Crypto is an interesting asset class in that it can breed a new public listing on a whim. Anybody with the means to code (or simply lift) a protocol can have a brand new digital currency on the market the same day they think of it. As such, there are a lot of tokens that take on pop culture trends — often to broad appeal. Given Elon Musk’s popularity within the space, the billionaire has seen his fair share of related tokens minted after he tweets. New crypto play Lorde Edge (CCC:EDGELON-USD) is the newest example of such a phenomena, and it’s causing a lot of disruption in the space. The Lorde Edge crypto is one of the biggest gainers this week already, and investors have plenty of questions.
How did this token catch on so quickly? Well, there are lots of examples of cryptos that explode immediately upon launch. One recent example is Squid Games (CCC:SQUID-USD), which popped nine days after listing. Investors love a crypto that’s on trend, so these tokens often surge upon listing. Here’s what you need to know about EDGELON in particular.
Lorde Edge Crypto Soars 450% After One Day
- Lorde Edge came about just yesterday, after Elon Musk changed his Twitter name to “Lorde Edge.”
- With no context, investors were taking liberties with interpreting the meaning behind this change.
- Of course, as we’ve seen before, cryptos often spawn when Elon Musk makes a particularly engaging tweet.
- Thus, almost immediately upon Musk’s name change, a new token popped up via Lorde Edge.
- A post on Reddit from the self-proclaimed developers is announcing the stealth launch of the token and breaks down its tokenomics. The token operates in the same way as any other deflationary meme coin, with a token burn and an “anti-whale” mechanism.
- However, there is not much to know about the token otherwise. It has no white paper and no road map; its website is fairly bare bones, promising nothing but to “put a meme on the moon.” Its developers are introduced at the bottom of the page, albeit using pseudonyms and without real pictures.
- The Reddit post reveals the developers are quite open about the fact that the Lorde Edge crypto’s value correlates almost entirely with pumps from Elon Musk tweets and not much else.
- Still, the token has seen a major influx of buyers. Transaction momentum propelled the token up over 450% since just yesterday; this makes it one of the fastest gainers on the market this week.
- Already today, though, the air is leaking from EDGELON’s tires. It is down over 8% as the momentum cools. Musk has also changed his Twitter name back to a simple “Elon Musk.” Trading volume is also down over 70% from yesterday.
- Naturally, many investors remain especially wary of tokens like EDGELON; events of recent weeks have proved just how quickly these tokens can sour. Shortly after its monolithic gains, the SQUID token turned out to be a massive rug pull scam. As investors lick their wounds after big losses with that play, there is bound to be some reluctance with the Lorde Edge crypto.
On the date of publication, Brenden Rearick did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
