The cryptocurrency industry has been on an upward trajectory for much of last year. However, the recent bear market is a harsh reality check for investors. Remember to keep your eyes open for these risky investments, as they can often result in huge losses. You may want to invest only a small amount at first and then gradually increase the size of your investment over time. The return on your investment might be big — or it could end up being nothing at all. Meme coins add another dimension of volatility.
The first-ever meme coin was created as an experiment in 2013. It’s become one of the most popular crypto projects with a vibrant community and many different cryptos inspired by dogs and meme themes from all over the world. Cryptocurrencies are one of the most volatile markets in this new economy. However, meme coins become very dangerous due to a lack of use cases and functionality.
Nevertheless, how can you make your investment in this space less risky? For that, you will need to consider three things: the developer team, the hype surrounding the coin, and use cases. There are more than 250 meme coins out there that are awaiting your hard-earned cash. So, it would be best if you made your decision wisely.
You should never invest all your money into a single cryptocurrency. Investing in established digital coins like Bitcoin (CCC:BTC-USD) or Ethereum (CCC:ETH-USD) will give you more stability and safety than investing only with meme coin investments which are highly volatile.
Keeping that in mind, here are seven meme coins for your perusal:
- Shiba Inu (CCC:SHIB-USD)
- Dogecoin (CCC:DOGE-USD)
- Dogelon Mars (CCC:ELON-USD)
- Doge Dash (CCC:DOGEDASH-USD)
- Ariva (CCC:ARV-USD)
- Kitty Inu (CCC:KITTY-USD)
- Loser Coin (CCC:LOWB-USD)
Meme Coins: Dogecoin (DOGE)
Dogecoin is a cryptocurrency that launched in December 2013. The coin has the image of an adorable Shiba Inu dog as its logo. It was created as a sarcastic, fun-loving alternative currency. The loyal community of Dogecoin supporters trade and use it to tip social media content.
Jackson Palmer created his joke currency when cryptocurrencies came into vogue. He called it Dogecoin because who doesn’t love dogs? The value of Dogecoin has fallen alongside other coins since last year’s bubble, but it is still worth quite a lot. ‘A rising tide lifts all boats’ summed up the situation perfectly when DOGE initially rallied in 2019.
However, an additional factor is instrumental in Dogecoin’s rise; Tesla’s (NASDAQ:TSLA) chief executive officer and crypto enthusiast Elon Musk. He is working with the Dogecoin developers to enhance transaction speeds and tweets relentlessly regarding the token. That was enough to send DOGE-USD skyrocketing. His support is not wavering. The Tesla chief has even announced that his company accepts Dogecoin for merchandise.
Consequently, Dogecoin’s price is rising due largely to external factors. However, certain upgrades will instill confidence as well. The developers of the Dogecoin network have announced that an upcoming upgrade, version 1.14.5, will finalize their much-anticipated fee reduction for all participants in this decentralized currency system.
Having an active developer team is the key to any cryptos’ success. That’s why, if you are willing to gamble on meme coins, DOGE looks like a relatively safer bet.
Shiba Inu (SHIB)
Shiba Inu is a crypto coin that was developed by an anonymous developer named Ryoshi in 2020. It is considered to be the “Dogecoin killer.”
If you want to invest in a cryptocurrency that is gaining more traction than most coins out there, then Shiba Inu might be your best bet. The coin recently got listed on Kraken, which has helped boost its popularity even further. Furthermore, AMC (NYSE:AMC) will accept Shiba Inu as payment from this quarter onwards. This move comes after an agreement between crypto payment service Bitpay and AMC CEO Adam Aron.
Memes have become an increasingly popular form of cryptocurrency. This rise in popularity depends on the engagement they can attract rather than any tangible utility or use case as other coins do. Memes are a fun way to invest in cryptocurrency. The most important factor required for judging the success of any meme coin is the interest it is generating.
SHIB’s financial backers, such as Bigger Entertainment, have played an important role in the last few months by contributing millions of SHIB-USD to help decrease supply. You have to give credit where it’s due. Shiba Inu has demonstrated that it has a highly engaged community. So, it checks an important box. If the developer team maintains a steady stream of upgrades, the rally will become sustainable. For now, Shiba Inu will remain part of the conversation by virtue of its popularity.
Meme Coins: Dogelon Mars (ELON)
The Dogelon Mars is a popular meme coin among crypto enthusiasts. Its rapid rise in value has quickly become one of the most sought-after coins on cryptocurrency markets today. One can understand the reason. Elon Musk has been making headlines for years now, and it looks like he’s finally found his true calling. The chief executive officer of Tesla (and SpaceX) is not just an electric car visionary; he is one of the biggest crypto enthusiasts.
His tweets are responsible for significant rallies. And he is an active player in the crypto space. Last year, when the entrepreneur and CEO of Tesla Motors said his company bought $1.5 billion worth of BTC-USD, the, cryptocurrency jumped by 20%. Similarly, he anointed Dogecoin as “the people’s crypto.” And suddenly, investors were throwing money at it like there was no tomorrow. However, it is a double-edged sword. Musk has been critical of Bitcoin in recent months, claiming that the cryptocurrency’s high energy demands, and its broader environmental footprint, are bad for humanity.
Like many other entrepreneurs, Elon Musk advocates for cryptocurrencies and has supported Dogecoin. His influence on Dogelon Mars makes sense — he was the main driving force behind Tesla Motors’ disruption in automotive history by breaking long-established paradigms with his electric car model that changed how we think about fuel efficiency values as well as charging stations. The Dogelon team is inspired by Elon Musk’s dream to colonize Mars, and they are marketing their token as an interplanetary currency. We’ll see how that goes for them, but right now, it’s one of the top-rated meme coins in crypto land!
Doge Dash (DOGEDASH)
The video game industry has been around since the 1970s. But it wasn’t until a pandemic hit that people took notice. With more than half of Americans turning to games as an escape from reality during this period and gaming being such a major business now compared to when we first saw them coming up in popularity over 40 years ago, you can understand why the sector is so lucrative.
The appeal of video games has not changed the last 40 years. For example, Super Mario Bros., is one such classic, and it is still popular today because it’s so intuitive and universal. Kids can play it without difficulty if they’re looking forward to an adventure. Or adults who just want some peaceful relaxation time away from their busy lives for once can pick it up. DogeDash wants to cash in on this nostalgia. What if you took the best parts of Mario and Sonic, mixed them with crypto-related gameplay elements to create a new 90’s classic? That’s what Doge Dash is all about.
Inspired by some truly amazing games from our childhoods, DogeDash is straightforward. Dash through 10 levels of fast-paced running and collecting coins to get a chance at winning big. The number of coins you collect will then go towards your wallet. So, you get a nice reward for playing this game.
Meme Coins: Kitty Inu (KITTY)
Kitty Inu is a new cryptocurrency that has joined the ranks of Ethereum-based blockchains. Inspired by Shiba Inu and Floki, Kitty offers to level the playing field. There are several dog-inspired coins out there. However, our feline friends are not quite as popular in the crypto space right now. So, it’s only fair that Kitty Inu satisfies the needs of this niche.
Kitty is a crypto that powers Play-to Earn (P2E) ecosystems. It’s not only gamers’ favorite but also the preferred cryptocurrency for developers and creators of non-fungible tokens (NFTs) who want to make their gameplay more engaging than ever before. Kitty’s mission is to make the best community-driven platform for gamers with an eye on building up one of, if not THE most reliable decentralized finance (DeFi) protocols out there backed by some very talented team members who have experience in this field from all around the world.
You will need either Bitcoin or Ethereum to buy Kitty Inu. Before we go any further, it is important to highlight the risk of investing in this type of coin. Much like several other meme coins, there is no guarantee KITTY-USD will rise in value this year. Instead, buying this one is akin to buying a lottery ticket. So, invest accordingly.
The ARV token is an incentive to accelerate sustainable growth for local and international tourism networks. The project is a business-to-consumer (B2C) network that connects members with both current travelers and potential ones through reviews, recommendations, bookings, etc., all while earning cryptocurrency from your reservations.
For travel agents, this is a double whammy. Due to the internet, they were already in the dock because everyone was doing their bookings online. The travel industry is a cutthroat business. And when internet-based bookings took off, the pressure for agents to stay competitive was creeping up around their necks. Nowadays, with easy access, anyone can log in from anywhere on earth to make their plans, book their flights, and so on.
With Ariva, things are getting even more interesting. Its blockchain architecture will allow users to earn throughout the travel agency services lifecycle.
Meme Coins: Loser Coin (LOWB)
Loser Coin was created by two guys from China, one who has children and lives in rural poverty while working 60 hours every week at his job just like everyone else; another coder suffering through it all. The founders of this project were ready to lose everything when they launched Loser Coin.
This concept fully embraces the ethos of meme coins. Unlike some of the other meme coins out there that are hoping to hang onto relevance through developer upgrades, Loser Coin is an unusual blockchain project that wants to unite all the losers in this world and tell them they should be grateful for their losses because it’s only when we’re at our lowest point does a victory taste sweeter.
Now, you might read this and laugh. That’s the point.
We are operating in a market where Dogecoin and Shiba Inu are making multimillionaires in a matter of months. So, when investing in this area, you cannot operate with a standard rulebook.
On Low-Capitalization and Low-Volume Cryptocurrencies: InvestorPlace does not regularly publish commentary about cryptocurrencies that have a market capitalization less than $100 million or trade with volume less than $100,000 each day. That’s because these “penny cryptos” are frequently the playground for scam artists and market manipulators. When we do publish commentary on a low-volume crypto that may be affected by our commentary, we ask that InvestorPlace.com’s writers disclose this fact and warn readers of the risks.
Read More: How to Avoid Popular Cryptocurrency Scams.
On the publication date, Faizan Farooque 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.
Faizan Farooque is a contributing author for InvestorPlace.com and numerous other financial sites. Faizan has several years of experience in analyzing the stock market and was a former data journalist at S&P Global Market Intelligence. You can check out his analysis on InvestorPlace and TipRanks.