From Internet Sensation to Wealth Legend: An In-Depth Analysis of the Frenzy and Truth Behind Meme Coins.

Memecoins have been a major driving force in the cryptocurrency market in 2024. With the ongoing development of the Solana ecosystem and the launch of the “one-click token issuance” model by pump.fun, the barrier to issuing memecoins has further decreased, making them a “new growth point” in the blockchain ecosystem. Compared to mainstream tokens, memecoins exhibit a stronger wealth effect, frequently creating wealth legends, and recently have entered a “super cycle” narrative. Whether through integration with AI or enhanced functionality, memecoins continuously innovate and create new possibilities.

1. From Viral Sensation to Sustained Popularity: The Rise of Meme Coins

Memecoins originated from internet culture. In the summer of 2013, the Doge meme spread across 4chan and Reddit, initially created to mock the cryptocurrency market. On Dec. 8 of the same year, Jackson Palmer and Billy Markus launched Dogecoin, becoming the first meme-based cryptocurrency. In 2021, the explosive rise of SHIB and DOGE sparked a memecoin frenzy, making it an important part of the crypto industry. In recent years, memecoins have continued to gain traction in the global crypto market, with their market capitalizations and trading volumes consistently rising. According to CoinGecko, as of Oct. 30, the total market cap of memecoins has surpassed $69 billion, setting a historical high. Spectacularly, ten memecoins have entered the Top 100 crypto market ranks, including established projects like DOGE, SHIB, and PEPE, as well as newcomers like WIF, BONK, and POPCAT.

2. The Success Behind Meme Coins

Memecoin popularity is a result of several factors. Firstly, they’re closely connected to degen culture and easily spread among younger users and online communities. Secondly, the investment threshold for memecoins is relatively low. Thirdly, their high volatility and short-term returns attract risk-tolerant speculators. The viral spread of memecoins can trigger sharp price increases and decreases in a short time. In the book “Contagious: Why Things Catch On,” the author presents the STEPPS model, which summarizes six characteristics of viral marketing that also apply to memecoins:

1. Social Currency: Meme coin projects resonate with unconventional narratives, such as Cult DAO’s decentralized investment philosophy and the decentralized spirit of the “People” project. These narratives easily break norms and attract attention.
2. Triggers: Hot events have driven frequent surges in memecoin prices. Recently, Elon Musk mentioned Dogecoin (DOGE) during a speech in Pennsylvania supporting Trump’s presidential campaign, causing its price to rise by 15% within 24 hours. Musk and Trump sparked this increase by discussing the establishment of a “Department of Government Efficiency” (D.O.G.E.) to optimize government spending.
3. Emotion: Meme coins evoke high-arousal emotions, such as BONK’s mocking of Alameda’s economics, creating resonance and driving dissemination.
4. Public: Celebrity endorsements have boosted the success of memecoins, such as Elon Musk’s support for DOGE, which led to its price surge.
5. Practical Value: Although memecoins are generally viewed as speculative tools, some projects are starting to explore practical application scenarios to enhance their long-term value, such as DOGE’s payment functionality and SHIB’s ecosystem.
6. Stories: Captivating stories help memecoins spread rapidly, such as the legendary tale of “spending 10,000 Bitcoin for two pizzas,” which has become widely known. Similarly, stories of memecoin holders becoming wealthy overnight have inspired countless investors, creating a powerful momentum for dissemination.

3. Major Exchanges Driving the Meme Coin Boom: MEXC’s Initial Listing Advantage and Advantage as the “Gem Hunter”

In 2024, the strong growth of the memecoin market is largely attributed to the support of major exchanges. For example, mainstream platforms like Binance, OKX, and MEXC have successively listed several popular memecoins, attracting more potential traders for emerging memecoins. MEXC has also launched deposit-to-list events for popular meme tokens, further supporting project development.

During this wave of memecoins, MEXC has demonstrated robust initial listing capabilities and the unique advantage of the “Gem Hunter.” MEXC has created an ideal platform for listing and promoting memecoin projects by leveraging its ability to quickly discover hot and potential tokens. Since October, MEXC has completed the initial listing of several projects, such as the AI memecoin GOAT, allowing users to seize investment opportunities immediately. Compared to other exchanges, MEXC offers the widest variety of memecoins, exceeding 200 selections, attracting a large number of users eager for early investment opportunities.

At the same time, the overall liquidity of memecoins on the MEXC is strong, with many initial listing memecoins performing well in price post-listing, resulting in significant trading volume. The latest data shows that the top 15 memecoins with the highest gains on the platform have all increased by over 1,400%, with the top 5 seeing increases of over 28,000%! The wealth effects generated by these memecoins are striking, further solidifying MEXC’s leading position in the memecoin market.

The support of leading exchanges has injected more liquidity and vitality into the memecoin market. The brand effect of mainstream exchanges enhances the market’s trust in memecoins, attracting many institutional and retail investors. Additionally, their traffic advantages help memecoins reach global users faster, promoting community growth and gradually normalizing the memecoin ecosystem. More and more investors are beginning to view memecoins as a “new asset class” with community support and market recognition. As an important participant, MEXC has gained widespread recognition through its advantages, such as its excellent initial listing strategy and “Gem Hunter” ability. In the future, MEXC will continue to delve into the memecoin market, providing investors with more high-quality projects and opportunities.

Disclaimer: Cryptocurrency investments involve risks. Meme tokens are characterized by high volatility and risk. Past performance does not guarantee future results. Traders should conduct their research and assess their risk tolerance.