Let’s talk about meme coins that are part of the unpredictable crypto market by knowing their origins, current situation, and future scope.
As the name says clearly, meme coins are part of crypto coins that have drawn inspiration from famous and viral memes (funny pictures) on the internet.
Short Takeaways
- Meme coins are an extremely volatile part of the already unpredictable crypto market.
- Their popularity is largely driven by viral internet memes and some famous entities endorsing them.
- Shiba Inu coin and Dogecoin are the most popular meme coins that are based on famous Japanese doge memes.
- Initially, meme coins were made just for fun rather than from an investment perspective.
What are the Meme Coins?
Just like Bitcoin, stablecoins, and other types of crypto coins, meme coins are a subcategory in the crypto market that are made from famous memes on the internet.
The growth of meme coins is driven mostly by the internet hype and relatability of memes that they are based on, along with endorsements from influencers.
These coins feature cartoonish icons of memes that they are based on and have colorful branding as well.
Origin of Meme Coins
Dogecoin (DOGE) is one of the first meme coins introduced back in 2023 and is still a market leader in its category.
DOGE was created as a satire to mock the hype of Bitcoin and other coins.
The main intention of its developers, Billy Marcus and Jackson Palmer, was to present Dogecoin as a humorous altcoin.
Furthermore, Dogecoin quickly gained success upon its launch and massive popularity on platforms like Twitter and Reddit; because of this, other meme coins started emerging as well.
How Meme Coins Are Different from Traditional Crypto Coins
The major difference between the two lies in their origin, purpose, and community-oriented nature.
Meme coins are often created for lighthearted entertainment, whereas traditional crypto coins are created with technological and investment goals.
Moreover, meme coins generally have a smaller market capitalization and a lower price per token that is lower than even $1, which makes them extremely volatile.
The Top 5 Popular Meme Coins
Listing out the top 5 popular meme coins apart from Dogecoin and Shiba Inu Coin based on market capitalization:
Pepe Coin (PEPE)
- Current Price: $0.052
- Market Cap: $906 Million
History
Founded in April 2023 by developers who wish to remain anonymous.
Features
Pepe Coin holds the title of surpassing $1 billion in valuation in just 3 weeks, but the valuation has seen a lot of fluctuations since then.
There are about 420 trillion Pepe coins in total, with about 93% of them in the liquidity pool and the remaining percentage is allocated to a multi-signature wallet for future use.
BONK Coin (BONK)
- Current Price: $0.00001381
- Market Cap: $900 Million
History
Launched in 2022, BONK is a Dogecoin-inspired meme coin that features a buff doge character.
Features
BONK is the first doge-based meme coin on the Solana network.
Moreover, BONK’s strategy is to utilize Solana’s ecosystem by supporting decentralized exchanges (DEX) based on Solana.
Dogwifhat Coin (WIF)
- Current Price: $0.749
- Market Cap: $765 Million
History
Launched in 2023, WIF is a newcomer in the meme coin category.
Features
The icon of WIF is a real Shiba Inu dog wearing a pink knitted hat.
Now, decentralization is the USP of this coin because ownership has been renounced, meaning there is no single owner.
FLOKI Coin (FLOKI)
- Current Price: $0.0000003170
- Market Cap: $555 Million
History
Originated by a tweet from Elon Musk, the Floki coin gained popularity in quick succession by having over 40 million holders in its first year.
Features
It operates on both the Ethereum and Binance smart chains, making it a multi-chain coin.
Floki also seeks to become more than just a meme coin by aiming to become a fully functional Web3 project.
Blur Token (BLUR)
- Current Price: $0.772683
- Market Cap: $303 Million
History
Founded in 2023 by a team of music industry veterans who also have an interest in blockchain technology.
Features
Blur is a music-focused NFT marketplace where musicians can sell exclusive songs, merchandise, and a lot more as NFTs.
Artists can earn royalties on secondary sales of their NFTs, creating a source of passive income.
Risk Factors with Meme Coins
- Origin: Most meme coins are created just for fun, and others might emerge after seeing the success of one another, so the seriousness behind the project is gone.
- Volatility: The volatility rate of meme coins is even higher than normal crypto coins.
- Use case: Many of the meme coins haven’t found a good use case in terms of general use; they are mostly rallying around the hype factor.
- Manipulation: Due to lower market capitalization and price per token, meme coins are susceptible to market manipulation by crypto whales.
- Scope: After achieving short-term success, the long-term viability of meme coins is mostly uncertain.
Conclusion
In this blog, we have covered the basics of meme crypto coins and given the top 5 meme coins, apart from Dogecoin and Shiba Inu.
However, it’s important to note the risks associated with meme coins that are already mentioned in this blog.
Furthermore, investing your money in crypto coins requires a thorough understanding and research of the subject.
Frequently Asked Questions
Q1. What are meme coins?
Meme coins are cryptocurrencies inspired by internet memes also they often have no real-world utility and are created for fun and speculation.
Q2. Are meme coins a good investment?
Investing in meme coins is highly risky due to their volatile nature and lack of underlying value. It’s important to do thorough research before considering any investment in meme coins.
Q3. How do meme coins gain value?
Meme coins typically gain value through social media hype, celebrity endorsements, and market speculation. However, their value can fluctuate dramatically based on the latest trends and news in the crypto market.
Q4. Can meme coins be used for purchases?
Most meme coins don’t have real-life applications and cannot come in use for purchases like other cryptocurrencies such as Bitcoin or Ethereum. They are mainly used for trading and investment purposes.
Q5. What are some popular meme coins?
Popular meme coins include Dogecoin, Shiba Inu, and Safemoon. These coins have gained popularity on social media platforms and have attracted a large following of investors and traders. However, it’s crucial to exercise caution when investing in these volatile assets.
Greetings, I’m Akriti Gupta, a recent graduate from Delhi University. My pursuit in life revolves around an insatiable curiosity to explore and acquire new knowledge, fostering personal growth while nurturing a sense of compassion and goodness within me. Among my passions, painting, calligraphy, doodling, and singing stand as the cornerstones of my creative expression. These hobbies not only serve as outlets for my imagination but also as mediums through which I continually learn and evolve.
