Some of you might be aware of a new service launched called coingen, which allows any idiot with about 0.2 BTC to make their very own crapcoin. Now, some of you might be saying: But Hazard, don’t you create coins for people as well? Well, yes, but the difference is that I’m always available for future developmental work and to fix any problems a coin might encounter. Coingen comes with no such guarantee, which is especially problematic since these coins come with a death sentence attached from the moment they’re created.

You see, coingen was created by one of the oldest bitcoin supporters and exists solely to discredit altcoins. Accordingly, every coin this site spits out has it’s difficulty scaling set the same as Bitcoin – 400% in either direction every 2 weeks. History has shown that this is a laughably bad idea, and that the difficulty will get stuck at some obscenely high value. This causes miners to jump ship and block generation to come to a standstill. At this point the coin is effectively dead, unless a patch is issued. Since all these coins lack a developer, no such patch will ever come. It is therefore inevitable that all coingen coins will be dead within a few days of launch.

In the end, the buyer is left with a dead coin, and the miners have wasted time mining air. Everyone gets screwed – except the coingen operator of course. He makes a nice little profit on the whole ordeal.

Thankfully, coins generated by this site are extremely easy to avoid if you know what you’re looking for. Our of sheer laziness, every coin generated through this site shares the same genesis block, so we can have a quick look at the genesis hash to see if it was created through it. In the debug console (help tab) type in getblockhash 0. If it returns either of the following, it’s a coingen coin:

SHA256 Coins


000000000019d6689c085ae165831e934ff763ae46a2a6c172b3f1b60a8ce26f

Scrypt Coins


12a765e31ffd4059bada1e25190f6e98c99d9714d334efa41a195a7e7e04bfe2

This has since been changed. There are other blatantly obvious signs to look for, but if I post about them, they’ll just get changed too. Just use your head, and look for things that they all have in common.


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