The memecoin craze starts in 2021, when Dogecoin (DOGE) and Shiba Inu (SHIB) explode and many memecoins appear afterwards in an attempt to replicate this success. It seems that this type of cryptocurrency, often with the image of a dog of the breed Shiba Inu and associated with jokes, has become firmly established in the crypto landscape.
What is the same corner?
The IS memecoins They are a type of cryptocurrencies inspired by internet memes. The first was born in 2013 with the Dogecoin (DOGE), and is a parody of Bitcoin and other cryptocurrencies. Memecoin genesis is the introduction of Dogecoin.
The DOGE is just a joke whose comic character is based on the same Internet the Dogewith mascot Shiba Inu, a dog breed originating in Japan.
Figure 1: The same Doge, on the same base
Technically, Dogecoin is just a a simple fork of Luckycoin, itself a fork of Litecoin which gives nothing more: an alternative to other cryptocurrencies.
Investors know what to expect and Dogecoin is slowly gaining popularity between 2014 and 2017. It becomes the iconic cryptocurrency industry memefunny investors and observers.
The price of Dogecoin retire in 2017 ranging from a $20 million valuation to over $1 billion. But it is in 2021 that everything changes.
In fact, the Dogecoin does a A great entry into the top 10 cryptocurrencies the most valuable on the market alongside Ether, BNB or even Solana, this time with the support of the billionaire and founder of Tesla, Elon Musk.
Figure 2: The incredible rise in the price of Dogecoin (DOGE) in 2021, +29,000%
Dogecoin’s amazing success gives ideas to other individuals. August 2020, the Shiba Inu (SHIB) is created and less than a year later, its valuation exceeds one billion dollars.
Best of luck to Dogecoin and Shiba Inu in 2021, the madness begins in the same corners.
👉 To learn more, check out our detailed analysis of Dogecoin (DOGE)
What are the most famous memecoins?
The corners are pretty much the same, but few have managed to climb to the top of the ranking of the most valuable cryptocurrencies of the market.
Here are the most valuable ones on the market at the time of writing these lines (January 2023), together with the year of their creation and their capitalization:
- Dogecoin (DOGE), 2013: $12 billion;
- shiba inus (SHIB), 2020: $6.4 billion;
- Dogelon March (ELON), 2021: $185 million;
- Baby Doge Corner (BABYDOGE): 2021, $170 million;
- FLOKI2021: $92 million;
- BONK2022: $58 million.
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It should be specified that all the same corners are far from successful. Seriously, the vast majority are worthless and some themes are very wacky. The most popular ones have a Shiba Inu as their mascot, which gives us the first clue.
Beyond their humorous aspect, some meme corners were able to attract with their philosophy: these are cryptocurrencies created by the people and for the people.
The motto of Dogecoin (DOGE) is “ The People’s Cryptocurrency “, or “The cryptocurrency of the people”. For the Shiba Inu (SHIB), it is a complete sign governed by his communitycalling himself the ShibArmy.
This completely decentralized side appeals to some investors who want to thumb their nose at more classic cryptocurrencies, while others just want to support the community of their favorite coins.
Moreover, backed by billionaire Elon Musk at Dogecoin certainly no stranger to this success. The latter mentioned Dogecoin for the first time in April 2019 in a tweet stating that Dogecoin could be your favorite cryptocurrency.
Since then, Tesla’s CEO has mentioned this same coin many times, even stating that he owns one. His influence on memecoins is so great that one of his tweets is enough to raise their price.
It is inevitable pic.twitter.com/eBKnQm6QyF
— Elon Musk (@elonmusk) July 18, 2020
the Dogelon Mars (ELON) was born to ride that hype by combining the Doge meme and Elon Musk’s vision to conquer Mars, and the meme coin FLOKI born in honor of the billionaire’s dog, a Shiba Inu named Floki.
The madness of the same corners also followed the stratospheric flights of the DOGE and SHIB courses. Many opportunists then tried to replicate this successsince this type of cryptocurrencies does not need to bring anything new on the technical level, it is extremely simple for anyone to create one.
For investors, probably a lot victims of FOMO (Fear Of Missing Out): the fear of missing yet another big rise like those experienced by Dogecoin or Shiba Inu, or of missing the same next corner that will break all records. Speculation is then a very powerful engine for the same corners.
Finally, and this last point is rather a psychological biasthe same coins cost only a few cents, even fractions of a dollar cent.
Some inexperienced investors then think that buying many tokens is enough, and if the unit price is very low, the potential for your gain is higher.
Wrong, of course, since the unit price of a token is relative to the number of tokens in circulation: the more there are, the lower the unit price. Therefore, the total valuation of a cryptocurrency is much more interesting data than the price of the token alone.
Invest in the same coin, good idea?
Investing in the same fund is very risky: it is one of the riskiest types of cryptocurrency is there. In fact, as we have seen, the same tires often do not offer any technical innovation.
Their use cases are generally limited or almost non-existent, so there is no nothing concrete to rely on. In addition, coin meme taxonomy is often concerned with very high inflation.
In addition, the corners are the same according to stronger speculation than other types of cryptocurrencies, which means that its volatility is very high, and even more so if its valuation is low.
Therefore prices can rise very quickly and with great amplitude, which makes many investors happy. However, the opposite is also true, and it ruffles a lot of feathers.
The same corner lives and dies by its community, and by his community alone. So, if the latter turns away, out of tiredness or because a new, more attractive base has emerged, the price can drop instantly.
Note that Dogecoin (DOGE) and Shiba Inu (SHIB) are the only meme coins with a large community and high valuation. Other memecoins are fighting to emulate the success of these two giants.
Finally, if you want to invest in the same coin, we can only recommend that you do a deep research on the subject given the risk associated with this type of cryptocurrency. There are also many scams around the same corners, and it is better to stay away from them as much as possible to protect your capital.
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Sources – Figure 1: Dogecoin, Figure 2: Trade View.
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Master student in International Finance, I am interested in cryptocurrencies since June 2017 and especially in fintech and decentralized finance. I aim to make my work interesting to readers of all levels.
