Meme Coins Explained: Short Yet Useful Guide For Those Doubting To Include Them In Portfollio
Whats all the buzz around meme coins? Lets find out together.
Meme coins are actively being forced on social media. They are bought not only by ordinary users, but also by major bloggers and world celebrities. Some even manage to earn money on this cryptocurrency. Maybe you can do it too? Lets figure out what a meme cryptocurrency is, how it works and how it differs from other crypto, and also understand whether it is worth investing in.
Explanation and History
A cryptomeme coin is money derived from memes and online jokes. What distinguishes them is that they are inspired by pop culture rather than cutting-edge technology.
The meme coin movement began in 2013 with the launch of Dogecoin, created by Billy Markus and Jackson Palmer. This was just the beginning for the creation of cryptocurrency memes.
Following Dogecoins breakthrough, numerous additional meme currencies were created, resulting in a long list, including Shiba Inu, sometimes known as the Dogecoin killer. Then went PEPE, BOBO, MAGA, BRETT, BONK, etc.
Why is meme cryptocurrency so popular? As a rule, memecoins are popular among ordinary Internet users, not cryptocurrency specialists. This expands the audience of meme tokens. They are not purchased for global purposes, and you do not need deep knowledge to buy them. If you consider memecoins as a game, then excitement plays the main role. You just saw it online, you just bought it, you just wait. They are even easy to create, so new meme tokens appear often.
If you need to read special literature and watch special channels about serious cryptocurrency, then you can learn about memecoins by chance for example, from the same memes. Meme tokens are popular online, communities of fans appear around them who promote their Internet currency.
And finally, investing in meme coins is a new way to have fun. Everyone is already accustomed to Reels, TikToks, and mini-games. Meme tokens are both a reason to get new impressions and an opportunity to earn money. Making memes is good, but earning money on memes is even better.
But, to be fair, there has been a shift toward giving meme currencies more practical significance; the developers of SHIB and FLOKI are now creating educational settings and engaging NFT platforms, as well as huge metaverses.
Where to buy meme coins
More and more traders are showing interest in investing in meme cryptocurrencies in the hope of multiple price increases.
There are several main ways to buy popular meme coins:
- Exchangers. Some of them provide the opportunity to buy meme coins for fiat or another cryptocurrency. Most often, their supply is limited and you can only find dogecoin. The exchange is quick and easy, as well as anonymous.
- Crypto exchanges. Crypto exchanges provide the widest selection of meme tokens, including DOGE and SHIB. You will need to confirm your profile with documents, so it is not suitable for lovers of anonymity. You may go to Margexs buy crypto page to buy something to follow the trend or classic Bitcoin to have stable cryptocurrency savings.
- P2P platforms. LocalCryptos, Bitzlato are an option for conveniently exchanging meme coins for fiat or stablecoins directly between traders.
- Mobile applications for multi-currency wallets Trust Wallet, Coinbase provide an option of built-in purchase of DOGE or SHIB.
There are plenty of options available for investing in meme coins today. The main thing when choosing a platform is to pay attention to reliability, reputation, and ease of use.
How risky are crypto meme coins?
Meme coins are highly volatile. Their value can rise or fall rapidly, and depend on social media trends and tweets rather than economic factors. This makes them attractive to investors looking for quick profits based on relevance and trends rather than long-term value or utility.
Unlike regular cryptocurrencies like Ethereum or Bitcoin, meme coins have limited use cases and do not serve as a universal medium of exchange.
Factors affecting the price of meme currencies
- Social media activity
Meme coins are discussed on YouTube, TikTok and other social media. Users talk about which memecoins they invested in, how much they decided to invest and what results they expect. Short viral videos, hashtags and even celebrity comments can influence the rise or fall of a meme coin.
- Cooperation with other projects
If a meme coin stops being just a joke and becomes part of other projects, this affects the price..
- Market conditions
Meme coins are tied to market conditions. If the market is falling, then memecoins can also fall in price. If the market is on the rise, memecoins can catch up in response.
- Updates
Most often, meme coins are updated insignificantly: you should not expect big changes. But updates and the introduction of new cool features can increase the value of the meme cryptocurrency.
- Listing
Listing is the admission of securities to the exchange. If a meme coin gets on a major cryptocurrency exchange, then confidence in it increases and new investors are attracted.
Final words
Despite all the seeming absurdity, meme coins have already proven their ability to provide super-high returns at the peak of speculative excitement. Huge positive price waves in a matter of days or weeks are real.
However, such success in most cases is short-term and random. In the long term, as the Internet popularity declines, the value of most meme coins tends to zero. Another thing is that new memes and trends arise constantly.
Investing real money in meme coins carries a significant risk. It can result in a substantial profit owing to speculation and effective exit timing, as well as a total loss of cash. The most important thing is to follow social media, read the news, be able to look for information, and attempt to obtain it as soon as a meme currency is mentioned by a media celeb.
It is best to treat such investments as a game of chance, risking strictly limited amounts. In general, it makes sense for most investors to choose assets with a more significant fundamental base.
Text source: BuyUcoin Blog
