Top 5 meme coins you should know about

One of the most difficult parts of a cryptocurrency investment is determining the actual value of a digital asset. With memecoins starting to gain popularity in the crypto space and more and more memecoins appearing on the crypto market, many investors find it difficult to determine which ones can be a good investment.

The value of memecoins remains in question among investors, as these commodities have no real value and are highly speculative. The unlimited number of memecoins is also inconsistent with the Bitcoin proof of work consensus.

With those caveats in mind, what are the best meme coins you can invest in? In this article, we'll take a look at five major meme coins that have changed cryptocurrency trading. Ultimately, you will gain insight into the effectiveness of memecoins and be able to evaluate market data to decide if it is really worth your time.

What are meme coins?

Memcoin is a type of cryptocurrency that has no intrinsic value and rarely provides any real value or utility. In most cases, these shitcoins are dedicated to Internet memes – social media images that can be humorous in nature.

Meme coins differ from cryptocurrencies primarily because of their uselessness. Bitcoin and ether, for example, were created to solve the problems of centralizing the economy. Bitcoin (BTC) was created to help people send money transfers and as a currency accepted by merchants. Ether (ETH) is used to pay for transaction fees and computing services.

Memecoins are usually promoted at short notice due to the latest news and promotions from influencers. For example, Dogecoin
Dogecoin is a decentralized cryptocurrency with a very large community. The name "Doge" comes from internet memory...
(DOGE) was one of the buzzwords about cryptocurrency during the 2017 Bitcoin bull run, but soon lost its following following the BTC crash. However, he became famous after Elon Musk started tweeting about it. As anyone can create cryptocurrencies, there are more meme coins than ever before, leading to the birth of coins like Shiba Inu (SHIB), which operates on the Ethereum network, and MonaCoin (MONA), which is slowly becoming one of the best. ... cryptocurrencies.

According to CoinMarketCap, as of July 2021, the number of different memes has grown to over 5000. Compared to other cryptocurrencies, meme coins have grown from several digital currencies in 2013, almost on par with the number of tokens in the crypto space.

What makes meme coins famous?

Memecoins have gained popularity thanks to the backing of influencers, celebrities, and investors looking to raise the price shortly. In general, meme tokens and meme coins are often viewed as a joke spread on social media.

One example of this phenomenon occurred when Facebook CEO Mark Zuckerberg posted a photo with the caption "My Goats: Max and Bitcoin." As soon as the post appeared on the network, the AquaGoat meme token jumped by almost 300% in a few hours.

In a similar scenario, Elon Musk tweeted that he would have become known as "Elongated" had a scandal erupted with him. Some time later, the ELONGATE token was launched and the developers claim to have donated $3 million of their profits. In addition, Musk’s promotion of Dogecoin ensured that DOGE moved smoothly, rising to its previous peak of $0,73. More recently, after Tesla's CEO tweeted "Dogecoin is money," the price of DOGE recovered from the consolidation price to $0,20 shortly thereafter.

And finally pic.twitter.com/TcgwMSyjAy

- Elon Musk (@elonmusk) July 25, 2021

When investing in meme coins, the main goal is to short when the price rises as they have little intrinsic value and lack fundamentals. While meme coins are still notorious for pump-and-reset schemes, there are a few meme coins that are worth your time.

Meme coins are indeed volatile and highly speculative, but there are still investors who refuse to sell. So which meme coins really deserve your attention?

Best memecoins by market cap

Dogecoin (DOGE)

DOGE is an original meme-coin created as a joke in 2013 based on the Internet meme "Doge" with the logo of a Shiba Inu dog. Two software developers, Billy Markus and Jackson Palmer, created this open source cryptocurrency from a fork of Litecoin. He later caught the attention of investors after Tesla CEO Elon Musk posted multiple tweets on social media praising him.

Dogecoin uses Scrypt technology which has a lock time of one minute with an unlimited supply. So you can mine it at any time by joining a mining pool. The first use of Dogecoin was as a reward on Reddit and Twitter for creating and sharing quality content.

Initially, 2015 billion DOGE was mined in 100, allowing miners to create 100 new Dogecoins in a minute. All in all, miners can mint nearly 5 billion coins annually.

Why did Dogecoin price rise?

As of July 28, there are over 130 billion DOGEs in circulation with a market capitalization of approximately $25 billion. Primary buying pressure for this coin formed as soon as Musk began to support it through memes - and adoption in the SpaceX project. DOGE is currently trading at $0,20.

What is the future of Dogecoin?

It is difficult to predict the price movement of Dogecoin as many coins are minted every day. Moreover, there are no significant crypto projects that have used it. Consequently, the price has already entered the bubble zone, and further price increases depend on how investors accept this coin.

Shiba Inu (SHIB)

There was a time when a dog - Shiba Inu - inspired millions of investors to invest in the SHIB project. According to the Shiba Inu website, this is a Dogecoin killer listed on a decentralized exchange shibaswap. The native coin of the Shiba Inu is SHIB, an ERC-20 token used in the crypto ecosystem.

One of the founders, under a pseudonym, "Ryoshi", created the Shiba Inu in August 2020 as a meme coin. He later gained attention with several news headlines and tweets from influencers such as Vitalik Buterin and Elon Musk. He was dubbed "the DOGE killer" and gained popularity among Chinese investors.

Scrypt-based mining algorithm runs Shiba Inu. SHIB is one of several dog-themed cryptocurrency platforms, including Dogecoin (DOGE), Alaska Inu (LAS), and Alaskan Malamute (LASM). Investors who missed the Dogecoin train turned their attention to SHIB due to its low cost.

Shiba Inu token has a limited supply of 1 quadrillion, but 50% of its supply is locked in liquidity Uniswap... Moreover, the developer gave another 50% of the proposal to the creator of Ethereum Vitalik Buterin.

What is the future of the Shiba Inu?

As with Dogecoin, the SHIB token offering is volatile. However, the tokens presented to Buterin came with a promise to withdraw them from circulation. Hence, future price increases will largely depend on how the Ethereum founder uses them.

SafeMoon (SAFEMOON)

SafeMoon founders created a decentralized financial token with three functions: flip, burn, and receive LP (liquidity provider). This protocol combines tokenomics and automatic liquidity with a focus on the development of non-fungible tokens (NFT). Moreover, investors use it as a charity project for educational and crypto platforms. SafeMoon holders' earnings depend on how many tokens they have.

SafeMoon Protocol will expand its presence in the NFT market by allowing users to create their own cryptocurrencies. This meme coin has a more ambitious roadmap than Dogecoin or Shiba Inu, as listed by many of the leading exchanges.

SafeMoon aims to leverage the idea of ​​static returns to relieve the pressure on tokens after the sale. Their white paper mentions a "reflection mechanism" that is an incentive for SafeMoon owners who hold this asset. Moreover, its automatic LP (liquidity provider) will increase stability by providing a minimum price for token holders. Finally, a burning strategy can help investors generate long-term profits.

Is Safemoon a scam or perhaps a Ponzi scheme?

There are currently about 600 trillion SAFEMOON tokens in circulation and traders have to pay 10% commission each time they sell the asset. Benzinga and Lark Davis refer to this coin as a Ponzi scheme, and WarOnRugs tweets call it a scam.

Remember just because you make money off of a ponzi does not change the fact that it is a ponzi. #safemoon

- Lark Davis (@TheCryptoLark) April 21, 2021

In any case, this meme coin has already attracted two million users in just two months - with attractive returns. However, many investors believe that the fall in prices is only a matter of time.

Of course, there are no restrictions on the diversification of the investment portfolio. However, always research before investing. Investing in memecoins is risky in and of itself, but it’s even worse when SafeMoon’s white paper doesn’t even cover practical uses. Also, cashing out SafeMoon is not the easiest thing to do as it is only listed on certain decentralized exchanges. If you're willing to carry opportunity, cost, and uncertainty, then SafeMoon is out. Otherwise, the supposed returns may be too good to be true.

MonaCoin (MONA)

MonaCoin (MONA) is an open source payment network that facilitates peer-to-peer transactions. Monacoin uses the Lyra2RE (v2) proof-of-work algorithm to validate a block. Miners earn 25 MONA for every 90 blocks mined. The time to create a block takes one and a half minutes, and the difficulty of mining depends on each block. MonaCoin first came into the spotlight after being featured on the WBS TV Tokyo network, which showed land acquired using MonaCoin.

It was conceived in 2013 based on a feline internet meme. An anonymous developer, Mr. Watanabe, created this asset (Watanabe's identity has yet to be identified). Today MonaCoin is gaining popularity in Japan and is widely used by merchants there.

The Japanese financial services agency has approved MonaCoin. MONA can be mined using dedicated mining software. At the same time, this meme coin can also be purchased on major cryptocurrency exchanges. The maximum supply worldwide is 105 million MONA in both physical and digital formats. And as of July 28, MonaCoin is trading at $ 1,36. While MONA may not get as much attention as DOGE or SHIB, MONA's importance stems from its regulatory benefits and real-world use despite being a meme coin.

Hoge Finance (HOGE)

Hoge Finance is a DeFi community
Token, automatic bidding on ERC-20 token with deflationary offer. HOGE was launched on February 7, 2021 with no allocation of 1 trillion tokens, of which 50% were burned during launch. What's more, there is a 2% tax on every HOGE transaction. Of this amount, 1% is sent to the burned out wallet, and the other 1% is distributed among all wallet holders.

The launch of HOGE was supposed to be a deflationary "DOGE, but DeFi". However, its founders created it with the aim of making it more charitable. This is the first Memecoin to be audited by CertiK.

What is the future of HOGE?

HOGE has launched a non-profit partnership with a Twitter campaign nominated for charities with the hashtag #HogeSavesTheAnimals. This initiative has raised over $ 20 for animal rescue and shelters around the world. The HOGE team is currently working on the development of games for dApps that could start later in 000.

Bonus: TacoCat (TCT)

TacoCat is a community token with real value. It aims to connect and promote merchandising creatives with this potential crypto asset. TacoCat has a self-contained ecosystem dedicated to discovering and growing the crypto asset community so that the mainstream audience can become familiar with the crypto market.

TacoCat pricing and market cap data were not available on the CoinMarketCap website until recently. The TacoCat cryptocurrency reached a market cap of $ 25 million at its peak, with nearly 12000 token holders. It uses the BEP-20 token, similar to the SafeMoon project. Moreover, it was launched on BSC and declared itself as a tipping point in the world of cryptocurrencies.

TacoCat has maintained its lifestyle and brand value by opening an exclusive TacoCat merchandise store for clothing and lifestyle accessories.

Should you invest in TacoCat?

Like Dogecoin, TacoCat uses a friendly environment using the Binance Smart Chain community. What's more, TacoCat storefronts can share their growth and leverage brands by promoting additional merchandising products.

The Dangers of Meme Coins

Memecoins are created just for fun, despite the fact that in the real world they are practically not used from a financial point of view. Therefore, there are many risks associated with this area of ​​cryptocurrency, especially for investors. Memcoins are highly speculative and have no intrinsic value.

Also, they are very unstable as pumping and dumping circuits are common among meme coins. Thus, investing in memecoins can be more tedious than investing in traditional financial markets as no regulation is enforced. However, investors can take advantage of the skyrocketing price action to have fun and ride the social media buzz.

If you are going to invest in meme coins, you need to closely monitor their price movements, taking advantage of the surge in demand. As always, don't invest more than you can afford to lose. Investors need to understand how market adjustments work instead of jumping on the bandwagon when cryptocurrencies hit their all-time highs. The trend reversal occurs constantly, and can occur in a split second. While most of the established financial markets have recovered from the pandemic, meme coins need to be differentiated. If your risk tolerance is low, investing in meme coins may be the last thing you need in your portfolio.

Substance

Meme coins are a novelty in the cryptocurrency market compared to established cryptocurrencies. Dogecoin and its peers have great growth potential. More experienced investors can take advantage of these crypto-currency coins by controlling the price dynamics from the bottom up.

Despite their potential, meme coins are still unstable due to their focus on metaumor and community attention rather than financial performance. So if you missed the Dogecoin rocket, there are many more coin memes if you decide to invest.

Diversifying your portfolio is a way to reduce market risk in a sector. As with other investments, if you are investing in memecoins, make sure you have a good budget, and after investing, manage your money to minimize risk as much as possible.