"The supply and demand and therefore the price is entirely dependent on supply and demand of non-free adult entertainment, prostitutes(?), toys etc. That means it will be hell of a lot more volatile than a general purpose coin is going to be, because the price of the latter is dependent on many, many more things that aren't exactly causally related to each other. If you don't understand why, think about investing. The first rule in investing is to diversify across many different types of assets and many different markets, to decrease the variance of your portfolio's worth. So, why does it make sense for anyone to accept sexcoin as payment rather than bitcoins?"

This is a good point, but is even more so applicable to all other alt coins, which seem to continue to do well.  This one has at least one successful niche it's targeting, as opposed to just alternatives for the sake of alternatives.