The world of memecoins has entered a weird new chapter, fueled by the outlandish antics of celebrities and questionable monetary ventures. The most recent episode options rapper Lil Pump, whose latest social media exercise has left the crypto neighborhood scratching their heads and questioning – is that this a stroke of selling genius or a recipe for monetary catastrophe?
Memecoins: Pumping Up The Hype
Lil Pump, recognized for his platinum-selling hit “Gucci Gang,” unveiled a brand new brow tattoo proudly displaying the phrase “Solana” alongside the blockchain platform’s brand. This wasn’t only a random inventive selection. It coincided with a flurry of promotional posts for his very personal Solana-based memecoin, creatively named “lil pump.”
Taking issues a step additional, Pump declared himself the “step youngster” in a self-proclaimed “memecoin household,” name-dropping fellow celebrities Iggy Azalea (“$MOTHER”) and Andrew Tate (“$DADDY”) who’ve additionally launched their very own Solana tokens. The rapper’s social media blitz included repeated inquiries to main exchanges like Coinbase and Binance, asking “wen” – crypto slang for “when” – will his token be listed.
I offered my Sol. when Binance?
ca: 9vrGUHwsC8LyLjQoh3zJb9S53x7A88u49La63qPB6F5t pic.twitter.com/fdCJHXLhsP
— Lil pump (@lilpump) June 13, 2024
Pump And Dump Fears Cloud The Hype Machine
Whereas some followers cheered Pump’s foray into crypto, seasoned traders have been cautious. The historical past of celebrity-backed memecoins is plagued by failures. Initiatives promoted by figures like Kim Kardashian, Floyd Mayweather, and even Snoop Dogg have left a path of disenchanted traders and empty pockets.
These ventures usually observe a well-known sample: celebrities leverage their large followings to pump up a brand new token, inflicting its worth to skyrocket. Then, simply as shortly, they money out, leaving traders holding the bag as the worth plummets.
Current occasions solely fueled these issues. Caitlyn Jenner’s Solana-based “JENNER” token took a nosedive after its creator dumped the mission’s liquidity, primarily stealing from traders. This episode serves as a stark reminder of the inherent dangers related to memecoins, notably these fueled by celeb hype.
Is Lil Pump Completely different?
Lil Pump appears decided to show his mission has endurance. Not like a few of his celeb counterparts, he’s actively attempting to construct a neighborhood round “lil pump.” Nonetheless, the techniques elevate questions.
I’m feeling fairly sad about with “this cycle’s celeb experimentation” to date.
“Financialization as a method towards an finish”, I can respect if the top is worthy (healthcare, open supply software program, artwork, and so on). Financialization *as the ultimate product*, 🤮
Ashton and Mila’s…
— vitalik.eth (@VitalikButerin) June 5, 2024
The authenticity of his “Solana” tattoo is debated, with some speculating it’s simply eliminated. Moreover, Ethereum co-founder Vitalik Buterin publicly voiced his disapproval of the celeb memecoin pattern, calling into query its long-term viability.
Featured picture from Youtube/Lil Pump, chart from TradingView
