A CRYPTOCOIN marketing itself as “Dogecoin’s big brother” has soared in value by almost 30% over the past 24 hours.
Kishu Inu was only launched last month but a single coin is now worth $0.0000000112 and already has a market capitalisation of $1 billion, according to CoinMarketCap.
Its value has risen by 28.27% over the past 24 hours as crypto enthusiasts try to back the next big coin.
This is a risky strategy though as cryptocurrency values can be highly volatile and regulators have warned that you may lose all your money.
Similar to Dogecoin, Kishu Inu features its own Japanese breed of dog on the face of the virtual currency.
It claims to be more valuable than Dogecoin, which has an image of a Shuba Inu dog on its logo, as it isn’t just based on a meme although it is unclear what its use is.
A white paper outlining the coin by its founders said: “Kishu Inu was created with the sole purpose of proving to the world that a meme coin or, better classified as a dog coin, could become much more than just another meme project.
“Kishu was developed with a vision of truly revolutionising the cryptosphere – in essence, to become the first dog meme coin with actual value.”
It isn’t listed on the main exchanges such as Binance and Coinbase but runs its own platform and can also be found on CoinTiger, Bitru and OKEx.
The boost comes as investors seek alternative coins after the price of Bitcoin fell yesterday when Tesla founder Elon Musk banned the purchase of his electric cars using the cryptocurrency.
Several coins, including Kishu Inu, have been launched to ride on the tails of the success of Dogecoin, which has also been backed by Musk.
Dogecoin’s value has also been boosted after Coinbase said the coin will be added to its trading platform.
This has helped similar meme coins.
Kishu Inu boosted awareness this week with tweets and adverts in Times Square, New York that highlighted the price.
Branding and billboards aside, experts warn that crypto backers should do their research as this is a risky and highly speculative area.
Nigel Green, chief executive of advisory firm the deVere Group, which has its own crypto exchange, told The Sun: “Do your homework to find out how a cryptocurrency works and their history before jumping in.
“You should consider various factors including the purpose, how long it has been in the market, whether it is listed on established exchange, the size of its market capitalisation and its underlying solutions.
“Cryptocurrencies that solve real-life issues are more likely to succeed, the longer a cryptocurrency has been in the market the more trust it has secured and cryptocurrencies that are developed on robust, pioneering technologies will do better than others that don’t.”
How risky is Kishu Inu?
All cryptocurrencies are risky.
The pricing is volatile and you could lose all your money.
There is no regulation of individual coins so you are not protected if something goes wrong or if you have been scammed.
Newer coins such as Kishu Inu can also be more risky as they don’t have a long track record so it can be harder to verify their value and performance.
It is harder and can take longer compared with regulated investments to get your cash out, especially if you are dealing with a smaller exchange.
Many coins may also appear popular but could be part of pyramid schemes.
For example, some use marketing strategies that encourage and reward followers who promote or ‘pump’ the cryptocurrency on social media so more people buy-in and the value goes up.