What is $CUBE Crypto?
The Somnium Space Cube (CUBE) is an ERC-20 token that is native to the Somnium Spaces blockchain. An ERC-20 token utilizes the smart contracts that are built into the Ethereum network. Other examples of ERC-20 tokens are Chainlink (LINK), the Tether stablecoin (USDT), and Shiba Inu Token (SHIB).
Somnium Space is a virtual reality world that will reside in the Metaverse. It is intended to be a seamless virtual experience with gaming, NFT marketplace, and social networking aspects. The Somnium world will be fully interactive and is currently available to experience for Windows and in virtual reality with Oculus VR goggles.
CUBE is the native token in the Somnium world which can be used for things like governance, in-game transactions, and potentially future staking rewards. The token is currently trading at just under $1.50 USD per $CUBE and has a max supply of 100,000,000 tokens. CUBE currently has a market cap of $18.5 million.
Is $CUBE a Good Investment?
On the surface, Somnium Space appears to be a fairly normal Metaverse project. There is gameplay, interactive social networking, and an NFT marketplace. All regular components of a standard Metaverse environment. With the current downtrend of the crypto markets, it’s not surprising to see tokens with major losses for far this year. CUBE hit an all-time high price of $69.07, and then in a matter of one month, was trading back in the single digits. Bear market or not, that is some volatile price action. So what happened with CUBE?
Beware of the Bots
Crypto Twitter began to see a massive influx of mentions for the $CUBE crypto. It’s not unusual, especially for a project that has promise and even had the backing of major companies like Sony, OpenSea, Gemini, and FTX. Those are some heavy hitters in the tech and crypto industries, so, understandably, we’re getting excited.
But if you dive deeper into the data, something very peculiar stands out about $CUBE. If you’ve been following the ongoing saga between Elon Musk and his attempt to acquire Twitter, you’ll know that the primary roadblock has been the number of bot accounts on the platform. Musk is concerned that Twitter is not disclosing how many of its actual users are bot accounts. We, as users, see these bots all the time. But in a business sense, inflating your active users with bots could potentially overvalue the company.
Here’s something flagged through an early version of Chatterquant’s convergence tool. Check out the tweet that garnered quite a bit of attention on Twitter:
A staggering 95% of $CUBE mentions on Twitter were from malicious bot accounts. 95%! This was Tweeted out on June 13th after scanning Twitter on June 12th for the $CUBE mentions. Let’s cross reference this with the $CUBE chart for June 12th.
Do you think those bots did their job? That massive green spike in price coincided with over 74,000 unique and malicious mentions of $CUBE, pumping the token to traders on Twitter. Always be careful of who you trust and do your own research before following a trade you see on social media.
Summary: CUBE Crypto Bots
I’m not saying that CUBE is a bad investment, nor am I saying that Somnium Space won’t be successful. All I am saying is be cautious of what you read on social media because everything is written for a reason. Do your due diligence and be careful who you follow because that anonymous Crypto Twitter account with the NFT profile picture could just be another malicious bot. Be safe out there!