CoinMarketCap lists the three most popular meme tokens and coins as Dogecoin , Shibu Inu and Safemoon (June 2021).
Dogecoin (DOGE)
Dogecoin was invented by developers Jackson Palmer and Billy Markus. It started out as a joke, but has turned into a serious proposition since Elon Musk started championing it in 2019.
The dog-themed cryptocurrency has seen its value skyrocket in recent months, reaching a market cap of $9 billion at its peak. in January 2021.
Musk is now working with Doge developers to improve the platform, optimize it as a means of paying for goods and services, and reduce its carbon footprint.
Shibu Inu Coin (SHIB)
Shibu Inu launched in April 2021 as a "decentralized spontaneous community building experiment" and quickly rose in value by over 2,000,000% before reaching an all-time high in early May.
The token benefited from the attention Dogecoin received , in particular when Elon Musk appeared on SNL last month, prompting a DOGE sell-off after he apparently called the coin a “scam.”
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SHIB has a total supply of one quadrillion and is designed to allow users to hold billions or even trillions of tokens. Even so, analysts have warned that he would need to raise about 12 million to reach his magic target of $1.
SafeMoon (SAFEMOON)
SafeMoon aims to improve the tokenomic model of Dogecoin . Unlike Bitcoin , which has a limited supply of 21 million coins, there is potentially an infinite supply of Dogecoin , giving it what is known as an inflationary tokenomic model.
To remedy this, SafeMoon employs a deflationary tokenomic model. It means that every time a transaction is made on Safemoon, 5% of it is burned and another 5% is redistributed among the remaining token holders. Therefore, the total supply of tokens is designed to constantly decrease, ensuring "safe" and less inevitable profits with respect to bubbles.
In the spring of 2021, the token soared more than 1,500%, before plummeting 73%; its market capitalization in June 2021 was $2 billion.
What are the dangers of meme tokens?
Not everyone sees the fun side of Dogecoin and its ilk. The Thai regulator ordered platforms to delist meme tokens in June 2021, along with NFTs and fan tokens.
There's also the ever-present danger of "carpet pulls"—when developers have a bunch of coins, get people to buy them, and then dump them. This sends the market plummeting, while they get away with their money. Even seasoned investors, Mark Cuban, have been victims.
One way to mitigate the risk of snagging is to only buy coins and tokens that have been vetted, audited, or have some form of reliable third-party oversight.
The Future
Relying on influential cryptocurrencies to promote the next coin seems like a fickle venture. But the ultimate success of individual coins and tokens depends on the strength of their communities with Hokk Finance Meme Token, and the culture of influencers is not going away.
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