Meme Token - Crypto Academy / S4W7 - Homework Post for @wahyunahrul by @goodspeed22 22/10/2012
Helow friends, good evening all. I am glad to be here again this week. Below is my entry on the above-mentioned homework.
Question 1: Why Meme Tokens could be one type of cryptocurrency that will have a big impact on the cryptocurrency market in 2021?
As the, Meme tokens are those tokens that were created or made out of the desire to poke fun or to mimic other coin on the internet as well as on social media network. For instance, Dogecoin as the foremost on these category of cryptocurrency was made as far back as 2013 to mimic Bitcoin and it has seen huge accomplishment since then.
However, unlike other normal cryptocurrencies like Ethereum and others that are meant to serve real-world issues like being used as means of transaction, Memes are only used for jokes. But in this year 2021, digital asset world is seeing interesting impact as a good number of people are investing and making lots of money from Meme tokens.
This is as a result of the category of rich and influential people around the world that are involved in this aspect of the crypto space. And we know in 2021, there has been a heightened interest and favor generally in cryptocurrency. These people area great social media actors and celebreties that hold much influence in technological advancement like Elon Musk. He is the most active supporter of Dogecoin and from his message on Twitter come a very huge effect on Meme tokens. This happened in the beginging of 2021, he mentioned that his company, Telsa used Bitcoin to buy a car. This move heightened many people's concern about cryptocurrency as someone so popular could use this digital asset and he (Telsa CEO) continued to talk about this digital currency, even Dogecoin in his twitter messages.
His messages on April 2021, prompted people to start making findings about this meme token (Dogecoin) and it led to the spike in the value and market capitalization of Dogecoin just in 23 days. As a result, Dogecoin paved way for the invention of other mimic cryptos, as the makers based their invention on the achievements of Dogecoin, thus believing that theirs will also experience the same achievement. They (inventors) made some adjustments, so that they will see more and better lights on their meme tokens. Like Shiba Inu, Safemoon, Monacoin, Dogelon and others.
Also aside from Dogecoin, meme tokens like Shiba Inu has seen a great light early in 2021 - addition in its value, thereby being among the top 20 and has the biggest market capitalization in the whole world of cryptocurrency and also the number one meme token.
Definitely, meme tokens has seen a huge effect in the cryptocurrency market in 2021. There are up to 100 of them according to statistics. I will give detailed analysis of one of them in question 3 and 4.
Question 2: Do you think Meme Tokens is a type of cryptocurrency that shouldn't need to be created?
Not at all. I feel it should be made because of some reasons presented below:
It is inborn in humans to be happy and see things that causes the happiness through entertainment and most of the sources are online. Technology has advanced to the point of developing tokens that is meant for entertainment.
As a tonic for stress after a hectic day's job, we need such things that can uplift our spirits.
Although memes was made to showcase the way of doing things by some group, that will eventually passed to other people. Yet, people started to analyze that word - Meme to mean jokes through graphics (group of words or images), which became popular in the internet as well as social media platforms.
Blockchain is not left out in this idea of entertainment plus other benefits that Meme tokens provides, like investment opportunities. Take Dogecoin for example, many people has made huge profits as a result of the high increase in the value of this token, even the holders of this tokens support themselves financially especially those who were scammed in other communities but known belong to the Dogecoin community. They went as far as giving financial help to their sport member to attend his sporting activties.
Top well known people are promoted with the aid of meme tokens like Ronaldinho, a popular footballer, whose image appear in the advertisement video of Kishu Inu and was placed on the highest tower in Burj Khalifa. it can as well be used to get other cryptocurrencies through swapping in Justlend, Justswamp and other decentralised exchanges.
Question 3: If you had to choose to invest or trade on Meme Tokens, which would you choose? Explain your choice in detail and provide strong evidence for your choice.
I will choose to invest in Dogelon Mars (ELON) meme tokens.
Dogelon was created from Dogecoin as the name implies, Dogelon got its name from the capital city of Mars. The name also is a combination of Dogecoin and its big time investor as well as supporter of Dogelon - Elon Musk. It as pronounced as Dog-a-lon. This meme token is a good investment tool for because it has one of the worlds richest man and a celibeties - Elon Musk as an influencer.
Just as he promoted Dogecoin through his social media activities and that led to the popularity of meme tokens especially Dogecoin and its price increased, the same influience he has with Dogelon. The price of Dogelon continues to rise and it is now the 10th among the top digital currencies.
According to Kryptomoney, it is in the fore front of other tokens like Litecoin, Solana and others. In fact, Elon Musk has really played much and significant part in bringing this meme token to the lime light. Dogelon Mars regards itself as a -
"fair universal currency for the people">
It operates on a liquidity pool mechanism. The total supply is overwhelming (1 quadrillion) and of this, 50% was transferred to the Ethereum founder's wallet and the remaining 50% are stored in the other liquidity pool, where no one can gain access to. The means that the token can be accessed at the same time both by the investors and the general public.
Also what impresses me about this token is their goal as stated below:
"Dear Earth Citizens,
As you may know, I have dedicated my life to ensuring that humanity becomes a multi-planetary species. This involves work on four front: interplanetary flight, terraforming the planet, sending settlers, and creating an interplanetary currency. I am excited to announce today the launch of our forefront in our mission to Mars. The first interplanetary currency: Dogelon."
The community is vowed to do airdrop to those fans who lost money in other cryptocurrencies as a result of scam or failure in the token from time to time, so that they join the flight to Mars and beyond. This statement from their daily chart has increased the community's profit as well as its supply, which means that there is enough Dogelon tokens in the market (1 quadrillion)
Question 4: Choose a Meme Token (except Dogecoin and Shiba Inu) and do an analysis of the Meme Token with the following conditions:
If in question number 3 you choose to invest, then do a detailed fundamental analysis of the Meme Token you choose to prove that the Meme Token of your choice is a good investment tool. (Screenshot Required)
If in question number 3 you choose to trade, then do trade using a small capital or using a demo account. Show how you trade based on the information you get and explain the supporting indicators you will use. (Screenshot Required)
I choose Dogelon Mars to invest in. The following are the basic analysis of the Meme token was taken as at the time of my writing this post from Coinmarketcap.
#Price: $0.0000004759 (-6.87%)
Low: $0.00000042 High: $0.00000056 in 24 hours.
At a point from the chart is ran so high and it is still in bullish trend.
"Market Cap: $261,192,407 (-6.87%)
Fully Diluted Market Cap: $475,918,241 (-6.87%)
Volume 24 hrs: $44,316,208 (-56.90%)
Circulating Supply: 548,817,818 ELON (55%)
From the above analysis in 24 hours token is good investment tool.
Use Cases
it can be exchanged with other coins/tokens like ETH, DAI, USDT and others in Uniswap V2 and V3. See image below
The most available and recent exchanges for trading the pairs are KuCoin, Uniswap, gate.io, Poloniex and others.
Question 5. Conclusion.
Thanks to technology for giving us entertainment online, which most times relaxes our nerves through laughter. Despite the initial aim of meme tokens - mimic or mock other coins like Bitcoin, yet, improvements has been done on these tokens, as it now becomes an investment tool, that has benefited hundreds of people world over.
From the above, meme tokens are worth creating and now in recent times is gaining upper hand in cryptocurrency market. This market is being influenced by peoples feelings and emotions, as well as by active supporters of social media platforms and quite a huge profits are derived from investing into these Meme tokens that have experienced a lot of changes to suit the needs of the public.
Moreover, as an investor, one need to be careful in determining which one to invest in, in order to avoid scam or failure of the token.
Thanks to Professor @wahyunahrul for his wonderful explanations and to the Admin.
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cc: @wahyunahrul