Most people took notice of the great opportunities in meme coins when Dogecoin managed to 100X in value in a matter of a few weeks 2021. However not many were aware that another meme coin QUACK pulled off the same feat later the same year. Several meme coins managed to 20X, 50X, 100X or more but they all pale in comparison to Shiba Inu.
Shib did a 460000X crazy but true. If you put as little as $3 in the absolute bottom it was enough to make you into a millionaire.
Crypto investors who took notice of this explosive development and price appreciation are naturally looking for other possible opportunities to make money in meme coins. How can you find another meme coin that could replicate at least part of the success of Shiba Inu?
How to understand the Business of meme coins
To understand how a meme coin can be successful we need to start with the purpose of the meme coin. Why is it there? Why do people invest in it? It would also be a little prudent with a critical mind towards the expert that only cover meme coins after they have reached the top and started their decline. Do they really know anything useful? It is easy to know what to do in hindsight, however money is made in real time.
The primary purpose of a meme coin is to create tangible financial rewards for its holders. People invest in them due to dreams, hopes and desires of good money. And life changing money is still possible in meme coins if you find the right ones.
The right meme coin could be fun, likable, different, adorable, exciting, even slightly bizarre, but it must become popular to attract the masses. It needs the right kind of psychology behind it to get a set of holders behind it, the larger the better.
If you want to strike it rich with meme coins you will need the same focus, patience and commitment as in any other endeavor. You will need to research a lot of coins and it would probably be wise to diversify among the potential winners.
The elements of a winning meme coin
There are some elements to look out for, elements that could signal a future hype.
Factors that count are: community, partnerships and technology features.
Are their any NFTs or a play to earn game associated with the token of choice?
Is the project multi chain?
Are there possibilities with passive income from staking or reflections?
How does the road map look and does the white paper contain compelling arguments?
When you have your own answers to these questions you probably have a few favorite tokens you can start allocating money to. To cast a wider net and be sure to find the next winners there are other strategies to allocate money to increase the chance of finding the meme coin winners while at the same time getting a monthly income from your crypto investments.
Building your Memecoin Portfolio
You want to end up with an analysis that gives you the optimal meme coin portfolio - containing the absolutely best coins for future success.
Now analyzing is one thing and investing is another. Analyzing is risk free. Investing requires putting money on the table. That means putting the money into something appreciate and believe in. No amount of research can eliminate all risks. However there are ways to decrease risk and increse the chances of success in your favor.
Besides navigating crypto cycles and educating yourself about your investments you can choose memecoins reflecting other memecoins. This gives you a certain passive income and it gives your crypto portfolio diversification. It is a great way to decrease risk and arguably you would also find the best meme coin winners among the reflection tokens. Simply because more and more investors would see the benefits from getting monthly crypto income through reflections.
Hedging your bets with passive income in Memecoins
Babycake giving reflections in $CAKE was the original reflection token. Since then Catpepe, AwkwardTurtleBSC and Shelon has arrived giving reflections in Kiba, Marshall Inu and Doge respectively. Boba Inu is another Dogecoin reflections token. Three of these tokens are based on Binance Smart Chain. The fourth Catpepe is multichain and also has an Ethereum contract.
These are a few reflections meme coins that stand out against the rest and could prove to be good investments. The advantage of the meme coins mentioned above is the passive income from the reflections. This advantage serves to reduce the risks but it also increases the likelihood of more investors coming into the coin. Reflections then is a way to gain traction, popularity and serves as a compelling argument for a meme coin in its own right.
For instance if Shelon that is marketed as a meme coin oin for women were to attract 15% of Dogecoin holders with its passive income from Doge it would become a massive success. It is unclear if Shelon will be able to garner the attention of the Dogecoin community. No success is ever guaranteed. However Shelon is certainly one of the potential moonshots that could attract both female and male crypto investors.
For those who believe in the Duck Era of crypto tokens like RichQuack, PoorQuack and Scroogecoin should be considered.