A Pueblo native and his partners who have launched a new cryptocurrency called Clowncoin are hoping the digital currency will grow to become a household name despite recent volatility in the industry.
Dave Mattarocci is a 30-something East High School and Pueblo Community College information technology graduate who is working to get the word out about Clowncoin on social media. By day he is a first responder, and in his free time he is a volunteer plugging the cryptocurrency on Telegram, TikTok, YouTube and Twitter.
Mattarocci sat down with the Chieftain to explain cryptocurrency, recent news about the investment option and how he believes Clowncoin is different.
More Pueblo news:Pueblo rejects ordinance to ban sitting or lying down on public rights of way downtown
What is cryptocurrency?
“Cryptocurrency is a digital currency that it is a newer concept which is starting to grow,” he explained. “The purpose is to invest and make money or use it as a form of paying for services.”
Some investors use the currency, like nonfungible tokens, on play to earn gaming apps. Others use it to purchase artwork online, and some use it as a form of investing.
Some investors hold their cryptocurrency in a wallet, which is like an app that can be used to transfer cryptocurrencies to other people accepting them. The digital currency can be used on crypto exchanges, at some retailers and with money transfer services like PayPal.
Why is cryptocurrency in the news?
Because cryptocurrency can be “a little confusing to buy on your own,” Mattarocci said, some investors opt to use an exchange.
“With an exchange you are buying the cryptocurrency that they own in their wallet and they say, ‘you own this amount of it,’ but they technically own the coin unless you move it to your own wallet. There is the potential for loss if the cryptocurrency is held within an exchange,” he explained.
For example, FTX exchange has been in the news since Nov. 11, when the cryptocurrency exchange collapsed. The exchange has since filed for bankruptcy.
“FTX basically went under because it is a bear market right now. Not a whole lot of people are making money in investing right now and there are a lot of crypto exchanges out there that make their money on fees,” he explained.
“So it puts them in a tender spot when people are not buying,” Mattarocci explained.
Another example of the volatility of cryptocurrency came in May 2021 when Bitcoin crashed after Elon Musk announced Tesla would no longer accept Bitcoin for payments.
“Most major digital assets are down more than 20% over the last 11 days in the wake of FTX’s bankruptcy,” according to a news article on Investor.com. “Digital asset investments are extremely volatile.”
How is Clowncoin different?
“With Clowncoin, we have renounced ownership, which means nobody owns it and no one can pull funds out. It is completely safe and completely community run,” Mattarocci explained.
The Clowncoin founders and its investors live throughout the world.
“It is a stress-free investment and is unique because we have a 10% tax anytime someone buys or sells the coin. With that, 5% is redistributed to Clowncoin holders, so you make money just by holding the coin,” Mattarocci said.
“The remaining 5% is put into a liquidity pool, which is like a locked bank account that grows and increases the coin’s value. So even if there is a mass selloff of the coin, it holds value because of that locked bank account,” he explained.
The founders claim that every time a buy or sell takes place, a Clowncoin burn automatically takes place, which they indicate reduces the coin’s supply and raises its value.
The founders’ goal with Clowncoin “is to become the most fun and joyful cryptocurrency in the world of investing,” he said. “The whole point is a having fun and making money at the same time.”
Clowncoin launched in May and today has 400 investors. A bscscan.com website tracks all transactions.
Its market capitalization is based on the number of coins in circulation and how many are purchased, Mattarocci explained.
“Currently, Clowncoin has a $20,000 market cap. It once reached as high as $70,000, and we reached a $50,000 market cap on the day of launch,” he said.
“We still have a lot of investors from day one,” he said.
Mattarocci said Clowncoin’s core team of founders is heavily invested but they also work as volunteers to build the company.
More local news:Pueblo Bulls want to turn the local ice arena into a multi-purpose facility
He said all investments have been hit hard, including the stock market.
“But while it is slow, that gives us an opportunity to build a strong foundation,” he said.
“It will turn around with a vengeance. Cryptocurrency is growing and it is here to stay,” he said.
When the bull market returns, Mattarocci said he believes investors will see a return. He said he would like to see Clowncoin become the next Dogecoin.
Dogecoin is a popular cryptocurrency
The popular cryptocurrency Dogecoin started about 10 years ago.
“If you bought 50 million Dogecoin 10 years ago, you probably would have paid a couple bucks for that. Last year when it reached 70 cents per coin, you would have had 50 million coins worth 70 cents,” he said.
“Dogecoin is a highly decentralized cryptocurrency, so the chances of a crash are pretty low. However, cryptocurrencies are highly volatile and carry a high risk of loss,” according to an analyticsinsight.net article by Market Trends.
Investors are drawn to the cryptocurrency investment form because it is “not government run at this point, although the government is trying to establish dominance on this,” Mattarocci explained.
The key to investing, Mattarocci believes, is doing a lot of research and finding a project that has potential growth, then investing in it early. He and his wife, Erin Mattarocci, started investing in cryptocurrency a couple years ago, “while things were cheap,” he explained.
“We would be ecstatic to have other local entrepreneurs want to jump in and help build this thing up,” he said of Clowncoin.
Clowncoin marketing even involves original music and merchandise sales. To find out more, go to https://clowncoinbsc.com/.
Chieftain reporter Tracy Harmon covers business news. She can be reached by email at email@example.com or via Twitter at twitter.com/tracywumps.