What is BookShib?
Cryptocurrency has a lot of different projects and all of them are attempting to change the world. The sad reality is the vast majority of these projects will amount to nothing. It’s simply too hard to launch a successful cryptocurrency project. One project that we will focus on is called BookShib, which is a project on the Binance Smart Chain.
What is BookShib?
BookShib is a crypto project on the Binance Smart Chain launched in June 2022. The project started off to great acclaim before quickly collapsing. Anyway, this is not the standard rug project that rehashes the same idea to dupe investors.
BookShib actually had a kind of interesting idea, but one that was likely doomed from the start. The basic idea of BookShib was that they wanted to pay people to read books. BookShib would have a library of 10,000 books and claimed to have an algorithm that could track how many pages a user read. Users would then receive payment for reading books in the BookShib library through the BookShib reading app.
You can view BookShib as a play to earn game for books. Unfortunately, this idea looked good on paper, but it has a lot of problems that just made it untenable. More importantly, it appears that the developers of BookShib had no intention of actually trying to turn this project into anything significant.
The Problems with BookShib
There were a lot of problems with BookShib. This section will review some of these problems, which is something that a savvy investor should have seen before making an investment in BookShib.
People Don’t Read
The first major issue we have with BookShib is that people don’t really read books these days. It’s a sad reality of the modern world, but that’s just how it goes. This makes launching an app that revolves around reading books an uphill battle.
There’s a reason play to earn games are based on videogames and not reading books. People already play video games, so it’s easy enough to get them to play a video game that allows them to earn money.
An additional part of the reading books to earn category is that this only applies to books in the BookShib library. Most of the books in the library are probably awful books that no one wants to read. Even if the books are good, the library is fairly small at 10,000 books across all genres.
Too Easy to Game The System
The biggest problem with BookShib, in our opinion, is that it’s way too easy to game the system. BookShib claims that their page read algorithm is “better than Amazon’s.”
First of all, we find it hard to believe that a no-name crypto project with what appears to be a four figure budget has anything technologically better than the biggest tech company in the world.
The bigger problem, however, is that it’s extremely easy to game the system. All a person has to do is create a script that turns the page every few minutes to earn money. This would essentially print money for the person. In reality, it would simply cause rampant inflation of the token as the supply would increase far more than the demand for the token.
The other problem we have with BookShib is that it has anonymous developers. This is one of the biggest red flags for any new project that isn’t a privacy coin (ie. Monero). Anonymous developers for a project like BookShib almost always means the project will rug at some point.
This is especially true on the Binance Smart Chain, which many people call the Binance Scam Chain because of the large amount of scams on the blockchain.
Basically, if it has anonymous developers, then you should be extremely cautious with it.
This project is also unusual in that it has no whitepaper. This is a very bad sign. It’s the equivalent of someone asking you to invest in a company and then not even having a business plan. A business plan (whitepaper) is not necessary for a project to be successful, but not many people will invest in a company without a whitepaper.
We will give credit where credit is due and say that BookShib does have a roadmap. It’s a bad roadmap, but it does have one.
Finally, BookShib has a token tax. This means that the coin charges a fee when a user transfers the tokens. This is one of the worst things a cryptocurrency can do if it wants to grow because it completely cuts out all the growth potential of it.
Unfortunately, this is something that a lot of crypto projects do. Granted any project that does this has basically a zero percent chance of ever becoming successful. The founders know this and collect the tax because they want to withdraw as much money from investors before the price of the token completely collapses.
Is BookShib a Good Investment?
No, BookShib is not a good investment. In fact, BookShib would be considered a horrible investment by any sane investor. The 24 hour trading volume of the token is $800 and the market cap is $56,000. Market cap is not a very good metric because you will likely not be able to even sell the token.
The above price history graph of BookShib should tell you all you need to know about any potential investment in BookShib. Notice that anytime the price goes up, which is not often, that the price completely collapses immediately afterwards.
To summarize, BookShib is a trash project and a practically worthless token. This is one project that we strongly recommend avoiding as an investment. The founders can talk the talk, but they cannot back up any of their talk with tangible results.