Bittime - The crypto industry is once again enlivened by the memecoin trend, especially on the Solana blockchain. This trend gave rise to a number of new memecoins that skyrocketed to billions of dollars in market capitalization within just days of launch.
Slerf: The Memecoin That Lost $10 Million Before Launching
One of the memecoins in the spotlight is Slerf. However, Slerf's story actually begins with a fatal mistake. Instead of raising funds, the coin developer accidentally burned more than $10 million (around IDR 147 billion) in Solana tokens before launch.
The developer's mistake occurred when he was cleaning his digital wallet. Instead of throwing away unwanted tokens, he burned $10.4 million worth of Solana tokens that were supposed to be allocated for the launch.
However, despite this incident, Slerf was still launched and managed to reach a market capitalization of $500 million (around Rp. 7.3 trillion) in a matter of hours.
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Memecoin Trend: Similar to the 2017 ICO Bubble?
The current memecoin trend sparked comparisons with Ethereum's Initial Coin Offering (ICO) bubble era in 2017. During that time, many crypto projects managed to raise millions of dollars, but failed to deliver on their promises.
Memecoin is a crypto asset inspired by internet phenomena or popular memes. Typically, memecoins have no real function in the real world other than as speculative assets supported by enthusiastic online communities.
Dogecoin (DOGE), which received support from Elon Musk in 2021, is considered a memecoin pioneer. Now, in 2024, several week-old memecoins already have billions of dollars in market capitalization, creating many new "crazy rich" in the crypto industry.
Also Read: What is an Initial Coin Offering (ICO)?
Comparison with the 2017 ICO era
Comparisons to the 2017 ICO era emerged as many influencers managed to raise millions of dollars through presales to launch new memecoins. Users on social media X compared this phenomenon to the Ethereum ICO bubble. This is because many crypto projects make big promises, but disappear after raising funds. Reports in 2018 showed that more than 90% of ICO projects fail.
Not only that, there have been several cases of influencers running away with presale funds or selling them on the crypto market shortly after launch. A user on
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Flash Profits and Potential Losses
Stories of traders who make millions of dollars in a few days certainly tempt many people to try their luck in memecoin. However, in reality, most investors actually experience significant losses.
Crypto experts argue that the memecoin bubble will eventually liquidate millions of new users who massively invested their money in a technology with no real utility.
The Solana memecoin trend is an interesting and worrying phenomenon. The lightning profits that can be achieved are inversely proportional to the potential for huge losses. Investors, especially those who are new to the world of crypto, need to be careful and do in-depth research before deciding to invest in memecoins. Memecoins generally have high volatility and high risk so investors should only allocate investment funds that they are willing to lose.
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How to Buy Crypto with Bittime
You can buy and sell crypto assets in an easy and safe way via Bittime . Bittime is one of the best crypto applications in Indonesia which is officially registered with Bappebti.
To be able to buy crypto assets on Bittime , make sure you have registered and completed identity verification. Apart from that, also make sure that you have sufficient balance by depositing some funds into your wallet. For your information, the minimum purchase of assets on Bittime is IDR 10,000. After that, you can purchase crypto assets in the application. Learn Complete Guide How to Buy Crypto on Bittime .
Monitor price chart movements of Bitcoin (BTC) , Ethereum (ETH) , Solana (SOL) and other cryptos to find out today's crypto market trends in real-time on Bittime.
Also Read:
What is a Meme Coin and Why is it Popular?
Top 8 Memecoins on Solana for 2024!
Milady Wif Hat NFT Collection Hits $18.6 Million in 2 Hours of Presale
DISCLAIMER : This article is informational in nature and is not an offer or invitation to sell or buy any crypto assets. Trading crypto assets is a high-risk activity. Crypto asset prices are volatile, where prices can change significantly from time to time and Bittime is not responsible for changes in fluctuations in crypto asset exchange rates.
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