The surge of meme coins has been a recent topic of discussion in the cryptocurrency industry. Benjamin Cowen, CEO and founder of Into The Cryptoverse, expressed his views on these coins in a tweet. He stated that meme coins exist solely to make their founders rich and that the "strong community" narrative is a sham. Cowen believes that most of these memes are created by the same group and are pumped and dumped until they are no longer profitable.
Cowen's comments came after Pepe coin (PEPE) saw a sudden rise around April 20, the meme date itself. Within just three weeks, the coin's price rose by tens of thousands of percent, and its capitalization peaked at $1.6 billion. The story of Pepe coin stirred the greed of market participants, with some individuals claiming to have made millions of dollars from a small investment.
However, Cowen warns against investing in meme coins, as he sees them as money-grabbing schemes. He believes that individuals should exercise caution when investing their money and not be tempted by the potential for quick profits.
As the cryptocurrency market continues to evolve, it is crucial to stay informed and cautious. Cowen's views on meme coins serve as a reminder to individuals to conduct their due diligence before investing in any cryptocurrency. While the virality of these coins may be appealing, it is important to consider the legitimacy of the investment and not be swayed by hype.
Tomiwabold Olajide
Godfrey Benjamin
