News
Are you still laughing at Memecoins as a mom? The joke may be on you
The representation of Dogecoin and a laptop keyboard can be seen in this illustrative photo taken in… [+] Krakow, Poland, on June 10, 2022. (Photo by Jakub Porzycki/NurPhoto via Getty Images)
NurPhoto via Getty Images
As the name suggests, meme coins are a category of cryptocurrency that are inspired by memes or have a comical quality. After all, many of them, like dogecoin, began as an Internet joke. But here’s the funny thing: this coin has long survived the original “doge” craze (sort of like a lolcat for the 2010s, featuring pictures of cute little dogs with silly captions).
Despite Bitcoin’s meteoric rise to new heights hogging headlines in 2024, memecoins have delivered the most outstanding performance, with the return on investment for the top tokens varying above 1,300%. this year.
Of course, some of this is pure speculation, driven by celebrity supporters (Elon Musk is famously a big supporter and promoter of Doge). But remember, they said this about Bitcoin too. The truth is that the value of memecoins is determined by their real-world usefulness, not their beauty. That said, not all memecoins are created equal, and some of them really deserve to be treated like a joke.
Whatever you think of the memecoin frenzy, you can’t afford to ignore it. Let’s dive in and look at some of the coins that will most likely prove the scoffers wrong.
As well as cute
All hail Shiba Inu, the cutest of all doges! And when it comes to memecoins, it’s not just a pretty face or a joke. Shiba Inu is a great example of how memecoins are developing real utility and are even setting the technological pace for other digital currencies.
The representation of the Dogecoin cryptocurrency is seen with the Shiba Inu cryptocurrency logo displayed on a… [+] screen in the background in this photo taken in Krakow, Poland, on June 29, 2021 (Photo Illustration by Jakub Porzycki/NurPhoto via Getty Images)
NurPhoto via Getty Images
Shiba Inu is one of the largest memecoins by market capitalization and recently announced a partnership with Zama.ai develop a fully homomorphic encryption platform. This means that Shiba Inu will be able to create identity, security and risk management solutions integrated into payment and other financial technologies. This not only promotes greater privacy and security in the memecoin or cryptocurrency industry, but is setting the standards for the traditional financial sector as it converges with the cryptocurrency economy.
Get Jiggy with Iggy
Australian model and rapper Iggy Azalea is just one celebrity to take advantage of the memecoin frenzy, but she’s one of the most successful. Last week was none other than a Forbes publication reported The Grammy nominee’s Mother Iggy coin ($MOTHER) increased 1,200% in just one week and is now worth a cool $200 million.
Sign of the Mother
Sandy Carter with DALL-E
Additionally, MOTHER token holders could soon use the cryptocurrency to purchase phones and monthly cellular plans from the singer’s telecommunications company.
But be careful: celebrity endorsement does not guarantee the success of a memecoin. For example, Caitlyn Jenner’s JENNER coin launched with much fanfare, with a market capitalization briefly touching $43 million; however, its value quickly decreased and now stands at less than $6 million. So, before investing in a memecoin, look beyond the celebrity name and ask yourself: what does this coin bring to the market, besides celebrity endorsements?
Investors flock to Floki
One thing a memecoin needs above all – and this goes for all digital currencies – is a large and highly engaged community of users. After all, what’s the point of having a coin if you can’t transact with anyone?
Floki is a great example of a memecoin that is more than a token – it’s a movement. Presenting himself as “The popular cryptocurrency”, Floki is a community-based project based on utilities and NFTs. Among its unique features is integration with play-to-earn game Valhalla Metaverse, an NFT marketplace, along with Floki University, a cryptocurrency education platform founded in response to increased interest from new investors.
The Floki community
Flocks
This focus on utility is reflected in a steadily growing dedicated fan base, which has helped promote it total market capitalization of more than $2.5 billion.
Strong chains produce strong coins
While many memecoins are based on their own blockchains, some of the most robust coins are those built on existing, proven chains. A great example is Good, which uses the Solana blockchain. Being based on an established blockchain helps make Bonk well-suited for a range of decentralized finance (DeFi) applications, as many existing decentralized cryptocurrency exchanges (DEXs) also use Solana.
Solana SOL cryptocurrency physical coin, abstract background.
getty
An additional benefit of using an established chain is that memecoins like $BONK can tap into an existing community, with a ready market for new utilities and integrations. For example, the Solana community has already built more than 250 on-chain integrations for BONK.
Lessons before launching
Just like Bitcoin before them, memecoins require extensive research before entering. But here’s what you should look for if you want to enter from the ground floor:
- What does this coin bring to the market?
As we have seen, the long-term value of a currency is dictated by its usefulness. Look beyond the friendly doges and Serie A sponsorships and ask yourself: what is this coin for? What problems does it solve? Its functions are truly new and useful, or they simply imitate what other coins already do (and better!).
- Does money have a community?
It’s important to look beyond the buzz and see how many people are actively using or interested in memecoin. To give just one example, check their social channels and forums to see how many people follow it or post about it and compare it to other competing memecoins.
- A clear roadmap
You want to support a successful memecoin, not a flash in the pan. You’ll want to check whether the coin has an experienced development team with a clear vision for how they want to change the world, along with evidence of recent and future integrations that will make this possible.
Whatever you do, don’t dismiss memecoins as a fad. Remember, it wasn’t that long ago that the value of Bitcoin was measured in pennies. Ignore the memecoin revolution completely and the joke could be on you.