Business

5 DeFi Projects That Seemed Promising But Went Under …

Published

3 years ago

October 27, 2022

With over 20,000 cryptocurrencies existing in the world today, there are countless projects out there that don’t survive long-term. These crypto projects are commonly referred to as “dead coins,” which simply refers to coins that no longer have any momentum.

The reason is not necessarily what the media likes to focus on : rug pull, exit scam etc.

Reality is more complex and here are a few reasons why a project dies, but the most common are:

Not enough funds – there have been crypto projects out there that seemed promising and were created with all the right intentions, but they ended up not being able to raise the capital needed to follow through. In fact, most projects have this problem. Investors take note of the profit margins to see if they’re up to par. If not, they look right over these projects.
Community Disengagement – with so many projects emerging in DeFi, it can be difficult to get the interest of enough people to reach escape velocity. Once a project has it, it has to keep it through the storm of other shiny objects competing for its investors’ attention. Sometimes the community gradually slips away, enticed by the promises of the next great thing.
Low trading volumes – If a project ends up with less than $1,000 in trading volume for three straight months, it’s considered a dead coin. Low trading volumes generally mean that a project falls short of providing utility and/or interest from traders. It’s a sure-fire path to the dead coin vault.

Let’s look at a few of the top projects that seemed promising in the beginning but ultimately fell apart for one reason or another.

1. NanoHealthcare Token (NHCT)

The NanoHealthcare Token was created in India in an effort to reform the country’s healthcare system through the blockchain. The NHCT creators hoped to improve flaws in the system, reduce high costs and improve data security practices.

NHCT aimed to take a holistic approach to healthcare and improve it through the concept of “total health.” This involved them focusing on four major parameters – mental, physical, fitness and a well-balanced diet.

The coin experienced some hype but ultimately failed due to lack of investor interest. In turn, its developers abandoned the project.

2. Paycoin (PCI)

Paycoin was among the first crypto projects out there. Launched in 2014 by respectable miners Josh Garza and GAW, Paycoin was intended to improve the Bitcoin network. The founders were well versed in the DeFi world. Paycoin saw massive growth in the beginning. With a market capitalization of $115 million in 48 hours, it quickly gained popularity.

Ultimately, the project fell apart due to a lack of security that stemmed from rushing production efforts. The founders were unable to fulfill many of their promises, which led to the downward spiral of Paycoin.

3. SpaceBIT

SpaceBIT was on a mission to be known for its uniqueness. The project involved launching nanosatellites into space that made electronic currencies accessible everywhere. The SpaceBIT team hyped up the world and made it seem as if they had all the materials needed for the successful completion of the project. Ultimately, though, they never followed through. Lack of infrastructure was the primary factor that caused SpaceBIT to fall out of the sky.

4. Ring Financial

Ring Financial aimed to aggregate DeFi protocols, and it was intended to live on the Binance Smart Chain (BSC) to keep fees low for users. The project began with a 5.56% return per day offered in tokens. From November 4, 2021, to November 23, 2021, the project saw promising growth; it went from $1 to $250 in the short timeframe.

Then came the first strike in December. After the project was verified on BSCScan, it became more visible than ever. This left it more vulnerable to hackers, which is what led to Ring’s contract being exploited in December of 2021. The project survived this hit but faced harsh scrutiny from investors. Ultimately, people began losing confidence in the project despite the teams’ efforts to save it. The project did not recover after this.

5. GetGems (GEMZ)

GetGems was launched in 2015 following a similar-named project (that ultimately failed) named Gems. The founder was Daniel Peled, and his vision was to change the social media world as we know it.

GetGems was created as a social messaging app that allowed users to send and receive bitcoin. The project managed to raise $1 million initially through crowdfunding efforts along with direct investments.

The project ultimately failed after it did not follow through on promises to change the social media landscape.

Do you have a dead coin in your portfolio?

With the dawn of the crypto winter, it’s a possibility that you could have a dead coin floating around in your portfolio. Fortunately, there are some things to look out for when determining if a coin is legitimate or not.

First, put a mental red flag up if you see a coin that guarantees a return on investment. Avoid these at all costs. Also, coins that are worth investing in will generally be listed on a trusted trading platform, such as Binance or Coinbase.

Always remember to stay informed and make diligent decisions about your investments.

Business

High Volume, High Value: The Business Logic Behind Black Banx’s Growth

Published

2 weeks ago

June 16, 2025

Matthew Wiles

In fintech, success no longer hinges on legacy prestige or brick-and-mortar branches—it’s about speed, scale, and precision. Black Banx, under the leadership of founder and CEO Michael Gastauer, has exemplified this model, turning its high-volume approach into high-value results.

The company’s Q1 2025 performance tells the story: $1.6 billion in pre-tax profit, $4.3 billion in revenue, and 9 million new customers added, bringing its total customer base to 78 million across 180+ countries.

But behind the numbers lies a carefully calibrated business model built for exponential growth. Here’s how Black Banx’s strategy of scale is redefining what profitable banking looks like in the digital age.

Scaling at Speed: Why Volume Matters

Unlike traditional banks, which often focus on deepening relationships with a limited set of customers, Black Banx thrives on breadth and transactional frequency. Its digital infrastructure supports onboarding millions of users instantly, with zero physical presence required. Customers can open accounts within minutes and transact across 28 fiat currencies and 2 cryptocurrencies (Bitcoin and Ethereum) from anywhere in the world.

Each customer interaction—whether it’s a cross-border transfer, crypto exchange, or FX transaction—feeds directly into Black Banx’s revenue engine. At scale, these micro-interactions yield macro results.

Real-Time, Global Payments at the Core

One of Black Banx’s most powerful value propositions is real-time cross-border payments. By enabling instant fund transfers across currencies and countries, the platform removes the frictions associated with SWIFT-based systems and legacy banking networks.

This service, used by individuals and businesses alike, generates:

Volume-based revenue from transaction fees
Exchange spreads on currency conversion
Premium service income from business clients managing international payroll or vendor payments

With operations in underserved regions like Africa, South Asia, and Latin America, Black Banx is not only increasing volume—it’s tapping into fast-growing financial ecosystems overlooked by legacy banks.

The Flywheel Effect of Crypto Integration

Crypto capabilities have added another dimension to the company’s high-volume model. As of Q1 2025, 20% of all Black Banx transactions involved cryptocurrency, including:

Crypto-to-fiat and fiat-to-crypto exchanges
Crypto deposits and withdrawals
Payments using Bitcoin or Ethereum

The crypto integration attracts both retail users and blockchain-native businesses, enabling them to:

Access traditional banking rails
Convert assets seamlessly
Operate with lower transaction fees than those found in standard financial systems

By being one of the few regulated platforms offering full banking and crypto support, Black Banx is monetizing the convergence of two financial worlds.

Optimized for Operational Efficiency

High volume is only profitable when costs are contained—and Black Banx has engineered its operations to be lean from day one. With a cost-to-income ratio of just 63% in Q1 2025, it operates significantly more efficiently than most global banks.

Key enablers of this cost efficiency include:

AI-driven compliance and customer support
Cloud-native architecture
Automated onboarding and KYC processes
Digital-only servicing without expensive physical infrastructure

The outcome is a platform that not only scales, but does so without sacrificing margin—each new customer contributes to profit rather than diluting it.

Business Clients: The Value Multiplier

While Black Banx’s massive customer base is largely consumer-driven, its business clients are high-value accelerators. From SMEs and startups to crypto firms and global freelancers, businesses use Black Banx for:

International transactions
Multi-currency payroll
Crypto-fiat settlements
Supplier payments and invoicing

These clients tend to:

Transact more frequently
Use a broader range of services
Generate significantly higher revenue per user

Moreover, Black Banx’s API integrations and tailored enterprise solutions lock in these clients for the long term, reinforcing predictable and scalable growth.

Monetizing the Ecosystem, Not Just the Account

The genius of Black Banx’s model is that it monetizes not just accounts, but entire customer journeys. A user might:

Onboard in minutes
Deposit funds from a crypto wallet
Exchange currencies
Pay an overseas vendor
Withdraw to a local bank account

Each of these actions touches a different monetization lever—FX spread, transaction fee, crypto conversion, or premium service charge. With 78 million customers doing variations of this at global scale, the cumulative financial impact becomes immense.

Strategic Expansion, Not Blind Growth

Unlike many fintechs that chase customer acquisition without a clear monetization path, Black Banx aligns its growth with strategic market opportunities. Its expansion into underbanked and high-demand markets ensures that:

Customer acquisition costs stay low
Services meet genuine needs (e.g., cross-border income, crypto access)
Revenue per user grows over time

It’s not just about acquiring more customers—it’s about acquiring the right customers, in the right markets, with the right needs.

The Future Belongs to Scalable Banking

Black Banx’s ability to transform high-volume engagement into high-value profitability is more than just a fintech success—it’s a signal of what the future of banking looks like. In a world where agility, efficiency, and inclusion define competitive advantage, Black Banx has created a blueprint for digital banking dominance.

With $1.6 billion in quarterly profit, nearly 80 million users, and services that span the globe and the blockchain, the company is no longer just scaling—it’s compounding. Each new user, each transaction, and each feature builds upon the last.

This is not the story of a bank growing.

This is the story of a bank accelerating.