Meme coins have become one of the biggest things in the crypto world. Their introduction into the industry has created a perfect blend of digital finance and the internet culture. Meme coins carry names of different characters, including animals and artworks, and are usually backed by passionate online communities.
These coins began as internet jokes but have become legitimate digital assets with market value. This transformation shows the ever-evolving nature of the cryptocurrency world and how powerful community-driven initiatives can be. This article discusses how meme coins moved from jokes to market movers. However, let’s start by looking into the birth of meme coins.
How Meme Coins Originated with Humor
As the name suggests, meme coins originated from online memes, which are funny images, ideas, or videos that usually go viral. Hence, meme coins are inspired by trending memes, topics, or culture on the internet.
The “father of Meme coins”, Dogecoin, was launched in December 2013. This coin was meant to be a playful parody of BTC. It was inspired by the “Doge meme”, a picture that featured a Shiba Inu dog breed named Kabosu. Developed by software engineers Jackson Palmer and Billy Markus, the coin was forked from a Lucky Coin, which was forked from Litecoin.
The creators used the Lucky Coin random block reward schedule feature to irritate potential miners and discourage them from using the tokens for payments. However, the Dogecoin official site received millions of visits in a short time and amassed a wide following. The outrageousness of its development and ease of mining attracted users who just felt like playing around with cryptos. Today, Dogecoin is one of the top 10 cryptocurrencies in the world and is accepted by millions of people.
Other meme coins like SHIB, FLOKI, and PEPE have also grown popular today. They are accepted as a means of exchange at various online platforms and industries where other cryptos are accepted. These industries include retail, e-commerce, technology, travel and hospitality, gaming, and gambling. Some industries, such as online gambling, even target crypto communities through these popular meme coins. For example, various MGA casino sites advertise their bonuses and offerings in DOGE. You are able to play your favorite slots, table games, and live casinos using the meme coin.
How Social Media Powered Meme Coin Communities
Social platforms and online forums such as Discord, X (formerly Twitter), and Reddit no doubt fueled the growth of meme coins. These platforms unite millions of people with common ideologies and interests, creating a sense of community and belonging. Hence, when a coin that resonates with them is launched, it’s easy for individuals to start seeing it as their “personal project”.
For example, within days of Dogecoin’s launch, an active Reddit community that enthusiastically promoted the cryptocurrency was formed. In its first two weeks, the Dogecoin Reddit community had over 19,000 users, which caused DOGE’s price to skyrocket by 300%.
Even after the community faced a massive hack where 11 million DOGE (approx. $12,000 then) was stolen, members stood united. They launched “SaveDogmas” two days after the cyber-attack to reimburse those who lost funds. Months later, the Dogecoin community began to carry out different projects, including a water project in a Kenyan region affected by drought and sponsoring a Nascar driver.
Due to their many initiatives, the coin garnered attention from millions globally. Within a year, DOGE’s market cap had increased to over $90 million. Today, the market cap is over $20 billion, and the Dogecoin Reddit community has grown to over 2.5 million members. It remains a great place to learn about the coin, ask questions, and share investment tips.
Other platforms like X also contributed massively to making coins like DOGE and SHIBA go viral. The use of hashtags like #Dogecoin and #ShibaInu allows holders to track and contribute to ongoing discussions about the tokens easily. Consequently, more people are encouraged to use the tokens in day-to-day transactions.
Celebrity and Influencer Endorsements
Another major reason meme coins have grown so big is endorsements by celebrities and social media influencers. These include DOGE endorsement by American rapper, Snoop Dogg, former bodybuilder Kai Greene, and former adult film actress Mia Khalifa.
However, the best example is the DOGE endorsement by Elon Musk, the second richest man in the world. He first learned about the coin in September 2018 after contacting one of the creators, Jackson Palmer. He had publicly asked Jackson to help fight Twitter scams that were impersonating him to steal users’ cryptocurrencies. Seven months after that, Musk made a tweet suggesting that DOGE was his favorite cryptocurrency.
In December 2020, Musk again tweeted, “One word: DOGE”, which caused the price to rise 25%. His biggest effect on the coin was in January 2021 when he tweeted a picture of a DOGUE magazine cover, sending DOGE prices rising 800%. Once more, on April 15, 2021, he tweeted a famous dog painting and captioned it “doge barking at the moon”, causing a 260% rise in price to a new all-time high of over 0.45$.
Other coins like EthereumMax, SafeMoon, and Solana have all enjoyed their fair share of Celebrity endorsement. In 2021, Jason Derulo tweeted on X “I betted on Solana and I had a good ride! #Crypto”. Celebrities like Mike Tyson and Steve Harvey have also endorsed the coin through their social media handles.
Although no other celebrity meme coin endorsements have made as much impact as Elon’s, they’ve certainly played a role in growing the community.
