Weiss Ratings is a leading financial rating agency for stocks, crypto, ETF’s and mutual funds. The rating agency named four cryptocurrencies that are not worth investing in, carrying a high risk of loosing money. The cryptocurrencies are Aurora Chain (AOA), Bitcoin Diamond (BCD), Credits (CS) and Mixin (XIN).
Weiss Ratings justified the classification by detailing the projects of the cryptocurrencies in question. They gave Aurora Chain a D-, Bitcoin Diamond a D, Credits a D and Mixin a E-, the worst of the four cryptocurrencies.
4 crappy cryptos you shouldn’t touch with a ten-foot pole: Aurora Chain (#AOA, rated D-), #Bitcoin Diamond (#BCD, rated D), #Credits (#CS, rated D) and #Mixin (#XIN, rated E-). For the reasons why, check out Juan’s latest post at: https://t.co/HbAXk1yLbp pic.twitter.com/2za0v5uDmR
— Weiss Ratings (@WeissRatings) October 24, 2018
Developers are eager to fight monopolization of the big mining companies. But according to Weiss, that’s an impossible promise, since it’s possible to optimize any algorithm, and the issue depends only on the amount of investment.
Weiss Ratings reviewed the cryptocurrency white paper and discovered that the description of Aurora Chain’s smart project contracts was probably copied from Wikipedia. The combination of Delegated Proof-of-Stake (DPoS) and resistance to Byzantine errors is not a unique feature of this cryptocurrency.
Weiss believes that the LinkedIn accounts of the team might be fake. Cryptocurrency developers seek to solve all existing cryptocurrency problems, including security and scaling. However, thewhite paper does not contain technical details that explain how this “universal solution” will work.
Credits intends to create a network that can process millions of transactions per second, but developers have not been able to decentralize the system and only work in a centralized environment. In addition, the algorithm is almost the same as EOS, BitShares or Cardano.
According to Weiss Ratingy, no one should invest in any of the cryptocurrencies in order to prevent money loss.