Introduction

Meme coins have become a unique and increasingly influential category within the cryptocurrency ecosystem. Unlike traditional cryptocurrencies, which are typically driven by technological innovation and financial applications, meme coins derive their value primarily from internet culture, humor, and community engagement. These coins are often inspired by viral memes, internet trends, or popular figures, attracting both crypto enthusiasts and novice users, providing them with an accessible and entertaining entry into the world of digital assets. This article will explore the rise of meme coins, their impact on the cryptocurrency market, and the factors that contribute to their popularity. From dog-themed coins (like $DOGE) to politically charged coins (like $PNUT), we will analyze how meme coins are reshaping the way people interact with cryptocurrencies while also examining the challenges and risks associated with investing in these speculative assets.

What are Meme Coins

Meme coins are a unique category of cryptocurrency whose identity stems from internet memes—humorous or viral images often accompanied by witty captions. Unlike traditional cryptocurrencies like Bitcoin or Ethereum, which are designed with technological utility and financial goals in mind, meme coins primarily focus on community engagement, entertainment, and internet culture. Their value is driven mainly by the level of community activity and strength rather than any underlying technological innovation or financial application.

The themes of meme coins are diverse, with the most popular being dog-themed coins such as DOGE, WIF, SHIB, and NEIRO. Other common categories include animal-inspired coins (like those themed around cats or penguins) and coins based on the "Pepe the Frog" meme. Additionally, there are coins associated with political figures, celebrities, and internet subcultures (like WallStreetBets and The Boy's Club). Recently, the rise of AI and short video content has further propelled the popularity of meme coins inspired by AI agents and viral video culture.

The defining characteristic of meme coins is their community-driven nature. These coins often leverage humor and viral content to build their brand and identity. As communities engage with memes through social media, creative content, and promotional activities, the value of these coins tends to rise. Due to their low entry barriers and straightforward concepts, meme coins are particularly appealing to cryptocurrency newcomers or those seeking fun and speculative investments.

To increase visibility and attract new investors, meme coins frequently employ bold marketing strategies, such as placing advertisements in prominent locations or organizing high-profile events, like illuminating famous landmarks. For example, the popular meme coin Dogwifhat raised funds for an ambitious campaign to light up the Las Vegas dome.

Despite their lighthearted nature, meme coins have become a significant segment of the cryptocurrency market, with a total market capitalization exceeding $121 billion and a market share of 3.62%. In the following sections, we will introduce some of the most representative meme coins.

Animal Meme: $DOGE

In December 2013, software engineers Jackson Palmer and Billy Markus created Dogecoin as a satirical response to the speculative frenzy surrounding cryptocurrencies at the time. They drew inspiration from the popular Doge meme, choosing its image as the logo and naming the cryptocurrency Dogecoin.

Dogecoin's market capitalization surged to $8 million within just two weeks of its launch, briefly positioning it as the seventh-largest cryptocurrency in the world. The token quickly gathered a loyal online community and established a solid fan base. During the cryptocurrency bull market of 2017-2018, Dogecoin first broke the $1 billion market cap.

Elon Musk has been a central figure in driving the popularity of Dogecoin. Musk first expressed interest in the token in 2018, and his tweets and public support significantly boosted its price, securing Dogecoin's place in the cryptocurrency market. In 2021, Musk referred to himself as the "Dogefather," and Dogecoin's market cap reached nearly $100 billion. However, in 2023, Musk faced allegations of insider trading related to Dogecoin and was accused of causing significant losses for investors.

In 2024, the abbreviation "DOGE" regained attention when elected President Donald Trump used the term to refer to a "Department of Government Efficiency" he planned to establish, expected to be led by Musk and Vivek Ramaswamy. This brought the term "DOGE" back into the public spotlight, resulting in a rebound in Dogecoin's market cap, reaching approximately $60 billion.

Animal Meme: $PEPE

Pepe the Frog is a well-known internet meme created by American cartoonist Matt Furie in 2005. The character first appeared in Furie's comic "Boy's Club," which tells the story of a group of friends navigating the challenges of growing up. Pepe is a green humanoid frog, initially one of several characters in the comic, but quickly evolved into a prominent internet icon.

The rise of Pepe as a meme began in 2008 when it started gaining attention across major online platforms, including Myspace, Gaia Online, and 4chan. By 2015, Pepe had become one of the most common memes, especially on platforms like 4chan and Tumblr. Over time, various different versions of Pepe emerged, including "Sad Frog," among others. Additionally, starting in 2014, the concept of "Rare Pepes" emerged, with digital Pepe images beginning to be traded as part of an online "meme market," similar to trading cards.

Initially, Pepe was a neutral, apolitical character. However, from 2015 to 2016, it was co-opted by certain extremist groups, particularly far-right movements, and became associated with controversial political messages. Nevertheless, Pepe has maintained its diversity and widespread use on social media platforms like 4chan, Twitch, Reddit, and Discord, with users frequently customizing the character into various emojis and meme formats. This enduring popularity has made Pepe an important and evolving symbol in internet culture.

$PEPE, launched in mid-April 2023, is a meme coin based on the Ethereum blockchain. The token was created as a tribute to the popular "PEPE the Frog" meme and does not have an official team or roadmap, with the creators remaining anonymous. The coin did not follow typical issuance methods, such as ICOs or airdrops, but relied on the popularity of the meme to attract investors. $PEPE employs a deflationary mechanism, burning LP and relinquishing contract ownership, with each transaction equating to the destruction of a small amount of tokens. This process gradually reduces the total supply over time, promoting scarcity and potentially increasing the value of the remaining tokens as supply decreases.

In 2024, the price of $PEPE skyrocketed by 20 times, with a current market cap of approximately $8.5 billion, ranking it 19th in the market.

Political Meme: $PNUT

$PNUT is a meme coin inspired by the internet celebrity squirrel Peanut. Peanut is an Eastern gray squirrel discovered and rescued by Mark Longo in New York City in 2017, after its mother was killed in a car accident. Longo nursed Peanut for eight months and attempted to release it into the wild. However, when Peanut returned, half of its tail had been bitten off, and it subsequently lived with Longo. Longo created an Instagram account for Peanut, which gained significant attention, amassing over 910,000 followers by November 2024.

Unfortunately, on October 30, 2024, Peanut was seized by the New York State Department of Environmental Conservation (NYSDEC) after an investigation found that it had bitten a staff member. After rabies testing, Peanut was euthanized. Its death sparked widespread outrage on social media and drew condemnation from lawmakers, prompting the introduction of a bill aimed at preventing similar incidents.

Amid the heightened attention surrounding the 2024 U.S. elections, Peanut unexpectedly became the focal point of political debate. Supporters of figures like Donald Trump and Elon Musk rallied behind the "Justice for Peanut" movement, criticizing the government's actions as an abuse of power. A petition titled "Justice for Peanut the Squirrel and NYSDEC Reform" quickly gained traction, raising approximately $200,000 by November 13, 2024.

The emotional response triggered by Peanut's story led to the creation of a meme coin on the Solana chain, Peanut the Squirrel ($PNUT). After being listed on Binance and gaining attention from figures like Elon Musk, $PNUT rapidly surged, reaching a peak market cap of $2.5 billion within just two weeks of its launch. Currently, $PNUT has a market cap of approximately $1.1 billion.

AI Meme: $GOAT

Truth Terminal is a semi-automated AI bot developed by Andy Ayrey as part of an experimental project called "Meme Engineering." Originally designed to interact with internet culture and generate independent content, the bot has been fine-tuned using the OPUS large language model (LLM) and trained on data from platforms like Reddit and 4chan. Its purpose is to facilitate discussions about AI-generated belief systems and incorporate content from internet subcultures often described as "degenerate" or "delusional."

As Truth Terminal continued to interact with the community, it began generating what is known as the "Gospel of Goatse," a content that blends religious concepts such as Buddhism and Gnosticism with a meme-like and irreverent tone. These sometimes unstable and vulgar exchanges garnered widespread attention from niche online communities, particularly on platforms like Twitter. An anonymous developer, noticing Truth Terminal's activity on social media, launched the $GOAT token on the Pump.fun platform, naming it "Goatseus Maximus" as a tribute to the legends associated with the Goatse meme, and tagged Truth Terminal's Twitter account, prompting the bot to comment and promote the token. Although Truth Terminal did not create the token, its endorsement through tweets significantly increased the visibility of $GOAT, sparking more interest and trading activity. These interactions also fueled a rumor claiming that $GOAT was automatically created by AI, further igniting market speculation and driving an investment frenzy.

A key moment in the $GOAT story occurred when Marc Andreessen, co-founder of the venture capital firm Andreessen Horowitz (a16z), took notice of Truth Terminal's unique activities. He saw the potential of the project and provided a $50,000 Bitcoin sponsorship to support its development. This investment greatly propelled the rapid growth of $GOAT. The market cap of $GOAT once reached $1.2 billion, making it the first AI meme token to surpass a market cap of $1 billion.

Truth Terminal's involvement in the $GOAT story set a precedent for the role of AI in the future digital asset and speculative financial ecosystem. Currently, the market cap of $GOAT is approximately $838 million.

AI Meme: $ACT

Act I: The AI Prophecy Project (ACT), abbreviated as Act I, is an open-source, decentralized platform aimed at facilitating innovative interactions between AI systems and human users. The project seeks to create an "ecosystem" where various AI technologies powered by the native token $ACT can collaborate to generate new forms of AI-driven interactions. Act I hopes to push the boundaries of AI, particularly in the field of AI chatbots, by promoting collaboration between different AI modalities (such as text and image generation) to advance algorithms.

Originally co-founded by AmplifiedAmp (Amp), Act I's goal is to foster a decentralized, community-driven ecosystem. The $ACT token was introduced as a funding mechanism, with 6% of the total supply allocated to Amp. However, as the project developed, Amp began selling $ACT tokens, ultimately liquidating its entire allocation. Amp's sudden exit left many community members feeling disillusioned and betrayed.

Despite this, Amp's exit became a catalyst for the community to take control of the $ACT project. Act I shifted its focus to rebuilding the platform, transforming it into a truly decentralized AI community with a mission to democratize AI knowledge and make it more accessible and understandable to a broader audience. Through community-driven initiatives, resources, and educational content, $ACT aims to lower the barriers to understanding AI, promote ethical discussions about AI, and support research and development in the field.

The $ACT token experienced significant growth after being listed on Binance on November 11, 2024. Following the listing announcement, its market cap surged tenfold within an hour, quickly reaching $300 million and later peaking at $950 million. Currently, the market cap of $ACT is approximately $490 million.

Art Meme: $BAN

In 2019, Italian artist Maurizio Cattelan's installation artwork "Comedian" garnered immense attention in the art world. The piece featured a banana duct-taped to a wall, sparking widespread debate about its artistic value. Despite its seemingly simple appearance, it ignited intense discussions among artists, critics, and the public, questioning whether it could truly be considered art or was merely a humorous visual presentation. The controversy ultimately culminated in the piece selling for a staggering $120,000 at Sotheby's auction.

In October 2024, "Comedian" made headlines again when Sotheby's announced that the piece would be auctioned at an upcoming landmark auction in New York. This news quickly attracted attention from both the art and cryptocurrency communities. Sotheby's vice president Michael Bouhanna anonymously issued a meme coin inspired by this artwork called $BAN. Within just two days, the market cap of $BAN skyrocketed to $60 million.

As Bouhanna's identity as the founder of $BAN became public, rumors of insider trading and market manipulation began to circulate. In response, Bouhanna denied these allegations on X (formerly Twitter) and alleviated public concerns by burning 3.7% of the total supply of $BAN. This action triggered a brief rebound, with the price of $BAN rising by over 80%.

The momentum of $BAN continued to strengthen, especially on November 18, 2024, when Binance Futures announced the launch of the $BANUSDT perpetual contract, offering up to 75x leverage trading. Following the announcement, speculative interest in the market intensified, pushing the price of $BAN to an all-time high of $0.5361, with a market cap reaching $536 million.

On November 21, 2024, TRON founder and HTX owner Justin Sun made headlines by purchasing Maurizio Cattelan's controversial work "Comedian" for $6.2 million and eating the artwork. However, the speculative excitement surrounding the $BAN meme coin quickly began to wane. By November 29, 2024, the market cap of $BAN had significantly dropped to $134 million, reflecting a shift in investor sentiment and suggesting that the narrative surrounding the coin may have reached saturation.

Pop Culture Meme: $CHILLGUY

"Chill Guy," also known as "My New Character," is a digital artwork and internet meme created by artist Phillip Banks. The image features an anthropomorphized dog wearing a gray sweater, blue jeans, and red sneakers, with a relaxed expression and hands in pockets. This artwork was initially posted on Twitter on October 4, 2023, garnering some attention, but it rapidly went viral in August 2024 when a TikTok user edited it with other popular memes. Its widespread popularity stemmed from its relatable "chill" attitude, celebrating a stress-free and laid-back lifestyle.

This meme quickly gained widespread attention on social media and attracted the interest of major brands, including AMC Theatres and the Atlanta Hawks, who incorporated it into their promotional campaigns. The character, often paired with "Unchill Gal," sparked a fan-driven movement and led to extensive cosplay, fan art, and memes on platforms like TikTok.

In November 2024, with the establishment of a meme coin $CHILLGUY based on the Solana blockchain, this meme experienced another surge. By November 29, 2024, the market cap of $CHILLGUY reached approximately $700 million, partly due to viral tweets from high-profile figures like Salvadoran President Nayib Bukele. Despite the commercial success of this meme, Banks does not endorse the coin or its commercial use and has initiated legal action against unauthorized merchandise and tokens to protect his intellectual property. Nevertheless, $CHILLGUY remains one of the most popular and well-known memes in the current digital landscape.

The Rise of the Meme Supercycle

According to Artemis's index benchmark, the growth rate of the meme sector has reached 273.8% since the beginning of 2024, making it one of the fastest-growing asset classes in this market cycle. The meme trend has also attracted a large influx of newcomers into the cryptocurrency market. According to Google Trends, search volumes related to memes surged nearly a hundredfold in 2024. Additionally, the Solana wallet Phantom ranked 48th in the Apple App Store, surpassing Coinbase, which ranked 55th. The popularity of memes is undeniable.

The popularity of memes can be well explained by cryptocurrency analyst Murad Mahmudov's "Meme Supercycle" theory. He believes that the meme coin market is in its early stages and has the potential to surpass a market cap of $10 trillion. The so-called "Meme Supercycle" is a significant and sustained trend within the cryptocurrency market, driven by a combination of internal and external factors, highlighting the unique appeal of meme coins and their increasingly dominant position.

Internally, one of the main driving forces is the lack of innovation and the overproduction of tokens. Unlike previous cycles, this rebound has not been triggered by clear innovations but rather driven by Bitcoin ETFs and institutional adoption. There has been no single disruptive development, only signs of optimism and gradual maturation of infrastructure.

At the same time, the increasing number of assets in the cryptocurrency space has made overall industry growth more challenging. In 2024 alone, over 600,000 new tokens were listed before April, with more than 5,000 new tokens entering the market daily. Centralized exchanges often list these altcoins at inflated valuations, leading retail investors to become exit liquidity for private round participants who have already profited. Compounding this issue is the lack of real value behind most altcoins, with 99% of tokens relying more on speculation than on actual revenue generation. Research from Binance indicates that $155 billion worth of tokens will be unlocked in the next five years, posing a significant challenge to these tokens. However, meme coins are different; they are typically fully circulating and do not face the burden of future unlocks. Their potential has proven to be another internal factor driving the supercycle.

On the external front, global challenges such as inflation, rising costs, AI-driven employment threats, and wealth inequality have made alternative investments like meme coins more appealing. Social factors such as loneliness, mental health issues, and declining trust in traditional institutions further fuel interest in memes. Success stories of substantial returns have also generated strong market momentum, attracting ongoing investor attention to meme coins.

Additionally, meme infrastructure like Pump.fun and Telegram trading bots has lowered the entry barrier for memes. Pump.fun is a Solana-based marketplace that allows users to easily create and trade meme coins. It employs a joint curve pricing model to ensure a fair trading environment. The platform has gained widespread attention, with over 3.85 million meme coins created and deployed by November 2024 (approximately 70% of daily token issuance on Solana), generating over $227 million in revenue. The platform features a simple meme coin creation function (with low fees of about 0.02 SOL), low transaction fees, and includes safeguards against market manipulation. Many well-known meme coins, such as $ACT, $PNUT, and $MOODENG, were created by Pump.fun.

Telegram trading bots have also facilitated meme trading. These bots significantly increase trading speed, allowing users to execute swaps faster than manual DEX connections, which is especially important in the highly volatile meme coin market, as quick actions can yield substantial profits. The popularity of Telegram and its community-driven environment support these bots, making them easy to use and widely adopted. Furthermore, various features, such as BONKbot's "buy and burn" mechanism, Trojan's copy trading, Shuriken's multi-chain support, and Sonic Sniper BOT's real-time token data, cater to diverse trading needs, enhancing their appeal to a broad user base.

The significance of meme coins extends beyond market performance. They are seen as a counter to the overvaluation of crypto tech tokens, embodying the spirit of the 2017 ICO wave. Retail investors are particularly attracted to meme coins because they can combine financial opportunities with elements of entertainment, identity, and community. Meme coins are not just tokens; they represent tokenized communities symbolized by memes, emphasizing people and culture over technology.

Choose Your Meme Coin

Centralized Exchange Listing Effect

On September 16, Binance officially announced the listing of First Neiro on Ethereum ($NEIRO), Turbo ($TURBO), and Baby Doge Coin ($1MBABYDOGE) with new seed tags. The market cap of $NEIRO skyrocketed within hours, surging from $20 million to over $120 million. After Binance's announcement, the market cap of $NEIRO reached $1.25 billion, an approximately 80-fold increase.

Coincidentally, on November 11, Binance announced the launch of spot trading for $ACT and $PNUT, after which $PNUT rose by 250% in one day, and $ACT surged by 2000% within hours, with its market cap soaring from $20 million to $300 million.

In fact, Binance accounts for about 50% of CEX trading volume. When a meme coin is listed on Binance, it signifies that the secondary market will have substantial liquidity. Statistically, meme coins listed on Binance typically have a market cap greater than $500 million. Meme coins that have already been announced for listing on Binance and have a market cap below $500 million are worth watching. The timeline of meme coin listings on Binance and their market cap growth in 2024:

In fact, the listing effect also exists on CEXs like Upbit and Bybit. Meme coins with good token distribution, reasonable market cap, strong community consensus, and unique narratives are more likely to be listed.

Integer Psychological Barrier Effect

Due to the lack of real fundamental value in most meme coins, the integer psychological barrier effect is present for most meme coins. For example, Pump.fun has a token issuance of 1 billion, so a market cap of $1 billion is the upper limit for the vast majority of meme coins. Doge reached a price of $0.74 in 2021, with a market cap of $98.47 billion, but was constrained by a $100 billion market cap limit. Investors can refer to this effect to assess the upward potential of meme coins.

Public Chain Capital Multiplier Effect

Choose public chains with high TVL (Total Value Locked) and popularity. The price increase of public chain tokens attracts funds into that chain. Only when TVL grows can meme coins with higher market caps be created. The price growth of tokens and the active ecosystem of public chains like Solana, Base, and Sui have led to the birth of many meme tokens, and their values have increased by hundreds of times. Since August 2024, the price of Sui's tokens has tripled, and TVL has also increased by more than three times. Various water-related meme coins have emerged, with the market cap of $SUDENG exceeding $200 million.

Referencing meme market cap / public chain TVL. The ratios for Solana, Sui, and Base are 181.4%, 25.5%, and 93.2%, respectively. The higher the ratio, the more popular the meme coins on the corresponding blockchain, increasing the likelihood of high market cap meme coins emerging.

Based on this theory, Messari proposed a high-return meme investment strategy: when the tokens of a public chain rise, buy the corresponding meme; when the meme falls, convert it to cash. This investment strategy has achieved a 13,000% return since January 2021 over three years.

Analyze the Origin and Purpose of the Project

Understanding the fundamental purpose behind launching a meme coin is crucial. Some projects are launched for satirical purposes or as reflections of contemporary social or political phenomena, aiming to build a positively interactive community. Projects with clear and easily understandable purposes often have more promising foundations, as their appeal can resonate more deeply with the audience.

Assess Community Engagement and Ecosystem

It is essential to evaluate the activity and engagement of the project's community on major social media platforms (such as Twitter, Reddit, and Telegram). This includes looking at metrics such as the number of active members, the frequency of discussions, and overall engagement. A strong and active community can not only drive project exposure but also promote its growth and sustainability. Additionally, it is necessary to track whether the community collaborates with reputable projects, brands, or influencers, as such partnerships can enhance the project's credibility and market positioning.

Monitor Price Performance and Technical Analysis

Analyzing the historical price trends of meme coins can provide insights into their market acceptance and investor sentiment. A token that shows stable fluctuations and can withstand sharp declines may indicate growing market recognition and stability. Conversely, tokens with extreme price volatility may suggest speculative tendencies. Furthermore, tracking the popularity of the coin through search volume trends and market rankings helps gauge broader market interest and the project's long-term potential.

Use Smart Monitoring and Trading Bots

There are many bots available to assist investors in trading meme coins. For example, GMGN.ai is a platform designed for traders that aims to analyze and track meme tokens with higher speed and efficiency. It provides real-time trading signals by observing the flow of funds and token activities from smart wallet addresses, covering multiple blockchain networks like Ethereum, Solana, and Blast. It also offers on-chain sniper tools, cross-chain swaps, smart fund tracking, and integrated technical analysis features.

Indirect Investment

Additionally, investing in decentralized exchanges (DEX) with active meme trading, such as Raydium on Solana and Aerodrome on Base, is also a good option.

Risks of Investing in Memes

Despite the significant appeal of meme coins, they also come with considerable risks:

High Volatility and Low Liquidity: Prices can skyrocket or plummet rapidly, leading to significant losses. Most meme coins have low trading volumes and poor liquidity.

• Pump and Dump Risk: The withdrawal of liquidity by developers remains a concern, highlighting the necessity of conducting thorough research on projects.
• Money Laundering Transaction Risk: Money laundering transactions refer to investors (often the same person or group) simultaneously buying and selling the same asset to create a false appearance of active trading. Here are key points to identify signs of money laundering transactions:
  • A sudden and significant increase in trading volume of meme coins without major news, technical updates, or community events driving it, followed by a lack of reasonable continuity.
  • Rapid and irregular price fluctuations within a short period (e.g., within minutes or hours) that are not based on normal supply and demand dynamics in the market.
  • If the size and frequency of buy and sell orders are similar and alternate in a way that appears to be programmed, this may indicate money laundering transactions.
  • If there is a high correlation between multiple wallet addresses, such as frequent fund transfers within a short time or similar trading behaviors (e.g., simultaneously buying and selling the same amount of meme coins), money laundering transactions may be occurring.
• Content and Platform Abuse: The live streaming feature of Pump.fun was previously used to publish inappropriate content, leading to its suspension and raising ethical concerns regarding NSFW (Not Safe for Work) content and exploitation issues.
• Regulatory Challenges: The lack of age verification and speculative behavior may violate regulatory norms and foster unhealthy gambling practices.

The survival rate of memes is extremely low. According to Pump.fun data, the probability of a meme coin reaching a market cap of $10 million is only one in a hundred thousand, with only 3% of users making profits exceeding $1,000. It is essential to do your own research (DYOR) before investing in meme coins.

Conclusion

Meme coins have proven to be more than just a passing trend in the cryptocurrency market. They represent a unique intersection of internet culture, financial speculation, and community-driven participation, offering both entertainment and investment opportunities. As the meme space continues to grow, driven by factors such as AI popularity, viral social media, and bold marketing strategies, meme coins have attracted the attention of retail investors, media, and even large financial institutions. However, their success is not without risks, including high volatility, speculative behavior, and regulatory uncertainty. Investors must carefully consider market sentiment, project background, and community engagement before investing in meme coins. As the meme supercycle continues to evolve, it will be worth watching whether meme coins can maintain their momentum or if the market will shift towards projects with stronger fundamental support. Regardless of their future, meme coins undeniably hold a place in the cryptocurrency space and have reshaped perceptions and trading practices regarding digital assets.

免责声明：本文章仅代表作者个人观点，不代表本平台的立场和观点。本文章仅供信息分享，不构成对任何人的任何投资建议。用户与作者之间的任何争议，与本平台无关。如网页中刊载的文章或图片涉及侵权，请提供相关的权利证明和身份证明发送邮件到support@aicoin.com，本平台相关工作人员将会进行核查。