Digibyte: New Paradigm or Pump-and-Dump?
This week we have seen unprecedented growth in the value of Digibyte, which leads many investors to wondering what's going on with it. There had been increased buzz prior to this latest pump regarding DGB activating Segwit, a trending topic in the crypto world right now, but does that really explain such a rapid and total price increase?
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There have also been screenshots leaked of what the Minecraft Digibyte compatible casino will purportedly be looking like:
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So is this enough to explain a 134% increase in value? Let's look at the wonderful things Digibyte has going for it, and bring to light a few misconceptions:
1.) Digibyte has been around for awhile, since at least 2014. The developer, Jared Tate, is a good public speaker and has been involved in the crypto scene for quite some time.
2.) Digibyte has a variety of projects in motion, from Digusign to Digibyte gaming. This diversified approach ensures it will capture many segments of the market, and personally I'm a guy who sees huge potential in introducing cryptocurrency to gamers worldwide.
3.) Totally undervalued - in my opinion, DGB was overdue for a price raise. While I was too preoccupied with Ripple (XRP) to catch this pump, I definitely thought it was priced too low at 114 sats.
4.) Quite fast!
1.) Digibyte gaming has been on the backburner for some time, and the wallet is in a state of disrepair at the time this article was written. I think there's been a lot of fuss about the perceived ties to big games like CS:GO, LoL, and Minecraft, but at present the only game that is integrated with the gaming wallet is League of Legends due to compatibility issues.
2.) It's been around for a long time, and if you look back, this coin has been the target of inorganic growth numerous times.
3.) Low volume ensures that this is not necessarily the safest investment vehicle in crypto right now.
All in all, I cannot say Digibyte investors made a bad choice. I believe it will continue to accumulate value, however, at this rate? Unsustainable! I may live to eat my words, but without any real significant news, I can't say I believe this growth was organic.
Until next time, invest carefully!