Welcome back to the Tribe! In this post we are going to dive into a common question that we get – what are meme coins?
Elon Musk, the controversial and prolific billionaire entrepreneur has a lot to do with Meme coins actually.
As a matter of fact, Musk has influenced the price of Dogecoin (a meme coin) a record five times in 2021 alone.
Not only that, he also inspired the naming of the crypto Floki Inu. This was apparently after he decided to name his dog Floki.
Influencers like Elon Musk’s Tweets have a great impact on Meme coins prices.
Meme coins existence is a joke, and their founding stories might get more nonsensical and ridiculous over time.
Nothing should be considered investment or financial advice. Enjoy the ride!
What Are Meme coins?
Meme coins are cryptocurrencies based on a trending topic, a parody, or a joke.
The first meme coin was Dogecoin, based on a Shiba Inu meme character popular from 2013. The founders Jackson Palmer and Billy Marcus were poking fun at wild speculation in crypto at the time.
One of the significant differences between meme coins and other crypto is the utility factor. Meme coins are designed without utility in mind. Other cryptocurrencies such as Bitcoin or Ethereum are designed to solve real world problems.
So far, several thousands meme coins exist. In general, cryptocurrencies are volatile, but meme coins are more volatile than the rest.
Their prices are easily swayed by trends and influencers such as Elon Musk or Mark Cuban.
Interesting Facts about Meme Coins
Don’t let the joke fool you, there’s a loyal investor community that makes serious money with Meme coins.
In a real sense, that could be the only thing they are good at without a utility to fall back to.
Most meme coins investors find attraction in the occasional price surges. Or the basic idea of holding on to them as investment capital anticipating future Bitcoin moments.
Impressively, some meme coins are doing pretty well. Shiba Inu, a parody of Dogecoin, surpassed its predecessor to take 9th position with a market cap of $41 billion as of November 2021.
Dogecoin follows closely with a market cap of $38 billion. Mind you, the Shiba inu meme-inspired coin was released in mid-2020, meaning it’s barely two years old.
Notably, Shiba Inu is a self proclaimed dogecoin killer. Dogecoin, Shiba inu, and Floki Inu creatively pay homage to the Japanese dog breed, the Shiba Inu.
Shiba Inu was created by a person or group under the pseudonym Ryoshi. Shiba Inu runs on the Ethereum blockchain, which also runs a native coin known as Ether.
Top Meme Coins
Meme coins prices are heavily influenced by their community—the barrage dances to the tune of a pump and dump kind of affair.
Some people liken meme coins to MLM or pyramid schemes because of their volatility.
Here is a table of the best performing Meme coins as of late October 2021.
|Meme Coin||Ticker||Price||Market Cap||Overall Crypto Market Cap|
|1) Shiba Inu||Shiba||$0.00007928||$45 Billion||No: 8|
|2) Dogecoin||Doge||$0.2991||$38.3 Billion||No 10|
|3) Samoyedcoin||SAMO||$0.1607||$467.9 Million||No 234|
|4) Dogelon Mars||Elon||$0.0000007371||$$405.8 Million||No: 156|
|5) Hoge Finance||Hoge||$0.0005165||$203.9 Million||No: 285|
|6) Monacoin||Mona||$1.44||$94 Million||No: 440|
|7) CumRocket||Cummies||$0.06276||$82.8 Million||No: 466|
|8) SafeMoon Inu||SMI||$0.00007325||$73.2 Million||No: 496|
|9) TigerKing||TKING||$0.00009783||$58.9 Million||No 544|
|10) DOGGY||DOGGY||$0.008882||$35.9 Million||No;661|
Should You Invest In Memecoins?
Shiba Inu and Dogecoin are the most prominent meme coins.
She added that their success is based on the growth of these communities. Other serious cryptocurrencies harness their utility power.
Dominic Frisby, British author of the book “Bitcoin: the future of money?” tends to disagree with the comical dismissal of meme coins. In his money week commentary, Dominic mildly defends meme coins stating they’ve produced billionaires.
But he cautioned investors about scammers lurking in the shadows. Again, the risk of pump and dump schemes is imminent in meme coins investing. Most meme coin investors are hopeful, the prices will shoot to the moon, making them decent money in the process.
In recent weeks, Shiba Inu and Dogecoin have swapped places, in the dog wars. .
At one point, Dogecoin hit a record high of $0.73157800 in May 2021.
Since then, the price has gone down, trading under 30 cents in recent weeks. Most Hodlers are hopeful it will hit $1 eventually.
Shiba Inu’s rise has been quite exceptional and inspiring. In under two years, this meme coin has taken the number one position in meme-inspired cryptos. At one point, its price rose by 248.3679%, and it has hit an all-time high of $0.00008846.
Meme coins are scam magnets
As Dominic Frisby warned, meme coins are scammers’ magnets. So far, two meme coins, one aptly named $Squid Game, just like the Netflix series (but no relation whatsoever) and Mando have defrauded investors of their hard-earned millions.
Squid Game crypto soared by 83,000% and created a media frenzy in the process. The creators relied on the hype surrounding the popular Korean series and the very nature of speculative trading.
With the media attention, the scam was in play.
However, closer scrutiny revealed incomplete and sketchy information about the founders, communication, and its overall presentation. And with the nature of decentralized anonymity, it might be challenging to recover the money.
There’s no denying that meme coins are helpful; at least they have been with investors who made money. But we can’t ignore the fact that they are a risky venture. The speculative aspect leans heavily on gambling antics, which is safer with the proper background check and price intelligence.
There are two sides to the meme coin story. On one spectrum are the critics who feel their existence is laughable, some are crypto investors. On the other hand, we have the believers, people like Elon Musk, who’s shifted from Bitcoins to Dogecoin.
The latter sees an investment opportunity. Influencers such as Elon Musk are backed by a large community that regularly trade or hold on to their precious coins. If you must invest in meme coins, do so with utmost caution.
Who knows, Memecoins could continue surprising us with their knacks for last laughs. Heck, we could be the butt of the joke that is Meme coins.
What Are Meme coins Post
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