I'm a big fan of crypto but at least the idea of passing the hot potato til it crumbles in to nothing is a reasonable worry. Every stonk has that same exact issue.

Well, no, some stocks actually have value, because there's a money-making company behind the stock. (Or are you using "stonk" to refer to a stock that has a money-losing company behind it?)

A lot of cryptocurrencies are part of projects that I believe in. I see the code, see commits, discussions, details of the project being used in the wild. I don't blame the people behind the project for ridiculous fluctuations in their coin's price or blind hysteria in the space.

Bitcoin's project is that it's a collectible with limited supply.

Thing is, the market doesn't care whether or not you believe in the underlying asset. The difference is that when you buy shares you're buying shares in a company that actually produces something, and those shares usually pay dividends.

Buying crypto because you believe in a given project is the same as buying a beanie baby because you happen to like the particular appearance of said beanie baby.

Strangely enough RAI doesn't need to be excessively volatile. It just happens to be the least volatile cryptocurrency in existence.

I wonder why that is...

I read it as stonk to mean stock that would be a bad decision to put money in at any time (not just because it is overvalued at this time). Like GameStop.