From PFP NFTs to Solana memecoins, mainstream celebrities have entered the web3 ecosystem, attracting attention despite short-lived hype.

Celebrity Tokens on Solana

Memecoins have gained new momentum as celebrity tokens debuted on Solana (SOL) recently, adding a fresh buzz to the crypto landscape. Caitlyn Jenner’s coin, JENNER, launched via a SOL-based memecoin portal. However, the token’s price plummeted shortly after trading began, leading to accusations of a rug pull involving Jenner.

Further investigation revealed that a scammer named Sahil exploited Jenner’s lack of web3 knowledge, profiting from the situation as a middleman.

Iggy Azalea’s MOTHER Memecoin

Just 48 hours later, Australian rapper and OnlyFans model Iggy Azalea released a token under the ticker MOTHER. According to DEX Screener, Azalea’s memecoin surged over 30,000%, reaching a market cap of $30 million. Sahil attempted to capitalize on the hype by launching an IGGY coin, resulting in another pump-and-dump scheme.

“This is a gamble, this is a game. That’s why it’s fun. Play the game or don’t play it. That’s your decision,” Azalea said during an online discussion.

Memecoins: Trend or Trouble?

The recent surge in memecoins has drawn comparisons to the NFT boom of 2020/2021. During that period, digital collectibles like Yuga Labs’ Bored Apes Yacht Club and Crypto Punks dominated the crypto scene. Despite $64.6 billion in all-time sales, interest in these blue-chip collections has waned.

Similarly, memecoins have faced criticism from experts and industry observers. Andreessen Horowitz (a16z) CTO Eddy Lazzarin compared the meme ecosystem to a risky casino. Solana co-founder Anatoly Yakovenko urged developers to focus on more sustainable projects. Ethereum co-creator Vitalik Buterin also criticized the space, calling for community growth beyond gambling.

Despite skepticism, memecoins continue to proliferate. Binance reported nearly 500,000 memecoins launched since April 1. These tokens range from political satires to animal-inspired projects, turning speculative traders into overnight millionaires or causing financial ruin.

“Everything that has financial incentives at its core will be boiled down into its essence by blockchains, and the ease of tokenization and market creation – it won’t be pretty, but it will reveal what was always there,” said Chris Burniske.

Stay updated with the latest developments in the world of cryptocurrencies, investing, and finance at Global Crypto News.

Post Views: 9