People have been paying a lot more attention to meme coins lately, hoping that they will be the next big crypto to boom, thanks to the success of coins like WallStreetMemes. The attention WallStreetMemes received from famous individuals worldwide, such as Elon Musk, amplified the hype and increased eagerness among potential meme coin investors.
For those who don’t already know, Richard Dawkins coined the term “meme” in his book “The Selfish Gene.” A “meme” is basically a way to measure how popular and influential an idea is in society. A meme can literally be anything, from a photo of a cat making a silly face to a video of a grandma breaking dance. What are the best meme coins to invest in for 2023, and how do they make money? Let’s find out.
So, What Are Memes?
You should know what memes are and how they work before investing in them, even though they were briefly described at first. It makes perfect business sense to invest in meme coins just as you would in a company you were investing in.
Memes have existed in various forms since 1993, but they became popular in the mid-2000s. So, while it is true that Richard Dawkins coined the term, the one we use today was changed by a man named Mike Godwin when he began calling the pictures posted on early internet sites “memes.”
Since then, the simple meme has grown into a cultural and pop phenomenon, with memes available for literally any kind of situation, popular person, song, or unique moment. Because memes actually make up a lot of the internet, they tend to bring a lot of traffic to sites like 4chan, Reddit, Instagram, and even Facebook, to name a few. These sites profit from this traffic, and over the years, they’ve made billions of dollars just by posting funny pictures of cats and grandmas breakdancing. Yes, it’s weird, but that’s the internet for you.
Now, meme coins began with Dogecoin, which is basically a normal cryptocurrency based on the well-known Shiba Inu meme “doge.” For the first time, a meme transformed into a currency. Dogecoin has a market cap of $9.57 billion right now! Wall Street Memes was the next company to join the trend. They basically turned their NFT collection of memes into a coin lately, and so far it’s doing pretty well. For the first time in history, we can now turn digital trash into a highly profitable product. Those silly cat pictures and dancing grandma GIFs can actually be worth a lot.
How Do Meme Coins Work?
Thankfully, meme coins are the same as other cryptocurrencies. The only difference is that they don’t have all the serious financial branding. Instead, they have memes! These coins are basically intended to function like a cheap digital substitute for real money and are typically sold for very low prices. They are cheaper and give you a lot more options, but most places and even some internet shops don’t accept them as a means of payment. To move them around, you’ll need to change them into a more trusted cryptocurrency like Bitcoin, Ripple, or Ethereum, or you can just cash them in at a cryptocurrency exchange.
The open-source Ethereum ERC-20 smart contract technology is what most meme coins are based on. It means they use the same source code and computer network as Ethereum. Since Ethereum is currently regarded as the most trusted option to Bitcoin, the most established of cryptos, its existence undoubtedly adds another level of trust and security for them.
Now, there are literally almost as many meme coins as there are memes, and you can find up to 340 coins on various sites around the internet. Since Ethereum provides an open-source system, basically anyone with sufficient coding expertise and experience can create their own coin and base it on anything they choose.
Investors may be drawn to the many options, but not all meme coins are good investments. Only invest in the more popular and trusted meme coins, hosted on reputable exchanges with larger market caps. This is because they are less likely to crash or be very unstable. On the other hand, it can be quite profitable, albeit a little risky, to know how to ride the instability and get in and out of coins that change value fast. But the truth is that trading on more popular measures like the VIX (Volatility Index) is also fraud. Wall Street brokers have been using this trick for years to make huge profits every year.
Which Meme Coins Should You Look Out For?
In other words, it’s difficult to tell which meme coin will be the next big riser or faller. If you’ve heard that cryptos can change quickly, this is now more true than ever with meme coins.
Sticking to safe, popular coins like Shiba Inu and Dogecoin is a beneficial option for more conservative buyers. With these coins, you can make steady but safe gains with not too much risk. Coins like PEPE and Floki Inu may be more suitable if you’re looking to profit from fast, risky trades.
You’ll often find that investing in a meme coin and then trading on how it will perform at the same time can significantly increase your profit. It’s also worth looking around some of the more trusted trading sites that offer trading on meme coins. Remember, investing more money doubles your risk. However, by spending some time looking at the chart’s past data, you should be able to get a general idea of how the coin is doing and be able to spread your bets.
It’s always a beneficial idea to invest time in new coins’ pre-sales. Developers of a new coin usually give their coins at a very low price when the coin first comes out to get people to invest in it. It’s important to remember that a coin has no assets that it can use as protection or even to boost its market worth. What the coin is worth is essentially the sum of the money invested in it. You’ll frequently find that if you hang on to a few coins at a lower price and then see their value rise quickly, you can actually make a good profit when the coin truly sells at its full market value. It’s also a good idea to invest in a coin early on so that you can be sure that you’ve already invested in it and will stand to profit if it goes through any significant price jumps.
Conclusion
Like I said, meme coins are the coolest and most unique way to use cryptocurrency so far. If you know how to handle them, these oddities can be fun, thrilling, and lucrative.
However, before you invest in any of them, ensure you thoroughly research them. You would rather not make the mistake of losing a lot of money on a bad investment. Do the work to actually research the price yourself and compare different exchanges to find ones with low fees that are still trustworthy and not shady. In the past, some of these exchanges have turned out to be complete scams.
Fortunately, there are many trusted markets available, and if you learn how the process works with more safe coins, you’ll quickly become an expert at investing and learning how to ride the bulls with confidence.
