for long time and that #WraithProtocol isn’t real. This is utter non-sense and pure FUD in attempts to create panic and bring down #Verge price and reputation. Things are on track.#xvg
— vergecurrency (@vergecurrency) December 26, 2017
Now you know. If you believed the FUD and panic sold, you have been tricked (or Verge is tricking us all, which seems way less likely).
Lucky for you, if you did panic sell or if you had been kicking yourself for not picking up some of this newly popular coin, Verge is still cheap (compared to its all time high) at this moment.
One can argue that “cheap” isn’t the right word after seeing an 800% increase, but clearly that sort of increase is common enough in crypto to where we shouldn’t be dismissive based on a fact like that either.
Anyways, speculating on price is not the point of the article, the point is the price has come down considerably from its all time high (thus for those who want to re-enter, the price is still attractive compared to where it was for the moment).
Now onto clearing up the rest of the FUD.
Verge’s roots as a Dogecoin fork (known since 2014):
Update April 2018: Verge was originally called DogecoinDark (DOGED). I had at some point read it was a Dogecoin fork and seem to have taken that at face value… however, this seems to be debated. Upon further thought it appears the Dogecoin name has more to do with them capitalizing on the Dogecoin joke than it does with the origin of the code being rooted in Dogecoin. What a rabbit hole. I get why they changed their name to Verge. The rest of the page has not been edited to reflect this. 🙂
Many did not know, but now they do, Verge is a dogecoin fork that occurred in 2014 (it used to be called dogecoin dark until around Feb 2016; there is also a bitcoin dark and ether dark, it was a trend for a while, all are privacy versions of the given longstanding and popular coins). That is the sort of thing you should have known before buying Verge (part of the “research” one is supposed to do before they buy random coins mentioned in Tweets 😉 ).
Dogecoin gets made fun of because it was originally meant as a joke. However, “the joke” was that one could just take Bitcoin, change a few lines of code, and slap a doge meme on it, and create a new currency. Turns out, that was true. Dogecoin is far from worthless (honestly, it is essentially Bitcoin with a few tweaks and a doge meme, its value per coin is low, but that is because it has a sort of absurdly large supply)… If it weren’t for the joke origins, I would argue that dogecoin might be undervalued given all this (and if we consider Verge better than doge given its more serious tone and tweaks, we might argue Verge is even more undervalued as it has only a slightly higher price but a much lower supply).
Further, where dogecoin is a joke, the dogecoin dark fork (AKA Verge) really isn’t. Its a decent coin focused on privacy. Since doge’s code wasn’t a joke at its core, and since many coins are forked from the main longstanding coins, one has to question if it even matters?
— DogecoinDark (@Dogedcoin) February 15, 2016
Questioning Wraith and the Devs (old news and fake news):
Part of the FUD that got spread was this idea that a new privacy related update (“the Wraith protocol”) for Verge was not going to happen (as in the past the devs dropped the ball on that). Well, it is true that the devs dropped the ball in the past, but it does not mean that this will happen again. The update is slated by the end of Q4 2017, it is not the end of Q4 2017 yet. So guessing that it won’t happen is speculation. And again, this whole back story of Verge was easy to find with a little research.
— vergecurrency (@vergecurrency) December 20, 2017
But Why Would People on the Internet Lie To Me?!
To reiterate the above, all the FUD spread was based on old news.
It was just really just the reframing of information people should have known from their research designed to spark fear into the hearts of new investors.
It was predatory, but it was common for the crypto space.
When a coin goes too far too fast, the sharks come in and try to shake out weak hands… so they can buy up the coins of panicked investors cheap (otherwise it would just be a bunch of newcomers holding their Verge to the grave with hopes of big profits).
It isn’t cool, but it is the deal, and as I said, it is common.
In other words, why would someone spread old news about a coin that had skyrocketed to the top of the charts by market cap? Again, there aren’t may answers other than: To drop the price down so they can load up and then spread hype so they can pump the price again.
The cynics and pump and dump groups at best had already sold most of their Verge by the time it hit its all time high.
Someone had to bring Verge down so the shady-bunch could re-enter the market and cause more havoc for the average investor. The only real tools they have are 1. dumping their remaining coins to push the market down and 2. spreading FUD to push the market down.
Anyway, the FUD and dump worked and Verge lost half its value on Christmas (Merry Christmas newcomer to the crypto space).
Some of that value may have been the result of hype (and was thus Verge was destined for correction), but still, the dump phase was none-the-less a little unfortunate.
Ah well, no use crying over spilled dogecoin dark milk (very pointless). Let’s focus on what lessons we can learn.
So what is the takeaway here? It is this:
- When a coin goes to the moon really quick, you have to expect a correction. Even if you love the coin, you should really be setting stops and planning re-entry points in case something like this occurs. All the fundamentals in the world can’t protect against the shady-bunch and the weak hands of new investors. When too many new investors are in a coin for quick gains, when the coin is over hyped, and when the coin is generally in weak hands, the “bad guys” will try to shake the coins out of the pockets of those who are shakeable. There isn’t much you can do but hold or set stops and re-enter at a lower price.
- Verge is a good coin, but it just went up 800%+, even a good coin is bound for a correction after something like that. So, the best thing to do would have been to set stops and pick up more Verge after the drop. However, if you did not do this, panic selling the bottom isn’t going to do you much good.
- When you hear FUD spread on social media like wildfire, react, but don’t overreact. One last time, your stops should have already been in place, but on the same token you can just hold through FUD if you don’t want to navigate the art of setting stops and finding re-entry points. FUD doesn’t generally have a lasting effect, it only really works for a few hours or days. That is the only opening those with bad intentions need.
So, should you re-enter this longstanding dogecoin fork focused on privacy in anticipation of Wraith (or in anticipation of long term future profits)? I don’t know, that is on you. At this point the update is likely “priced in,” I don’t know how much more action we will see in the near future (but as a rule of thumb, you want to wait about 4 days from the panic to get a sense of what the recovery will look like, if there is one at all).
I would only say this really, “if you were bullish on Verge before the Christmas FUD, consider putting aside the hate of the haters and re-entering your position gradually. Protecting yourself against FUD is smart, but giving up based on it just to watch a coin you like recover as you miss the boat feels pretty awful. Consider not doing that if you were into Verge less than 24 – 48 hours ago.”
We don’t know what Verge will do price-wise in the short or long term, but we also shouldn’t be changing our entire strategy on a dime based on FUD. When McAfee suggested the coin he meant that you should hold it long, he wasn’t suggesting that bots spam the coin to the moon at the expense of new investors.
TIP: Remember, invest what you can afford to lose. If you can’t afford to lose your whole investment, or if you would sell if and when the coin goes down, set stops or reconsider why you are putting so much money on the table! You can even “ladder” your stops, so you sell a bit when it crosses certain thresholds. Just make sure you have a strategy in place that accounts for all possible futures, taking a bet that is too big and only making plans for what color Lambo you will buy is not the world’s best investing strategy ;D