Creating your own Cryptocurrency

As saving in the traditional way offers little return on capital and house prices continue to climb, more and more people are turning to cryptocurrency as a means of investment. Research by Radar shows that 55 percent of all crypto owners joined in the past year and that is no longer just because of Bitcoin. The choice is now huge in the world of crypto. Every day, numerous new crypto coins appear with an ever-alluring promise of wealth.

The vast majority of these new coins are so-called ‘tokens’. The biggest difference between these tokens and well-known coins such as Ethereum is that a token does not have its own block chain. These tokens use the block chain of existing coins.

In this video by the Universiteit van Nederland, Paulo Rodrigues, Professor of Finance at Maastricht University, talks to YouTuber Gierige Gasten about how easy it is to set up your own cryptocurrency. Rodrigues highlights the risks people are exposing themselves to in the fear of missing out, or ‘FOMO’ culture, and what the fallout of ‘hype coins’ means for this type of high risk investment.