Meme coins are undoubtedly the most watched narrative of this cycle. We have witnessed meme coins increase by 100, 1,000, or even 10,000 times. With the recent downturn in the crypto market, many meme coins have also seen a sharp correction, but does this mean that the meme coin super cycle is over? @kelxyz_ believes that the moment of meme coins is not over yet, and it will become the best transaction in the history of crypto.
L1 transactions are the best transactions in the history of cryptocurrency. And meme coin transactions can be said to be the next, @blknoiz06, @0xLawliette, @intuitio_ these KOLs have been promoting this statement.
The best meme coins will rise 20-500x and will shock the world.
Historical parallels
Back in 2016, @jmonegro wrote the most profitable paper in crypto history: “Fat Protocols”. Ethereum’s market cap was around $1 billion at the time.
Fast forward to 2018, on the back of ETH’s incredible 2017 rally, a new class of “competing L1s” launched at extremely reasonable valuations.
Most people, even early investors, ignored them.
Looking at early Solana investors from the same period as Multicoin, many of them sold SOL to Kyle and Tushar multiple times for less than 10-50 cents.
When SOL reached a $1 billion market cap, those sellers were gutted - just as those selling multi-million dollar WIFs for two nights at the Wynn are gutted today.
The fact is, SOL's market cap was last valued at well over $1 billion.
The real pain is yet to come.
Likewise, the world we see today is:
- Doge/Shiba ran wild in the last cycle, which made the world unbelievable
- A new class of competitive meme coins launching in 2022-2023 with very low valuations
- Meme coins like WIF and BONK are shockingly close to a $1 billion market cap
- Early buyers sell for free to more confident buyers
- Few, except the highest-conviction players, appear to be betting on a massive continuation from here at risk scale.
- Has the moment when people will really regret selling not yet arrived?
Most VCs are on the sidelines, unable or unwilling to buy (except for a few early examples like @Rewkang buying TRUMP tokens).
The “smart people” disdain or neglect of meme coins is no different than the disdain for L1s years ago.
Attention
Fat protocols are predictions of the flow of value in a blockchain network.
Fat meme coins are a prediction of attention.
In this day and age, even “real” investors don’t care about real value — as evidenced by widespread low float, huge valuation early investor unlocking programs —
Attention is all you need.
Good memes, bad memes
Fat Protocol outperformed most of the sector in 2020-21, but you really don’t want to buy the wrong L1
Huge difference in buying ALGO vs. SOL, and the same applies to meme.
They will all rise, but only some will go down in history, the others will be forgotten.
If I am wrong but the market is generally bullish, my position may underperform but still potentially make a profit.
If I'm right, the upside will be incredible.
Expected investment portfolio
My guess is that these coins will perform the best.
Large market value coins: $WIF, $PEPE, $BONK: potential is 10-50 times
Mid-cap coins: $TRUMP, $MOG: potential is 50-100 times
Small market capitalization coins: $HARAMBE, $ZYN, $TYBG: potential is 100-1000 times
In my opinion, almost no one is allocating meme coin investments with a risk-scale mindset. From my perspective, “underwriting memes” is not a large-scale common-sense meta-game.
If I am wrong, then adding to your position now is like diving headfirst into the slaughterhouse.
No risk, no reward!
