Bitcoin

April

Pepe

Influencer

Not Meme

The cryptocurrency world is divided over the merits of meme coins – digital tokens inspired by internet jokes and pop culture references. Proponents hail them as a chance for explosive returns, while established figures like Bitcoin evangelist Adam Back scoff, calling them a passing fad. 
<h2 data-sourcepos="7:1-7:7" id="strong-risky-ride-on-the-hype-train-strong">Risky Ride On The Hype Train</h2> 
Meme coins have taken the crypto market by storm in recent months. Tokens like<a href="https://www.coingecko.com/en/coins/pepe" target="_blank" rel="noopener nofollow"> Pepe and Dogwifhat</a> have seen surges in value, fueled by online communities and celebrity endorsements. Influencer Iggy Azalea’s promotion of her own meme coin exemplifies this trend. 
Analyst Murad Mahmudov sees potential in this space, but warns against highly speculative microcap <a href="https://www.coinbase.com/learn/crypto-basics/what-is-a-memecoin" target="_blank" rel="noopener nofollow">meme coins</a> – essentially tiny startups in the crypto world. 
This speculative frenzy isn’t without its critics. Ethereum co-founder Vitalik Buterin echoes Back’s concerns, arguing that many<a href="https://finance.yahoo.com/news/ethereum-co-founder-vitalik-buterin-183015645.html" target="_blank" rel="noopener nofollow"> meme coins lack real-world applications</a> or innovative technology. He questions their long-term viability. 
<blockquote class="twitter-tweet"> 
 reminder, zoom out. prior bull runs had half a dozen -30% draw downs too. we’re at about -26% (-27% earlier). 
 in fact if anything, recent draw-downs seem to be less deep, but people forget the normal bull market pattern. don’t panic, buy the dip. or buy a bit of <a href="https://twitter.com/search?q=%24CMSTR&amp;src=ctag&amp;ref_src=twsrc%5Etfw" rel="nofollow noopener" target="_blank">$CMSTR</a> with… <a href="https://t.co/vBOjFN1TOn" rel="nofollow" target="_blank">pic.twitter.com/vBOjFN1TOn</a> 
 — Adam Back (@adam3us) <a href="https://twitter.com/adam3us/status/1809102254512775659?ref_src=twsrc%5Etfw" rel="nofollow noopener" target="_blank">July 5, 2024</a>
</blockquote> 
Back, famously mentioned in the original Bitcoin whitepaper, has a history of dismissing meme coins with characteristic bluntness. In 2021, he took aim at both the meme creators and their creations. 
Back blasted the so-called<a href="https://www.investopedia.com/terms/s/shitcoin.asp#:~:text=The%20term%20shitcoin%20refers%20to,developed%20after%20Bitcoin%20became%20popular." target="_blank" rel="noopener nofollow"> “shitcoiners,”</a> saying they are terrible at making memes and the reason for that is unclear. 
The blockchain technology company Blockstream cofounder&nbsp;further doused the hype surrounding expensive meme-based NFTs like EtherRock, which sold for millions despite being, in his words, “a low-resolution gif that has no merit.” 
<img loading="lazy" decoding="async" class="size-full" src="https://www.tradingview.com/x/jHe3cEk1/" width="1835" height="883"> 
<h2 data-sourcepos="13:1-13:50" id="strong-is-bitcoin-the-only-investment-grade-crypto-strong">Is Bitcoin The Only ‘Investment Grade’ Crypto?</h2> 
Back’s stance is clear: Bitcoin is the only cryptocurrency with true investment potential. He views meme coins and most alternative cryptocurrencies (altcoins) with suspicion. 
This unwavering support for Bitcoin isn’t new. Back has repeatedly called Bitcoin “super cheap,” even when its price hovered around $66,720 in April this year. 
He believes the market undervalues Bitcoin’s potential as a digital store of value, similar to gold. Back further argues that a few bear markets, like the recent price drops that saw Bitcoin plummet to a five-month low, are necessary for investors to truly understand the long-term value proposition of Bitcoin. A Battle Of Memes And Fundamentals 
The clash between meme coins and established cryptocurrencies like Bitcoin reflects a deeper debate about the future of digital assets. Meme coins represent a gamble on cultural relevance and community power. 
Their success hinges on maintaining hype and attracting new investors. Bitcoin, on the other hand, rests on its established technology and growing adoption as a legitimate financial instrument. 
Featured image from WSJ, chart from TradingView

Crypto Guru Says Only Bitcoin Makes The Grade — Not Meme Coins

Table of Contents

Bitcoinist

Other articles published on Jul 6, 2024

Qubetics Whitelist Raising the Bar Higher for Newer Cryptos After Investors Leaped On It from Rip...

Bitcoin Drops Over 2% on July 4 as Key Support Line Faces Retest Since October 2023

Discover The Power Of MoonBag Staking Rewards: Your Path to Massive Crypto Gains

Avalanche and Filecoin Issues Push Investors Away to Qubetics Whitelist’s Financial Galore

Mt. Gox Repayments: Creditors Receive Full BTC And BCH Amount But Investors Worry

Ripple CLO Criticizes U.S. Crypto Regulation at Zurich Forum

Join our free newsletter for daily crypto updates!