The cryptocurrency world is filled with thousands of digital coins, each claiming to be the next big thing in the crypto space. But is it really true? The fact is anyone with the required knowledge can create a cryptocurrency, but it all depends on the utility it provides. According to experts, more than half of the available cryptocurrencies are useless and may become obsolete in the coming years or decades. It is one reason many investors prefer sticking to popular and relatively old cryptocurrencies like Bitcoin and Ethereum.
While investors can buy Bitcoin in India whenever they want, an increasing number of investors desperately want to invest in other types of cryptocurrencies. While altcoins are a popular option, some investors are seriously considering investing in meme coins. The cryptocurrency market currently offers over 5,000 meme coins, but not all deserve to be added to your portfolio. If you’ve just started your cryptocurrency journey and are wondering what meme coins exactly are and whether or not you should invest in them, this guide is here to answer all your questions.
What are Meme Coins?
When you hear the word “meme coin,” you would probably think of Dogecoin. And there is nothing wrong with that. Dogecoin was the first meme coin that created waves in crypto space after Elon Musk tweeted in support. It is also the most popular meme coin dominating the market. But what exactly are meme coins? Let us explain it. Meme coins can be best defined as spoof coins, as they were first created with the intention to mock the rapidly rising number of altcoins in the space. One of meme coins’ biggest disadvantages is their lack of real-world utility.
No doubt, people that invested in meme coins have earned excellent profits, but it doesn’t overshadow the fact that they don’t come near to Bitcoin and altcoins in terms of utility. If you’re considering diversifying the portfolio by adding some meme coins, you should buy Dogecoin. It is one popular meme coin with a good development team. Dogecoin’s founders are trying hard to add some utility to it so Dogecoin can compete with other popular cryptocurrencies. You can find other relevant meme coins worth your attention, so keep searching for them.
Top Meme Coins for Investors
If you follow the crypto market closely, you will notice some meme coins are making it big in the space. Investors in the beginner category can try trading with some popular meme coins to reduce the risk of losses. For those new on the block, you have to give attention to the following popular meme coins:
Created in 2013, Dogecoin was created to poke fun at altcoins. Although it is not a very effective store of value, it can be used to make payments and facilitate online transfers without requiring the help of any third-party financial institution. There are infinite numbers of Dogecoins, which give it an inflationary status. As many crypto exchange platforms facilitate buying and selling of Dogecoin, investors can easily get it without much hassle.
- Shiba Inu
Dogecoin’s direct competitor, Shiba Inu, is an Ethereum-based meme coin. Shiba Inu can run smart contracts to trigger advanced functions, giving it an edge over Dogecoin and other meme coins. It is also widely known as the Dogecoin killer because of its ability to run smart contracts, which Dogecoin lacks.
- Floki Inu
A dog-themed meme coin, Floki Inu, was originated by the supporters of Shiba Inu. Its main highlight is that it aims to take community efforts a notch higher. People that support Floki Inu call themselves Floki Vikings. This meme coin has ranked in LunarCrush’s list of top 10 social engagement leaderboards.
Based on Litecoin’s hard fork, this meme coin is a decentralized cryptocurrency. It was built on the Lyra2E algorithm and is a well-known peer-to-peer payment network. Like other decentralized projects, MonaCoin doesn’t belong to just one person but to all users. Also, the advanced P2P technology used by the developers makes MonaCoin more independent and self-governing.
Buying Meme Coins Can be a Serious Investment
Even though some investors may write off meme coins as nothing more than a joke, their rising popularity cannot be overlooked. People that were willing to take risks by investing in meme coins have earned a great deal of profits. Since many meme coins enjoy an excellent reputation and value in the market, people can certainly make good profits by trading them in the short term. However, we’d suggest conducting our own research before buying any meme coin, as cryptocurrencies are highly volatile and are subject to sudden wild price swings.