CryptoQuant CEO does not recommend investing in meme coins
CryptoQuant CEO does not recommend investing in meme coins
CryptoQuant platform Co-Founder Ki Young Ju has condemned the unwarranted hype around meme coins, saying that they have a disruptive effect on the entire crypto industry.
The CryptoQuant CEO urged members of the crypto community to reflect on their goals and investment direction, reports Cryptopotato.
Such a remark came amid the scandalous incident with the Solana blockchain meme token Slerf (SLERF). The Slerf token, which raised $10 million in a pre-sale, mistakenly sent all the funds to a token-burning address instead of its investors, sparking heated discussions and debates.
The project developer lost all the funds it received by sending the tokens to a burn address that is not under anyone's control.
The project team stated that this action was a senseless mistake, but many considered it a provocative marketing move. The initial price of Slerf eventually rose from $0.3 to $1.4 per coin. It was even reported that Justin Sun, the founder of the Tron project, was behind the move and announced that HTX, the main trading marketplace for Slerf, would donate all Slerf trading revenue to private sellers on HTX.
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Regardless of the purpose and outcome of this incident, it has generated increased interest on social media and in the marketplace, bringing attention not only to the Slerf project but to all meme coins.
Ki Young Ju of CryptoQuant was skeptical about the trend. He stated that meme coins have a detrimental effect on the crypto industry. "Meme coins are harmful to the crypto industry."
He also wrote at X that he is very disappointed as billions of dollars worth of meme coins often overshadow the efforts of hardworking development teams offering functional, legitimate, and industry-enhancing tokens.
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Ki Young Ju believes that "easy money can't drive progress for the entire industry," citing the example of the 2018 ICO explosion that demonstrated the limitations of such approaches.
Since meme coins are often described as a big lottery in the crypto community, the CryptoQuant executive asked whether many people are willing to risk losing all their money to enter the crypto space. He explained that meme tokens are essentially a casino and have no social value.
