Meme coins are those digital currencies that have their roots in online memes and are mostly utilized for fun or playful purposes. Like if I mentioned DogeCoin, the most popular meme coins with a dog figure. Originally designed as a joke payment system, it has since gained so much attention that it is currently ranked among the top 10 cryptocurrencies by market capitalization. The meme currency has very little, if any, intrinsic value, which is the issue.
While several Meme coins, such as DogeCoin, Shibu, Floki, and Pepe, have made a lot of individuals wealthy during the previous bull market, it is really beneficial for the cryptocurrency for these coins to be at the top of the market cap.
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#### Utilization of Meme Coin
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The meme coins are a joke, thus they don't really have any intrinsic value. Since these coins are mostly used for trading and speculation, they are not really considered to be legitimate forms of money. The majority of investors in these coins do so with the expectation that they would profit handsomely in the future. The larger coins can increase in value but cannot expand 10x or 100x. However, these assets are also very hazardous and have the potential to lose all of your money.
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#### Reasons Meme Coin Isn't Good for the Crypto Market
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I am aware that Meme Coins are very popular since they offer substantial investment returns. However, the issue is that they are mostly employed for speculative purposes because they lack intrinsic utilization.
If we were to compare two cryptocurrencies—the Meme coin and a real use case that brought in money—what would happen? To be honest, the coin that makes money should have a larger market capitalization than the meme coin. As most people pump and dump these currencies, the market becomes more volatile as a result of them.
STEEM has a significant value when compared to other meme coins. With blogging and upvoting, STEEM help bloggers have in making money. Likewise, when examining the market capitalization of Steem and a few well-known meme coins, Steem's market capitalization is less than that of ten or more meme coins.
There should be coins or cryptos with excellent use cases and long-term revenue potential, not merely random meme currencies utilized for speculative purposes, if the cryptocurrency market is to become a household mainstay.
But as time goes on, more and more individuals are chasing the meme coin because it makes them famous and allows them to make enormous sums of money. Because it is a priority, I won't be shocked to see more and more Meme currencies added.
**How does Meme Coin affect the cryptocurrency market, in your opinion?**
