Crypto Twitter, the online community of crypto enthusiasts, traders, and influencers, witnessed a resurgence of memecoins this week, as several obscure and humorous tokens surged in price and popularity. Memecoins are cryptocurrencies that are created as a joke or a parody, often inspired by internet memes, celebrities, or pop culture phenomena. Some of the most famous examples are Dogecoin, Shiba Inu, and Baby Doge.
This week, Crypto Twitter was flooded with tweets about new and old memecoins, such as Floki Inu, Squid Game, and Charlie Munger. These tokens attracted the attention of both seasoned and novice investors, who hoped to catch the next wave of viral crypto trends. Some of the factors that contributed to the rise of the memecoins this week were:
- The announcement of a Portal airdrop, a gaming token that rewards players for exploring virtual worlds. Portal is backed by prominent crypto investors, such as Mark Cuban, Ashton Kutcher, and Snoop Dogg. The airdrop is scheduled for November 30, and users can claim their tokens by connecting their MetaMask wallets to the Portal website.
- The death of Charlie Munger, the vice chairman of Berkshire Hathaway and a notorious Bitcoin critic. Munger, who once called Bitcoin “rat poison” and “contrary to the interests of civilization”, passed away on November 28 at the age of 99. Shortly after his death, a Munger memecoin (MUNGER) was launched on Uniswap, and its price skyrocketed by 31,000% in a day.
- The popularity of Squid Game, a Netflix series that depicts a deadly competition among debt-ridden participants. The show inspired several crypto projects, such as Squid Game Token (SGT) and Squid Game Coin (SGC), which claimed to offer decentralized gaming platforms based on the series. However, both projects turned out to be scams, as the developers rug-pulled the investors and ran away with millions of dollars.
The Reaction of Crypto Twitter
Crypto Twitter had mixed reactions to the memecoin frenzy. Some users celebrated the gains and the fun of investing in meme projects, while others warned about the risks and the lack of fundamentals behind these tokens. Some of the most notable tweets this week were:
- @elonmusk, the CEO of Tesla and SpaceX, and a well-known supporter of Dogecoin, tweeted “Floki has arrived” on November 27, along with a picture of his new Shiba Inu puppy. The tweet boosted the price of Floki Inu (FLOKI), a Dogecoin spin-off that is named after Musk’s dog, by over 20% in a few hours.
- [@VitalikButerin], the co-founder of Ethereum, tweeted “I don’t think memecoins are inherently bad” on November 28, adding that they can be a gateway for new users to learn about crypto and decentralization. He also suggested that memecoin communities should donate some of their profits to charitable causes, as he did with his Shiba Inu holdings earlier this year.
- [@cz_binance], the former CEO of Binance, who stepped down and pleaded guilty to violating U.S. money laundering laws this week, tweeted “I still love memecoins” on November 29, despite the legal troubles that his exchange faced due to listing some of these tokens. He also said that he will continue to support the crypto industry and innovation in his new role as a consultant for Binance.
The Future of the Memecoins
The memecoin craze shows no signs of slowing down, as new tokens are created and promoted every day. However, not all memecoins are created equal, and some of them may have more potential and value than others. Some of the factors that may determine the future of the memecoins are:
- The quality and originality of the meme. Memecoins that are based on popular and relevant memes, such as Squid Game or Charlie Munger, may have more appeal and virality than those that are based on obscure or outdated memes.
- The utility and innovation of the project. Memecoins that offer some functionality and benefit to the users, such as gaming, rewards, or governance, may have more sustainability and credibility than those that are purely speculative and hype-driven.
- The community and network effect of the token. Memecoins that have a large and loyal fan base, such as Dogecoin or Shiba Inu, may have more resilience and influence than those that have a small and transient following.
Memecoins are a phenomenon that reflects the creativity, diversity, and humor of the crypto space. They can be a source of entertainment, education, and profit for many investors, but they can also be a source of risk, volatility, and fraud for others. Therefore, Crypto Twitter users should always do their own research, exercise caution, and have fun with memecoins.
