Cryptocurrencies, sports trading cards and junk wax

or why most coins are just junk

In the 50s, baby boomers collected sports cards as kids. When they grew up, they went back to their parents' home to find out that their parents had thrown lots of their childhood toys/cards away.
As working adults with an income some tried to buy back their childhood cards and toys, and found out they were pretty valuable. They were valuable because lots of them had originally been thrown out by their parents.

When baby boomers became parents themselves (80s), they applied this line of thinking and bought tens of thousands of dollars of sports cards for their children (gen x). College fund level. They thought these cards would become valuable exactly as their cards from the 50s. They bought en masse, multiple copies, some of them to use, others to stash in the closet for 20-30 years. They waited for their value to go to the moon.

Of course, this did not happen. What happened was a complete saturation of the market and the shops in the 90s were full of boxes of sport cards of the previous years 5$ each. They did not sell, nobody wanted them. This "crisis" was solved by the card companies buying back this huge excess of cards and burning it. Some companies failed, other managed to learn and not to repeat the same error of oversaturation. This became known as the "junk wax era" of sports trading cards.

With lots and lots of shitcoins, the cryptocurrencies situation can somewhat considered similar to the "junk wax era" of sports cards. People hoarding these coins and waiting patiently for them to go to the moon. Most probably, these coins won't go anywhere, or just down into the ground. Among other things, Bitcoin probaby hugely increased in value because people were using it (silkroad) and not just hoarding it waiting for it to go to the moon.

https://sportscardexpert.com/junk-wax-era/

This does not constitutes financial advice, or any kind of advice in general really.