Close Menu
  • Home
  • News
  • Bitcoin
  • Blockchain
  • Market
  • Exchanges
  • Opinion
  • Regulatory
  • Mining
  • Report
  • All Posts
What's Hot

Jamie Dimon of JPMorgan States That Bitcoin Should Not Be Included in U.S. Stockpiles

Jun. 11, 2025

Pro-Bitcoin Scott Bessent Announces Candidacy for Next Federal Reserve Chair

Jun. 11, 2025

VanEck, 21Shares, and Canary Call on SEC to Reinstate ‘First to File, First to Approve’ Standard for Crypto ETFs

Jun. 11, 2025
Facebook X (Twitter) Instagram
X (Twitter) Telegram
Fin Date
  • Home
  • News
  • Bitcoin
  • Blockchain
  • Market
  • Exchanges
  • Opinion
  • Regulatory
  • Mining
  • Report
  • All Posts
Subscribe
Fin Date
You are at:Home ยป Research Report on Memecoin: From Satirical Culture to Billion-Dollar Race.
Report

Research Report on Memecoin: From Satirical Culture to Billion-Dollar Race.

By adminApr. 17, 2024No Comments7 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
Research Report on Memecoin: From Satirical Culture to Billion-Dollar Race.
Research Report on Memecoin: From Satirical Culture to Billion-Dollar Race.
Share
Facebook Twitter LinkedIn Pinterest Email Copy Link

Title: The Rise of Meme Cryptocurrencies: An Exploration of the Market and Investment Potential

Introduction:
Driven by the upcoming Bitcoin halving event, the wave of Bitcoin ETFs, and the constantly changing market sentiment, Bitcoin has not only experienced extreme volatility but has also sparked a revival of meme cryptocurrencies led by tokens such as $PEPE and $WIF. In just the past month, these coins have surged by over 600%.

Coingecko data shows that meme coins were the most profitable cryptocurrency trend in the first quarter of 2024, with an average return rate of 1312.6%. Solana, closely followed by the newly introduced Base, has become a key platform for trading meme coins. This is due to their large active user base on DEX and low transaction fees, making them the preferred choice for trading low-market-cap coins.

Performance of Meme Coins Compared to Bitcoin:
The chart below showcases the performance of key meme coins compared to Bitcoin since early March.


Source: TradingView

It is worth noting that the profitability of meme coins is 4.6 times that of RWA and 33.3 times that of Layer 2 (according to Coingecko, Layer 2 ranked the lowest in terms of Q1 2024 returns).

If these charts confuse you, there’s no need to worry. Many people find meme coins and the broader crypto culture somewhat difficult to comprehend. For the uninitiated, meme coins are essentially digital tokens that often have no practical use other than to evoke “emotions” and foster a sense of community. While some may view them as worthless, the reality is that they have integrated well into today’s experience-driven economy.

The Role of Meme Coins in Cultural Trends:
The market teaches us that fundamental analysis of assets often plays a secondary role in their potential for value growth. Meme coins are a form of internet culture where people come together to create meme value out of thin air.

The GameStop phenomenon in 2021 is a perfect example that laid the foundation for the wild success of meme coins such as $DOGE, $SHIB, and more recently, $PEPE and $WIF. Those who excel at identifying cultural trends early on may find success in meme coins as they can anticipate where people’s attention may shift.

In an era where our attention is constantly being fought over, it is not surprising that meme coins can quickly become valuable. However, our fleeting attention means that interest may dissipate as quickly as it came. This can be a double-edged sword, often leading to people becoming disenchanted when prices no longer rise, and causing sudden market downturns when everyone moves on to the next big event.

The Rise of MEMECOIN:
Between 2020 and 2021, meme coins became major players in the cryptocurrency scene. Leading coins such as $DOGE and $SHIB not only established their own positions but paved the way for smaller, newer coins. Their popularity showcased the unique allure of the meme coin market, driven by speculative investments, volatility, and passionate communities.

As an example, Dogecoin, created based on the Shiba Inu meme, now represents a significant cultural movement within the crypto space. It demonstrates how an internet meme can evolve into a community-driven movement, with supporters deeply invested in both the meme and the currency. As the first meme coin, $DOGE remains a key indicator of interest in the crypto community, despite not reaching its “DOGE to $1” goal. Elon Musk’s playful support and his decision to accept $DOGE as payment for Tesla significantly boosted its visibility, highlighting its influence and growth potential.

The meme coin market has evolved beyond dog-themed coins, with recent outstanding performances from cat-themed coins. This shift highlights the dynamic nature and growing diversity of the meme coin ecosystem.


Source: Messari

The Development of Complex L1 and L2 Ecosystems:
Over the past four years, the development of more complex L1 and L2 ecosystems deserves attention, with some creating unique spaces for meme coins. Base, in particular, has attracted significant attention, with coins like $DEGEN reaching a market cap of $800 million within weeks.

Since its launch in August 2023, Coinbase’s Layer 2 platform has gained 5.03 million new users, experiencing rapid growth in March 2024 specifically.


Source: DuneAnalytics

As of today, leading meme coins on Base, including $Brett, $Degen, $Toshi, $Normie, $Mochi, and $Doginme, have reached a total market cap of $1.6 billion.

Apart from Base, meme coins on mature L2 platforms like Arbitrum and Optimism have seen a decline in popularity and support. These platforms are primarily designed for DeFi, which remains their core focus. With DeFi gaining momentum again, they are expected to perform well.

Exploring Alternative L2 Solutions:
Some notable meme coins can be found on ZkSync, such as $ZORRO and $MEOW, as well as on Scroll and Linea with coins like $SCROLLY and $LUBE.

Beyond the Ethereum ecosystem, Solana has become a significant force for meme coin trading within the L1 network. It leads in terms of active DEX traders and trading volume, surpassing liquidity in other major ecosystems. This makes Solana the hub of a vibrant meme coin market. The enthusiasm of the Solana community for meme coins and trading low-market-cap coins positions it to challenge, and sometimes even surpass, the daily USD trading volume of Ethereum-based DEXs.

Solana is home to several leading meme coins, such as Dogwifhat, $Bonk, Cat in a Dog’s World, Jeo Boden, Book of Meme, $Slerf, and $PopCat. The total market cap of the top 10 meme coins on Solana has reached $7.6 billion.


Source: Messari

Within the Solana ecosystem, Dogwifhat has emerged as a highlight among meme coins this year. This dog-themed meme coin is raising funds to purchase advertising space on the Las Vegas sphere building known for its display capabilities. So far, it seems that we will soon see an image of an adorable dog wearing a knitted hat on the spherical building. This event is expected to take meme coin enthusiasm to a new level.

Conclusion:
Unlike Bitcoin or Ethereum, which have clear purposes and mature technologies, meme coins often lack significant real-world value or utility. Their popularity usually stems from social media and online forums.

Due to their volatility and lack of solid backing, investing in meme coins carries high risk and speculation. While there are opportunities for quick profits, it is essential to approach these investments with caution and thorough research.

Despite the potential pitfalls, meme coins continue to attract those seeking high-risk, high-reward opportunities within the crypto community.

A study conducted by Chainplay in May 2023, titled “The State of Meme Coins,” revealed that 64% of investors have purchased meme coins, while 36% have avoided them. Surprisingly, despite 70% acknowledging the presence of fraud risks, 79% view them as potential long-term investments. Approximately 73% liken them to gambling. Furthermore, 20% entered the crypto space through meme coins, and 32% of meme coin buyers are newcomers with less than a year of experience.

With more people becoming interested in meme coins, it suggests that they may become even more popular, attracting new investors and those already in the crypto world.

However, it is important to note that there are many scams and rug pulls in the meme coin space, where creators take funds and disappear, leaving investors with nothing.

Therefore, if you are considering entering the crypto or meme coin space, exercise extreme caution and do your homework!

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email
admin
  • Website

Related Posts

Crypto Entrepreneurs Abducted in Buenos Aires; Interpol Issues Red Notices for Russian Suspects

Jun. 11, 2025

implements Bitcoin-style encryption

Jun. 11, 2025

Elon Musk’s X Experiences Another Downtime Following Consecutive Global Outages This Week

May. 27, 2025
Leave A Reply Cancel Reply

Top Posts

Open and Friendly Germanys Taxation and Regulatory System for Cryptocurrency Assets

Feb. 27, 2018

Exploring Covenants: How to Bring Native Programmability to Bitcoin

May. 29, 2019

Major Fund Invests in Changelight Technology Packaging Giant Sees New Opportunities

Oct. 22, 2019

The Biggest Advantage for Bitcoin Will It Materialize This Year

Mar. 3, 2020
Don't Miss
Bitcoin

Jamie Dimon of JPMorgan States That Bitcoin Should Not Be Included in U.S. Stockpiles

Jun. 11, 2025

Key Takeaways Jamie Dimon believes the US should prioritize military assets over Bitcoin in its s…

Pro-Bitcoin Scott Bessent Announces Candidacy for Next Federal Reserve Chair

Jun. 11, 2025

VanEck, 21Shares, and Canary Call on SEC to Reinstate ‘First to File, First to Approve’ Standard for Crypto ETFs

Jun. 11, 2025

Guggenheim Treasury of Wall Street Launches Its Premier Tokenized Debt Instrument on the XRP Ledger

Jun. 11, 2025
Stay In Touch
  • Facebook
  • Twitter
  • Pinterest
  • Instagram
  • YouTube
  • Vimeo
About Us
About Us

Fin Date is your ultimate companion for exploring the world of cryptocurrency. We offer comprehensive and in-depth news coverage along with expert analysis to help you stay abreast of the latest developments in the cryptocurrency market.

X (Twitter) Telegram
Our Picks

Jamie Dimon of JPMorgan States That Bitcoin Should Not Be Included in U.S. Stockpiles

Jun. 11, 2025

Pro-Bitcoin Scott Bessent Announces Candidacy for Next Federal Reserve Chair

Jun. 11, 2025

VanEck, 21Shares, and Canary Call on SEC to Reinstate ‘First to File, First to Approve’ Standard for Crypto ETFs

Jun. 11, 2025
Most Popular

Open and Friendly Germanys Taxation and Regulatory System for Cryptocurrency Assets

Feb. 27, 2018

Exploring Covenants: How to Bring Native Programmability to Bitcoin

May. 29, 2019

Major Fund Invests in Changelight Technology Packaging Giant Sees New Opportunities

Oct. 22, 2019
© 2025 Fin Date All rights reserved.
  • Home
  • News
  • Bitcoin
  • Blockchain
  • Market
  • Exchanges
  • Opinion
  • Regulatory
  • Mining
  • Report
  • All Posts

Type above and press Enter to search. Press Esc to cancel.