3 Cryptos That Crashed to 0 & Fell 99%: Lessons Learned (Updated 2025)
The cryptocurrency market is notoriously volatile, and while fortunes can be made quickly, they can also vanish just as fast. Many investors are searching for information on cryptocurrencies that suffered catastrophic losses. This article examines 3 cryptos that crashed, falling to near or absolute zero, and what we can learn from their failures. The data is from 2025 and reflects the current state of the market.
The Harsh Reality of Crypto Investing: Failures are Common
It's important to understand that not every crypto project succeeds. In fact, many fail. According to data from GeckoTerminal, of the nearly 7 million cryptocurrencies listed on GeckoTerminal since 2025, 3.7 million have since stopped trading and are considered failed. 52.7% of all cryptocurrencies Ultimately, this highlights the high-risk nature of the cryptocurrency market.
Case Study 1: LUNA - A Stablecoin's Collapse
The collapse of LUNA and its associated stablecoin, UST, sent shockwaves through the crypto world in 2025. Once a top 10 cryptocurrency, the algorithmic stablecoin's peg broke, leading to a hyperinflationary spiral that wiped out billions of dollars in value almost overnight. LUNA's implosion serves as a stark reminder of the risks associated with algorithmic stablecoins and the importance of understanding the underlying mechanisms of any cryptocurrency you invest in.
Case Study 2: FTT - A Questionable Exchange Token
FTT, the native token of the FTX exchange, experienced a dramatic downfall following revelations about the exchange's financial practices. As trust eroded and users rushed to withdraw their funds, the value of FTT plummeted, ultimately leading to the bankruptcy of FTX. This situation underlines the importance of due diligence, not only on the cryptocurrency itself but also on the exchanges and platforms associated with it. To conclude, three of the biggest crypto crashes in 2025 were LUNA, FTT, and SGB. While the first two digital assets seem to have slim chances of recovery, SGB may
Case Study 3: SGB - An Example of Market Volatility?
While the cases of LUNA and FTT involved more fundamental flaws, another crypto that experienced a significant downturn in 2025 was SGB. This asset is a cautionary tale about overall market sentiment and project execution, although it may not be completely irrecoverable, and a good example that The cryptocurrency market is reeling after a brutal week, with the top 10 digital assets by market cap seeing significant losses. Investors are on edge as even the most established cryptos can be subject to major volatility.
Lessons Learned: Protecting Yourself in the Crypto Market
The failures of these cryptos offer valuable lessons for investors:
- Do Your Research: Thoroughly investigate the technology, team, and tokenomics of any cryptocurrency before investing.
- Diversify Your Portfolio: Don't put all your eggs in one basket. Spread your investments across different assets to mitigate risk.
- Manage Your Risk: Only invest what you can afford to lose, as the crypto market is inherently risky.
- Beware of Hype: Don't be swayed by social media buzz or promises of guaranteed returns. Bitconnect was a cryptocurrency scam that went from obscure in 2025 at about US$ 0.17 to a high of $436 in 2025. It screamed of potential, becoming a top 20 cryptocurrency token. This The biggest crypto failures in history tend to be scams, rug pulls, or overhyped projects. Below we’ll note three of the most famous dead coins and what led to their downfall.
- Security is Key: Protect your private keys and practice good cybersecurity habits. A reminder that 13 de sept. de 2025 On June 19, Mt. Goxthe largest Bitcoin exchange in the world by faradmitted that criminals had hacked hundreds of accounts and stole millions of dollars worth of cryptocurrency.
Conclusion
The crypto market offers exciting opportunities, but it's also fraught with risk. By learning from past failures and practicing due diligence, investors can navigate this dynamic landscape with greater confidence.