📢 Gate Square #MBG Posting Challenge# is Live— Post for MBG Rewards!
Want a share of 1,000 MBG? Get involved now—show your insights and real participation to become an MBG promoter!
💰 20 top posts will each win 50 MBG!
How to Participate:
1️⃣ Research the MBG project
Share your in-depth views on MBG’s fundamentals, community governance, development goals, and tokenomics, etc.
2️⃣ Join and share your real experience
Take part in MBG activities (CandyDrop, Launchpool, or spot trading), and post your screenshots, earnings, or step-by-step tutorials. Content can include profits, beginner-friendl
The Rise and Fall of Meme Coins: Investment Insights from DOGE to KTA
The Love and Hate Relationship Between Meme Coins and the Crypto Assets Market
Recently, a movie exposing telecom fraud has caused quite a stir in the crypto circle. The "Ketaicoin" featured in the film was rapidly issued in the crypto market following the movie's release. Data shows that Ketaicoin has trading pairs on multiple chains, primarily concentrated on ETH, BSC, and Base chains. Among them, a certain DEX on the ETH chain has the highest liquidity. With the film's screening, the price of Ketaicoin skyrocketed over 3000 times in just two days, but less than 24 hours later, it began to plummet, eventually almost falling back to its issuance price.
Coins like 科太币 are more widely referred to in the crypto assets circle as Meme coins.
The term "Meme" originated from the book "The Selfish Gene" published in 1976, and is defined as a cultural factor that can be inherited and spread at the level of human thought. For most people, the common form of Meme is the humorous images or memes on the internet that satirize current events. These memes carry interesting information, are easy to spread, and ultimately form a cultural consensus among a wide audience. A well-known entrepreneur is a staunch supporter of Meme culture and is adept at using this low-cost tool to spread his values.
The most famous case of the combination of Memes and Crypto Assets is Dogecoin. In 2013, a developer combined the Doge Meme with Crypto Assets to mock the then hype around Crypto Assets, posting a tweet saying "Invest in Dogecoin." Soon after, another engineer forked the Bitcoin code to create 1 billion Dogecoins and rushed to launch it. Unexpectedly, this Meme-based coin rapidly rose on social platforms. At the end of 2020, an entrepreneur began posting information related to Dogecoin on social platforms, triggering a price surge, reaching a peak of $0.74.
The success of Dogecoin has attracted significant attention in the crypto world. Between 2013 and 2017, many Meme coins based on Dogecoin emerged in the market, mostly derived narrative products based on internet cultural materials. As they evolved, Meme coins were no longer limited to internet cultural derivatives, and began to choose grand narratives as the foundation of their stories. Some Meme coins raised funds through ICOs and attempted to build more use cases and ecosystems.
The DeFi boom in 2021 triggered the outbreak of a bull market, and the Meme coin market was dominated by "animal-themed" coins. Shiba Inu coin quickly gained popularity after being listed on centralized exchanges, sparking heated discussions. Subsequently, as the bull market transitioned into a bear market, the Meme coin market saw a small surge. Projects combining AI with Doge attracted attention under the favorable airdrop conditions, and Frog coin became a dark horse, with trading volume and the number of holders significantly increasing.
However, the current Memes behind Meme coins have become difficult to represent their original meaning. A Meme can be any story, or it may not have a story at all. Unlike regular Web3 projects, the price increase of Meme coins mainly stems from investors' FOMO emotions. The new generation of hot Meme coins almost no longer focuses on building active communities or constructing future blueprints, but is mostly orchestrated by centralized teams and stakeholders to create market focal points.
Taking BALD on a certain chain as an example, its price soared 450% in a short period, attracting market attention and speculation. However, shortly after, the project team significantly withdrew liquidity, eventually transferring profits to centralized exchanges. Due to the anonymity of Meme project teams, it is easy to sever ties with the project, resulting in a lack of motivation for maintenance.
The development of Meme coins is increasingly leaning towards "short, flat, and fast", but will still be closely tied to the Crypto Assets market. In the current market environment where stablecoins are flowing out in large quantities, cautious investment and risk control may be a wiser choice.