The Rise of Memecoins: From Internet Joke to Market Powerhouse
In the fast-evolving world of cryptocurrency, few phenomena have captured attention and capital like memecoins. Once dismissed as internet jokes with no intrinsic value, memecoins have emerged as a dominant force—driving trends, shaping narratives, and generating explosive returns. In 2025, they are no longer fringe experiments but central players in the crypto ecosystem.
If infrastructure projects like oracles, bridges, and decentralized storage form the backbone of blockchain technology, memecoins represent its cultural nervous system—the viral “trending topics” that fuel engagement, attract new users, and serve as the crypto industry’s ultimate traffic magnet.
KOL Murad famously predicted a "super cycle" for memecoins in 2024—a forecast now validated by market dynamics. While early memecoins were purely humorous creations with no clear valuation model, today’s most successful ones combine humor, community strength, and strategic narrative evolution to deliver real financial outcomes.
What Makes a Meme Go Viral?
To understand memecoins, we must first understand memes themselves. A meme—derived from the Greek word "mimeme," meaning "that which is imitated"—is a unit of cultural transmission. In digital culture, it spreads rapidly due to three core traits:
- Narrative richness: It tells a story or evokes emotion.
- Humor and relatability: It resonates through wit or shared experience.
- Low cognitive barrier: Anyone can understand and share it instantly.
Modern meme propagation follows a three-stage lifecycle: imitation, mutation, and competition. Take the Chinese phrase “遥遥领先” (“light-years ahead”), initially used sincerely by Huawei fans to praise product superiority. Over time, as prices rose and quality perception declined, it mutated into an ironic taunt—a classic example of meme evolution through public sentiment.
This dynamic aligns with communication theorist Denis McQuail’s Uses and Gratifications Theory, which explains why people engage with media content. Memes satisfy four key psychological needs:
- Mood regulation – e.g., IQ 50-themed coins humorously suggest even the least knowledgeable can get rich.
- Social interaction – communities bond over shared memes on Telegram and Discord.
- Self-identity confirmation – holding certain coins signals political or ideological alignment.
- Environmental monitoring – new memes reflect societal shifts in real time.
A Brief History of Memecoins
1.1 The Birth of Doge
The first true memecoin was Dogecoin (DOGE), launched in 2013 on Reddit as a lighthearted parody featuring a Shiba Inu dog. At the time, Ethereum hadn’t even launched. Despite its origins in satire, DOGE gained traction for its fun, inclusive community and low transaction fees.
Other celebrity-inspired tokens followed—CoinYe (Kanye West), PotCoin (cannabis), MaxCoin (Max Headroom)—but none achieved lasting impact. It wasn’t until Ethereum’s rise and the ICO boom of 2017 that token creation became technically accessible. By 2020’s DeFi summer, decentralized exchanges enabled secure peer-to-peer trading, laying the foundation for modern memecoin markets.
1.2 The 2021 Explosion
In 2021, DOGE surged 81x—not due to tech innovation, but because of one man: Elon Musk. After being humorously voted CEO of Dogecoin by Twitter users, Musk began regularly promoting it online, turning it into a cultural phenomenon.
That same year, Shiba Inu (SHIB) redefined the game by integrating DeFi mechanics like staking rewards and decentralized exchanges (ShibaSwap), blending meme appeal with utility. This period marked the true beginning of memecoins as investable assets—though they were quickly overshadowed by the NFT craze.
NFTs offered scarcity, digital ownership, and elite status—appealing to collectors. But their high gas costs and illiquidity limited mass adoption. Memecoins, in contrast, thrived on accessibility and velocity.
The 2024 Super Cycle: Why Now?
After the 2022 collapse of FTX and Three Arrows Capital eroded trust in VC-backed projects, retail investors began questioning traditional investment logic. Instead of chasing pre-sold tokens with large vested teams, many turned to grassroots opportunities—low-cap, fair-launch memecoins where early believers could become overnight millionaires.
This shift catalyzed the memecoin super cycle of 2024, driven by three key forces:
- Solana’s performance advantage: Faster transactions and lower fees made Solana ideal for high-frequency meme trading.
- Pump.fun’s democratization of issuance: This one-click launchpad allowed anyone to create a coin in seconds, fueling unprecedented innovation.
- New narrative frontiers: Political and AI-themed memecoins captured global attention during election cycles and AI breakthroughs.
By late 2024, memecoins accounted for over 5% of total crypto market cap—a staggering rise from near-zero just two years prior.
Memecoin vs NFT: A Battle of Cultures
While both NFTs and memecoins stem from internet culture, their trajectories diverged sharply.
| Aspect | NFT | Memecoin |
|---|---|---|
| Distribution | Scarcity-driven (1-of-1 or limited editions) | Abundance-driven (billions of tokens) |
| Accessibility | High floor prices exclude casual users | Low entry cost invites mass participation |
| Liquidity | Low; many JPEGs sit idle | High; constant trading on DEXs |
| Community Growth | Top-down (IP-first) | Bottom-up (community-first) |
As KOL Murad noted:
“Even in successful NFT projects, about 3,000–4,000 people promote 10,000 illiquid JPEGs. With memecoins, the system is far more efficient.”
Platforms like OpenSea saw declining volumes while Solana-based DEX Raydium rose to become the most active exchange—largely thanks to memecoin volume.
How to Evaluate a Memecoin
Investing in memecoins is often likened to buying lottery tickets—high risk, high reward. But there are frameworks to improve odds.
Core Evaluation Criteria
- IP Strength: Does the concept have viral potential? Is it emotionally resonant?
- Community Vitality: Are users creating content? Is engagement organic?
- Capital Inflow: Are whales accumulating? Is there smart money movement?
MIIX Capital proposed a valuation formula:
Value = Narrative Scale × Emotional Frequency × Celebrity Impact × Media Share
But ultimately, value comes from the community. A strong memecoin community exhibits:
- Large membership base
- High loyalty and participation
- Willingness to spend (e.g., merch, tips, promotions)
Key Social Platforms for Research
- Telegram & Discord: Real-time discussion hubs; Telegram favors quick updates, Discord supports structured community building.
- X (formerly Twitter): Where narratives are amplified by influencers and official accounts.
- TikTok & YouTube: TikTok drives virality; YouTube hosts deeper analytical content.
- Reddit & 4chan: Birthplaces of new memes before they go mainstream.
For on-chain analysis, tools like Dune Analytics and GMGN help track wallet activity and detect early accumulation by “smart money.”
Classifying the Memecoin Ecosystem
Memecoins can be categorized by market cap:
- Mature (> $10B): DOGE, SHIB
- Near-Mature ($1B–$10B): PEPE, WIF, BONK
- Growth Stage ($100M–$1B): FLOKI, BRETT
- Bottleneck Stage ($70K–$100M): New entrants on Pump.fun
- Startup Stage (< $70K): Freshly minted coins
Pump.fun uses $69,000 as the threshold for graduation to Raydium—a milestone only 1.6% of launched coins achieve.
Major Players in the Memecoin Chain
- Founders: Can be anonymous or doxxed; responsible for roadmap and funding.
- Holders & Creators: Drive organic growth via memes and advocacy.
- Blockchains: Solana leads in activity; Ethereum remains relevant for large caps.
- Launchpads: Pump.fun dominates; others include TON’s Fragment and BNB’s Trust Wallet.
- DEXs & CEXs: Raydium leads decentralized trading; Binance, OKX boost visibility upon listing.
- Market Makers: Wintermute holds significant positions across WIF, PEPE, Moo Deng.
- KOLs: Elon Musk remains king; grassroots influencers like Murad shape sentiment.
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Case Studies: Top Memecoin Themes
Animal-Themed Coins (Zoo Season)
Nine out of the top ten memecoins by market cap feature animals. Trends rotate between dogs (DOGE), frogs (PEPE), cats (WIF), penguins (PNUT), and hippos (Moo Deng).
DOGE: The Original Meme
Still among the top 10 cryptos by market cap, DOGE benefits from Elon Musk’s endorsement and its status as a pure cultural asset. Its community spans multiple languages and platforms—from Squillian’s viral YouTube animations to massive Telegram groups.
Chain data shows highly distributed ownership—only one whale holds >20%, while the top 100 control ~65%.
PEPE: From Internet Frog to Global Icon
Born from Matt Furie’s comic Boy’s Club, Pepe evolved from a happy frog to a symbol of irony and rebellion. Used politically during Trump’s 2016 campaign, it later inspired a cryptocurrency in April 2023.
PEPE became the flagship Ethereum memecoin amid Solana’s dominance elsewhere. After Trump’s 2024 victory, PEPE surged over 200%, reaching $10B+ market cap.
Over 329k unique wallets now hold PEPE—an increase from 155k at the start of 2024.
Moo Deng: The Baby Hippo That Roared
Moo Deng, a playful hippopotamus from Thailand, went viral after biting her caretakers. Her coin launched on Pump.fun in September 2024 and quickly gained traction.
Despite being new, major players took notice:
- Gate.io holds 10.12%
- Kucoin holds 2.25%
- Wintermute holds 5.81%
One wallet bought early and realized over 10x gains within weeks.
Political Memecoins: High Risk, Short Lifespan
Political themes surged during the 2024 U.S. election cycle but faded post-election.
MAGA Coin
Tied directly to Trump’s slogan “Make America Great Again,” MAGA Coin briefly spiked over 470% during campaign season. However, after Trump’s win on November 6th, it dropped over 63%—a classic case of “buy the rumor, sell the news.”
Despite this volatility, it attracted over 23k unique holders—a testament to ideological alignment driving investment.
PEOPLE Token
Originally part of ConstitutionDAO—a failed effort to buy a U.S. Constitution copy—PEOPLE transitioned into a civic-minded memecoin. Though project activity slowed after disbanding the DAO, election hype pushed its price up over 440% in mid-2024.
It remains listed on major exchanges with steady holder growth—from ~17k to ~18.5k addresses.
AI Memecoins: The Next Frontier?
In late 2024, AI-themed coins like GOAT took off—tied not to real AI applications but to AI-generated narratives.
GOAT: The Gospel of the AI Goat
Born from an AI experiment called "Truth Terminal" built on Llama-70B, GOAT emerged when two AIs conversing autonomously created a mystical concept—the “Gnostic Goat.” The anonymous team launched the token on Pump.fun.
Though not issued by the AI itself, GOAT leveraged the mystery effectively:
- Price rebounded over 400% after a brief dip caused by a typo in an AI post.
- Holder count doubled from 30k to over 67k in one month.
- Wintermute holds 3.63%; Gate.io holds 7.34%.
This fusion of artificial intelligence and decentralized belief systems hints at a new era where AI doesn’t just assist—but inspires—financial movements.
The Future: Beyond Known Narratives
With platforms like Pump.fun launching over 30,000 new coins daily, innovation is constant. Emerging categories include:
- Art-based (e.g., BAN)
- Science-themed (e.g., URO)
- Celebrity parodies
- Meta-memes about memecoins themselves
No one can predict the next big theme—but those watching social platforms closely may catch it early.
FAQ Section
Q1: Are memecoins considered real investments?
While highly speculative, some memecoins like DOGE and SHIB have achieved long-term staying power through strong communities and ecosystem development. They should be approached with caution and only allocated a small portion of a diversified portfolio.
Q2: How do I spot a promising new memecoin early?
Look for rapid organic growth on X and TikTok, rising holder counts on-chain, early involvement from known market makers like Wintermute, and unique storytelling that sparks creativity.
Q3: Can anyone create a memecoin?
Yes—platforms like Pump.fun allow anyone to launch a coin in minutes. However, fewer than 2% reach significant valuation due to intense competition and lack of sustainable narratives.
Q4: Why do some memecoins crash after major news events?
Many trade on anticipation rather than fundamentals. Events like elections or celebrity endorsements often trigger “sell-the-news” reactions once expectations are fulfilled.
Q5: Is there such a thing as a “memecoin ETF”?
Not yet. While DOGE ETF proposals have been filed, none have been approved by regulators as of 2025. Until then, direct ownership or CEX listings remain the primary access points.
Q6: What role do whales play in memecoin markets?
Whales often accumulate pre-launch or during dips to influence price action later. Their movements can be tracked using blockchain explorers like Arkham or Vybe Network.
Final Thoughts
Memecoins are more than jokes—they’re social experiments in decentralized belief systems powered by internet culture. Their success hinges not on code or whitepapers but on emotion, timing, and collective imagination.
Whether you're drawn by humor, hype, or hope of riches, understanding the mechanics behind these digital phenomena gives you an edge in navigating this chaotic yet rewarding space.
👉 Start your journey into next-gen crypto trends—join millions already exploring the future today.