Pepe the Frog was one of the most popular memes in the 2000s. The “Feels good man” frenzy attracted so many users that they started creating their own version of the meme, further spreading its fame on the internet. Until today, Pepe is a well-known figure in pop culture, so it’s no wonder that it caught the audience’s attention in the crypto ecosystem as well.
The original cryptocurrency based on the meme made it to the biggest exchanges due to its massive surge in value. The Pepecoin price experienced several highs following its deployment, particularly since it’s free of taxes, features locked liquidity, and offers enhanced decentralization. And as the coin grows, it will reach higher levels of sustainability, adoption, and evolution on the market.
However, what’s interesting about the original Pepe coin is that many other adjacent tokens continue to appear in the crypto ecosystem, further supporting its popularity. But how sustainable is this trend?
Understanding The Utility Of Pepe
Pepe coin is an ERC-20 token built on Ethereum. It’s a deflationary coin, meaning the total supply will decrease over time, while the prices will increase. Pepe coin was and continues to be an attractive asset due to the meme coin frenzy, so communities highly support its evolution and development.
Besides the deflationary mechanism, Pepe also has a redistribution system that encourages long-term holding. In other words, the program allocated 1% from each transaction to a pool. From there, the system distributes coins among all holders, acting as an additional incentive for investors.
Moreover, Pepe has no tax policy, allowing investors to use it without additional fees. Therefore, Pepe can be a great tool for holding and building portfolio value, especially during periods when communities push their prices to the moon.
But Why Are There So Many Pepe Alternatives?
The initial Pepe coin is one of the meme tokens whose popularity has skyrocketed and could benefit from multiple price spikes. Other than that, Pepe might not have been the most innovative coin on the market. Interestingly, numerous alternative tokens based on the same meme have appeared recently. A simple search will give us results like the following:
- PepeSol is based on the Solana blockchain and facilitates transactions on NFT marketplaces and can be used to issue real estate NFTs;
- Baby Pepe is a community project that was initially abandoned, but it’s back on track and expected to follow in his father’s footsteps;
- Super Pepe is a growing project that deducts 2% of each transaction for automatic burn, with the liquidity provider locked;
Besides these examples, there are many other coins with no certain utility based on the Pepe token. While some of these projects have a direct connection to the original, others appear to be an experiment in how communities can drive the development of a token.
How Much Does Community Involvement Do?
Communities engaging in cryptocurrency projects have supported the growth of thousands of cryptocurrencies and blockchains. However, meme coins need this support more than any other coin, because their limited use cases can only push for innovation up to a certain point.
When users actively participate in a project, they can attract more investors, stakeholders, and developers, thereby fostering growth with minimal investment. Additionally, community engagement is crucial for promoting transparency, fostering trust, and sustaining the innovation process.
However, meme coins were met with skepticism due to their lack of stability. While they are more volatile than regular cryptocurrencies, they still proved to be useful in the grand scheme of things. Noah Perlman, CCO at Binance.com, stated that “There are still large pockets of people who think oh crypto it’s just used for criminals. It’s actually a really poor method of hiding what you’re trying to do since everything is on a public ledger.” Therefore, meme coins also play a special role in the industry.
Who Is Interested In Meme Coins?
Meme coins have been the subject of controversy from several perspectives, as they have been mostly supported by online figures. Elon Musk, for example, is one of the leading forces behind cryptocurrencies like Dogecoin and Shiba Inu, as well as Pepe. He was also a well-known figure in the meme community, so his followers were ready to invest in a coin when he tweeted about it, as was the case with Dogecoin.
Interestingly, meme coins and altcoins have proven to be an attractive investment option for retail investors, who seek better opportunities for growth, albeit with additional risks. That’s because retail traders look for innovation, which typically comes from interesting crypto projects, such as those based on memes. On the other hand, institutions continue to invest in major cryptocurrency assets, such as Bitcoin and Ethereum, as well as their derivatives.
What Is The Future Of Meme Coins?
Meme coins have to evolve along with other cryptocurrencies, so they’re changing according to trends. For example, the rise of utility-focused meme coins will reshape the market by providing a channel for DeFi (decentralized finance), P2E games (play-to-earn), and even AI-powered smart contracts. Meme coins also benefit from development on additional blockchains, such as Solana, beyond Ethereum.
Another trend to watch is the impact of AI and machine learning on meme coins, which will enhance the offerings on decentralized exchanges (DEXs) through automated systems. Machine learning, for instance, can be utilized to identify and prevent fraud in early projects.
Finally, sustainability will also rise in meme coins, alongside regular cryptocurrencies. While Ethereum and Solana are recognized as some of the most environmentally friendly assets due to their consensus mechanisms, Bitcoin continues to consume considerable amounts of energy to operate. Meme coins can settle between these extremes and find ways to operate without wasting energy or resources.
Final Thoughts
Pepe the Frog is one of the most popular internet memes. Its fame has brought it to the crypto world through the Pepe meme asset, which has provided opportunities for investors and traders. While the coin is quietly thriving, other similar cryptocurrencies appeared on the market, sharing only the concept behind them, but providing unique features.
