MEME-type programs are fair game for anyone who wants to get into cryptocurrencies or even create their own tokens. All that is required is a cryptocurrency contract and some accounts on a few trading sites. Elon Musk’s regular tweets in support of Dogecoin have helped it gain legitimacy and enough exposure that Dogecoin’s market cap has previously soared to $70 billion, edging out Ripple for the top three spot.
The “zoo” series of MEME tokens that came out of the circle were on the altar faster than Musk’s tweets. 5,000 became 100,000, 0.2ETH became 12 million, and this kind of blood-curdling news not only broke the circle of friends, but also pushed on the news.
But where is the value?
MEME tokens are valuable, not because of any fundamentals, or because they are backed by P/E ratios or a strong economy, MEME tokens are valuable because they went viral on social media and gained the attention of normal people (known as retail investors).
It sounds very Wild West, and the scammers in No Man’s Land are going all out. The game play is also simple, I open, you inject, I harvest, you defend. The essence of the doubling game is to use the herd effect to shape a “winner”, the winner of a few days turned hundreds of times thousands of times, so the brainless play money, just like the Monopoly game, the most profitable or the bank.
However, all copycat actually started after the launch of SafeMoon, which uses a relatively “new” technology in cryptocurrency. Most traditional cryptocurrencies (like Bitcoin) rely on powerful algorithms that reward people for “mining” bitcoins – using highly complex computer programs and computing power to solve a real problem. This is to create a currency with limited inflationary characteristics, so we can see that the total number of bitcoins is about 20 million.
SafeMoon takes a different approach. Instead of using complex mathematical formulas, mining, etc. to obtain tokens, it simply issues a large number of finite tokens and “burns” them off as the number of holders increases.
When a user sells SafeMoon, a 10% “exit tax” is levied, and half of that 10%, or 5%, is divided equally among all holders, while the other 5% is divided into two equal parts, one to the contract owner for increased liquidity, and the other half is destroyed. This active deflation is a new model than before, so when the increase is higher than 10% buyers will consider to exit.
FairSafe, FASTMOON, MoonSoon, Moonstar, MoonTicket, NextMoon, Riskmoon, SafeBTC, SafeGalaxy, SAFEMARS, SafeOdyssey, SafePitBull, SafeRocket, SafeStonks, WenMoon These imitations seem to have sprung up overnight, with a collection of anonymous teams + DEX, and the means of promotion have changed from a simple burning model to playing with stems + subculture + flying off the planet to Mars and so on. The flow of traffic surged at the same time, the account balance kept doubling and doubling, and the retail investors were in a trance back to the WSB force over Wall Street financial predators to defeat capitalism a few months ago.
This type of replica of the model is endless, the reasons for this are as follows.
Technically copied wholesale, various channels can be a piece of coin issuance, the cost of issuing coins is very low, no landing project support
Heavy reliance on the establishment of community culture, relying on unscrupulous media publicity
The herd effect shaped by the “winners”, viral promotion news all over the world, and the Pyramid
Exchanges are greedy for traffic, and a large number of unvetted projects go live on the exchange in just a few days, with projects being “converted” directly
The natural marginality of DEX is a carnival paradise for dirt dog projects, and the lack of regulation makes it easier to create myths of riches.
After the market returns to sanity, is it starting from scratch?
The week ending May 20 saw one of the biggest declines in recent months. The entire market fell more than 40% from its peak, with riskier tokens suffering even greater losses. Volatility has reared its ugly head, leading coins have cut back, and cottage coins have recovered all their upside.
There wasn’t a valid catalyst to explain the past week’s move, with the sell-off originating from new lows in Bitcoin’s reign rate, the last hurrah of MEME-like projects and Musk’s tweet that Tesla is no longer accepting Bitcoin as a payment method due to environmental reasons.
Also macro factors concerns were a factor, mainly from higher than expected inflation of 4.2%, and these sparked concerns about cryptocurrencies. More bearish news such as the flow of news that CoinA is facing regulatory scrutiny and China cracking down on the bitcoin mining industry, etc. Rome wasn’t built in a day, but multiple salvos were enough to obliterate it.
The existence of Bitcoin is a group consensus that has been landing for over a decade, and especially this year, we can see that more and more institutions are recognizing Bitcoin’s status, which is the general trend in the rolling tide.
As for, what social problems Bitcoin can solve and what positive impact it can have on us, I’m afraid Satoshi Nakamoto didn’t think of that when he designed it in the first place. Because Bitcoin is a product of the initial blockchain, a reward for miners to help test packaged transaction information, it cannot support a vertical ecology, and by the same token, neither can MEME-type projects, they are all grains of sand in the consensus pile, except that Bitcoin has a little more weight.
Whether MEME-type projects will resurface in the later stages, we do not know, it is foreseeable that when the market returns to rationality, the fastest rebound is the fundamentally good, valuable investment target projects. The market will always leave a place for those who fear him.
Posted by:CoinYuppie，Reprinted with attribution to:https://coinyuppie.com/from-meme-blocks-to-100-billion-evaporation-what-has-the-crypto-market-really-gone-through/
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