Original author: Li Jin, Partner of Variant
Original compilation: Luffy, Foresight News
The next big thing in the crypto world may start with the help of a popular Memecoin.
An emerging marketing strategy stems from a Memecoin that is gaining adoption and momentum. While traditional GTM (go-to-market) involves first building a product and then building a community around the product through marketing and memes, this new strategy is to first form a vibrant user community around Memecoin and then build a product that includes the token.
By launching projects that integrate natively with the popular Memecoin, new applications/infrastructure can mobilize Memecoin's user community, who can experience more utility from the token.
Examples include:
BONKbot is a Telegram trading bot on Solana, originating from the BONK token. This is a Solana Memecoin that will be airdropped to users in late 2022. Subsequently, an independent team launched a trading bot that uses a portion of the fees generated by transactions to purchase and destroy BONK tokens, thereby economically aligning with token holders. BONKbot's daily trading volume recently topped $200 million (compared to Base's daily trading volume of about $200 million).
This strategy also works for infrastructure projects. For example, SHIB launched Ethereum Layer 2 Shibarium, which destroys SHIB tokens through transaction fees collected. By incorporating tokens into L2, this strategy activates the existing community of holders to overcome the cold start problem of new L2.
Berachain is a bear-themed EVM-compatible blockchain that launched its testnet in January. Its origin is also an NFT-type meme. SmokeyTheBera originally launched an NFT project called Bong Bears in 2021 and over time built a community and grew it into an active developer and user base.
Given the engagement and tribalism of the top Memecoin community, I think this strategy of leveraging Memecoin for GTM will become increasingly popular throughout the Web3 stack. For example, for anyone building crypto consumer applications, adding utility to Memecoin activates token holders, who are naturally more inclined to find new ways to utilize their tokens. Short video app Drakula and prediction market game Perl both accept DEGEN as payment in an attempt to capitalize on the momentum of the DEGEN holder community (over 44K wallets as of March). Increased usage and potential value of the token may drive a virtuous cycle, with user interest in the token and its integrated applications likely to increase.
We have also seen projects going in the other direction, starting with a product and then launching a closely related Memecoin to attract more user interest in the project. For example, Jupiter, a decentralized exchange aggregator on Solana, launched WEN Memecoin in January 2024 and airdropped it to more than 1 million wallets with more than $5 in transactions on Jupiter. As the first token to launch via Jupiter’s LFG Launchpad, it has also generated interest in the platform.
For projects that are exploring this GTM strategy, there are some factors to consider: the distribution potential of different Memecoin communities, the complementarity between Memecoin’s token holders and the project’s target audience, and the existing level of integration and saturation in the ecosystem (Once a Memecoin is accepted by 100 applications, will the 101st application gain as much attention?).
It’s worth mentioning that all of the above has clear benefits for Memecoin itself, and it makes sense for the Memecoin team to try to incentivize and integrate projects to integrate their tokens.
Using Memecoin as a GTM strategy is similar to other Web3 growth strategies involving tokens, including airdropping tokens to specific community members or users of competing products. These strategies are made feasible through blockchain’s open data, which can be leveraged for granular targeting. The strategy can also be likened to those in the Web2 world, from community-led growth (where a brand cultivates a customer base to increase word-of-mouth) to brand collaboration (where a complementary user base is cross-broadcast, like Lyft's partnership with Delta). However, off-chain collaboration is difficult to execute due to siled data and systems, whereas cryptocurrencies enable permissionless integration that any developer can build around Memecoin. There is also a financial interest among the community of token holders who want to see the value of their tokens grow, which could lead to greater acceptance of collaborative projects.
Although many consider Memecoin trading to be a form of gambling or a strange form of financial entertainment, their growing popularity and growing community may mean that they will become a viable component of GTM strategies. The advancement for users is that Memecoin allows anyone to invest and own part of GTM's strategy, grassroots community, internet culture and community currency.
