Meme coins, besides Dogecoin, works as financial pyramids, according to DOGE’s Co-Founder Billy Markus. Markus is not keen on other meme coins. In his opinion, the creators of these projects are ‘trying to get rich’ on the back of people looking for quick profits.
Memecoins Are Not Memes
In the most recent tweet, Billy Markus (Shibetoshi Nakamoto) did not spare the other meme coins. While his Dogecoin was established as a means to make fun of “the idiotic coins” and a representation of irony, Shiba Inu and the copycat projects appear like financial pyramids.
satire has some mildly clever elements to it. jokes are funny.
spam advertising, lying about who is involved in a project, making up ridiculous promises, desperately trying to get Elon’s attention to promote you, etc. are not clever or amusing. pic.twitter.com/cQ2YA6DyWJ
— Shibetoshi Nakamoto (@BillyM2k) February 23, 2022
Markus also accused the creators of meme coins of lying to the investors about the nature of the projects and making “ridiculous promises” that might lure investors into the scheme. In most of these cases, those assets strive to attract the attention of Elon Musk, who might later popularize them.
It might be correct to say that Tesla’s CEO has the power to alter the tides in the memecoin space with his statements and posts. In the last year or so, his words resulted in massive disruptions in the market and affected various projects many times.
The last summer, a tweet of his contained the words “Baby Doge.” His engagement never impacted Dogecoin’s price but its copycat; Baby Doge Coin. Moments later, the latter’s US dollar value exploded by 90%.
In September 2021, the entrepreneur confirmed that he purchased a new dog, and named him Floki. Shortly later, the new tokens containing the same name emerged as one of them was Floki Inu. Due to its newly-established connection to Elon Musk, the asset’s price exploded by 110% in the hours that followed.
On Christmas Day, Tesla’s boss published a picture of his dog that he had dressed as Santa Claus. As expected, Santa Floki Coin came up as the newest memecoin. Within 48 hours, its price surged by at least 18,000%.
DOGE And Musk
Despite the unintentional interactions with many other tokens, the first-ever meme coin has become Musk’s favorite. He repeatedly praises its merits, insisting that it is better suited for payments compared to bitcoin.
In December 2021, he said that Tesla would begin accepting DOGE as a payment method for some merchandise. The price of the token surged immediately after the announcement. Around a month ago, Musk challenged McDonald’s to accept his favorite meme coin as a form of payment. He promised to eat a happy meal on TV in case the fast-food chain does that.