A cryptocurrency known as meme coins either has its roots in or is closely linked to a meme. Cryptocurrencies are gradually taking the place of fiat money. However, few are aware of the full versatility of blockchain and cryptocurrency technology.
What Are Meme Coins?
A meme coin either has a direct link to a meme or is closely related to one. Another potential source of inspiration for such coins is a joke from the internet.
It should be mentioned that, in contrast to the majority of other cryptos, meme coins aren’t typically developed to raise the efficiency or usefulness of cryptos. It follows that the blockchain community largely sees meme currencies as a joke rather than a real product, which is not surprising.
Characteristics of Meme Coins:
Meme coins have various distinguishing characteristics.
1. High Volatility:
Cryptocurrencies are known for having quite a high price volatility, partly because demand and supply decide how valuable they are. Stablecoins are the only exception, as they often have a value anchored to an underlying asset like gold or fiat money.
Meme coins, however, are notorious for their very high volatility even among cryptocurrencies. When a prominent celebrity holding the coin makes even the smallest media comment or publication, prices might change dramatically.
2. Usability as a Unit of Currency Is Limited
Meme coins are extremely unusable in the crypto world. This is so that they can be traded depending on meme reactions and mentions rather than being designed for extensive utilisation.
Not being able to use a meme currency at any retailer shouldn’t come as a surprise. Their primary objective is to establish trade margins on value increases driven by memes and trends.
3. Restrictive Infrastructure Improvements
The developers of meme coins made only a modest effort to design the blockchain’s cryptography. Most use relatively primitive blockchain technology with limited usability and simplistic protocols.
After a project is launched, not much is done to modernise the infrastructure. As long as it functions well and doesn’t constitute a security issue, it will function just fine. Not all meme coins, however, adhere to the same philosophy; some even have amazing infrastructure.
Examples of Meme Coins
Meme currencies are not all just a bunch of bad failing altcoins, despite their very vulgar roots or motivation. Several contenders have established themselves well and made huge sums of money from investors. They comprise:
DogeCoin
Without including Dogecoin, any discussion of meme coins would feel lacking. It was founded in 2013 by software developers Billy Markus and Jackson Palmer, and it now ranks among the biggest cryptocurrencies in the world.
It is the first meme coin in history and has drawn well-known figures like Elon Musk, the richest man in the world. Or it might be the opposite, with Dogecoin gaining a lot more investors as a result of the billionaires’ comments about it. Even more beneficial was Musk’s SpaceX’s adoption of doge as a form of payment.
Shiba Inu
Being the original meme coin, Doge has the drawback of always having a target on its back. Shiba Inu is the only meme coin that is this close to really conducting a takeover for the top spot. It is the second-largest meme coin and the 14th-largest cryptocurrency with a $13 billion market valuation. It is frequently called the “Dogecoin killer.”
Shiba Inu has some real encryption up its sleeve, unlike most of its competitors. The development team of the currency is creating a set of products to assist and complement it. To complete their ecosystem, they are developing a crypto exchange, a variety of currencies, and a crypto community.
Despite the coin’s high meme coin price fluctuation, a sizeable amount was sent to Ethereum’s creator as a means of combating inflation. LEASH and BONE are other coins that are part of the ecosystem.
MonaCoin
Monacoin is a meme-based currency that was created by the developer Mr. Watanabe, who goes by the alias. Given that it was introduced in 2013, it is among the more seasoned meme coins.
Monacoin, which has its roots in Japan, is the fifth-largest meme coin by market capitalization. However, the reason for its fame is because it is a unique meme coin.
It is used as a unit of trade in Japan, unlike most of its competitors, on both offline and online marketplaces. Even the Japanese Financial Service Agency has approved its national currency, the MONA, indicating that it wants to be more than just a joke currency for trading.
Volt Inu
Volt Inu is an unusual coin on the list because it isn’t one of the biggest meme currencies, but it is one to keep an eye out for. It is a token that is built on the Ethereum blockchain and is very deflationary.
The project’s purpose is investments ultimately leading to buybacks and burns, along with a wide range of other utilities, even though its developers are not publicly identified because they are pursuing the SHIB path on this end. It has been more and more popular among investors in small-cap meme coins thanks to its straightforward yet successful approach.
Also Read – https://cryptorelm.com/2022/10/30/how-to-buy-cryptocurrency/
