We should never undervalue the influence of memes, as we’ve learned about Internet culture. An idea, habit, or style that circulates among people in a culture and frequently expresses a specific message or meaning is referred to as a meme.
They also now play a big part in our day-to-day lives after evolving over time. Thus, it should come as no surprise that there are currently “meme coins”. Meme coins are just cryptocurrencies that were motivated by memes and internet jokes, which doesn’t really differ from the description of a meme in the dictionary.
Are meme coins a good investment? Despite the fact that several of them are listed among the top cryptocurrencies by market cap, prospective investors should be aware that the majority of meme coins offer little value, and some of them are downright frauds.
Explaining Meme Coins
A meme coin is a type of alternative currency that is created by its users. The value of meme coins is frequently based on their novelty rather than their underlying technology or utility because they are frequently generated as jokes or parodies of other coins or memes.
Meme coins are not intended to be used in the same manner as utility tokens, such as staking or making purchases with the currency. Instead, meme coins are traded on exchanges.
How Did Meme Coins Begin?
When Dogecoin (DOGE) was introduced in November 2013, it was the first and most prominent cryptocurrency based on a meme. The “doge” Shiba Inu dog served as the inspiration for the 2013 brand DOGE, which was developed by software developers Billy Markus and Jackson Palmer.
Ten years after its inception, Dogecoin is still popular enough to engage in online feuds with Elon Musk, who used a single Dogecoin tweet to become the most influential crypto-influencer in history.
Popular culture, social media, and other factors can cause coin prices for meme coins to fluctuate greatly. The DOGE price surge demonstrated that meme coin prices have a low correlation to the larger cryptocurrency market.
Other Well-Known Meme Coins
Dogecoin continues to be a source of inspiration for meme
Shiba Inu (SHIB)
Shiba Inu, which was founded by an anonymous developer known as Ryoshi in 2020, is nicknamed the “Dogecoin killer.” The coin’s mascot is a Shiba Inu dog—the same breed as Dogecoin’s mascot.
One of the main distinctions between Dogecoin and Shiba Inu is that while Dogecoin utilizes its own blockchain, Shiba Inu relies on Ethereum’s network. As such, dApps and smart contracts can be used by the latter.
Dogelon Mars (ELON)
Another dog-themed cryptocurrency, the Dogelon Mars (ELON), bears the name of Tesla billionaire Elon Musk. ELON is connected to Dogecoin and has already been used to create over 557 trillion coins.
ELON is a cryptocurrency developed with Dogecoin as a fun way to promote Dogecoin and encourage cryptocurrency experimentation among newcomers by using a familiar meme.
The newest meme coin is called Tamadoge, and it is already posing as a serious challenger to Dogecoin. This is due to the project’s focus on practical application, which intends to solidify its position in the metaverse and the play-to-earn (P2E) industry.
Tamadoge’s white paper describes how the token can be used to purchase virtual Tamadoge pets.
These animals can be reared, bred, and engaged in combat with other players’ pets in an online gaming setting.
As NFTs, they can likewise be exchanged between users.
Are Meme Coins Worth Buying?
Meme coins may still be worth investing in for quick gains despite their reputation for being quite unpredictable. Since many of these coins have recently experienced huge price gains, the trend is probably going to continue as long as the coins are still in demand.
Meme coins are not a reliable investment, and that is a fact. Enormous danger, however, also entails great return. You can join online forums and groups to stay informed about what is happening in the meme coin community and to strike while the iron is hot, or you can use a crypto training bot that can help you trade meme coins automatically.
If you get the timing just right, you might be in the running to make some serious money. Think of them more as bets than as investments.
Since the market is always being overrun with meme currencies, you should always conduct your research before making an investment in any coin.
The fact that a meme coin is typically a short-term investment should also be kept in mind. Frequently, a coin will experience a spike in popularity, and when the buzz peaks, that’s the moment to sell and make a profit, just before its value comes tumbling back down.
Potential investors can be drawn to meme coins because of their low price, but exercise care. Starting modestly is advised if you’re planning to buy a meme coin because their prices are very volatile.