Ultimate Guide to Meme Coins | The Next Shiba Inu
A complete overview of meme coins and a look at the next potential 100x.
Meme coins are just what they sound like, cryptocurrencies based on a meme. You’ve likely heard of Dogecoin, the original meme coin, which was founded back in 2013 as a joke by IBM software engineer Billy Markus and Adobe software engineer Jackson Palmer.
Fast forward to 2021, and Dogecoin reached a peak market cap of over 75 billion dollars. Most recently Shiba Inu broke a market cap of 30 billion, where one lucky trader turned $8,000 into a 5.7 billion dollar fortune.
Meme coins typically have several commonalities. First, they strategically utilize a very low coin price by arbitrarily creating a large supply. Most have 1 trillion tokens, which prices the coin at something ridiculous like $0.00000001. This allows non savvy investors (in poker we call them ‘fish’) to be tricked into thinking they’re buying something cheap. Remember, the true value of a coin is its market cap (supply x price).
Second, meme coins use fancy tokenomics strategies such as a burn mechanism which removes a small portion of the tokens from circulation or ‘free airdrops’ which reward holders with free tokens on a daily basis. They do this by charging a high tax every time their token is bought and sold, and then redistributing that back to their early adopters. This gives people the illusion they are gaining wealth. Who doesn’t like free crypto?
Third, they make ridiculous false promises.
Fourth, almost everyone in the community is there for the sole purpose of getting rich quick.
Fifth, investors are typically prudent with a long term time horizon.
If a meme token has all the red flags, it’s destined to pump to the moon.
If you’re new here, my name is Alec Torelli and I’ve spent thousands of hours in crypto, DeFi and NFTs. My mission at CrypTorelli is to simplify crypto so anyone can understand it. I’ll also share the latest, most exciting opportunities in the space before anyone else. Join the thousands of others to stay up to date.
Despite these warnings, the rags to riches stories have piqued my curiosity, so I decided to venture into uncharted waters, and go even deeper into the rabbit hole to better understand meme coins. My goal of course is to find the next Shiba Inu and bet on it before the market becomes aware of it and sell it before it returns to its true value, zero.
But first, a massive disclaimer. Although I’m personally betting on meme coins, and this guide represents the best of my findings, I don’t believe they are worth anything. This is all a ploy to HODL more Bitcoin. The reason I’m betting on meme coins is I believe the market is ready to pump another one to the moon, and I have the time and temperament to find and pick the next one in a way that’s profitable (i.e. selling before it dumps).
My plan is to bet on several of these memes (also known as ‘shitcoins’), sell them on a double, and let my original position ride. Although I believe all these coins are ultimately worthless and fully expect them to trend toward zero over time, I do believe several could 100x before that. I’m pulling out a surfboard and riding the wave.
My strategy is akin to a pro poker player who knows it’s incorrect to call all in preflop with a mediocore holding (such as Ace-Jack or 99), but at the same time is aware his opponent bluffs too often, and therefore the professional deviates from what the book says to adopt an exploitative strategy.
I believe we’re in a crypto market environment where people are making extremely poor fundamental decisions and pumping worthless tokens with no intrinsic value in hopes of getting rich quick, and therefore I’m coming in to exploit that inefficiency.
I don’t recommend this strategy for 99.9% of people. I believe that simply buying and holding Bitcoin is the easiest and best bet one can make.
I’ve ventured farther out on the risk curve than ever before, likely a clear sign we’re in a bubble. Although I plan to get in and out before it bursts, timing it requires constant monitoring, the art of timing and a fair dose of luck.
I may get left holding the bag. I’m fully aware that all my positions could go to zero (as they full well should), and I’m prepared to lose everything. I can afford to take the risk, and I’m playing with house money.
If it wasn’t already clear with that belabored disclaimer, nothing I say is financial advice. Only morons like me speculate on meme coins with no utility, and again, this does not end well. I just happen to be crazy enough to believe a dog coin on Solana may be my fastest way to accumulate more Bitcoin. Time will tell.
With that out of the way, I present to you The Ultimate Guide to Meme Coins.
(I put the same disclaimer in the video. Skip to 5:40 to begin the deep dive).
Which meme coin is your favorite?
What’s the next Shibu Inu?
Alec