There is a lot of uncertainty surrounding cryptocurrencies, and many people don’t know how to invest their money in this new asset class. Meme coins add layer of risks, but for the risk-averse investor, these assets can provide double-digit returns.
Investors are spooked about the future of the cryptocurrency market. The market volatility makes it difficult for investors to make decisions.
Undoubtedly, the sharp decline in Bitcoin (BTC-USD) and other cryptos this year means the asset class is not for the faint of heart. Below are five meme coins with potential to do well in 2022:
Dogecoin (DOGE-USD) is a cryptocurrency that has been gaining popularity as of late. It’s on the radar of Reddit users and Elon Musk.
Dogecoin is one of the most popular cryptocurrencies and has gained much attention from investors and users alike. Jackson Palmer and Billy Markus created it in December 2013 as an alternative to Bitcoin.
Dogecoin is based on Litecoin (LTC-USD) but with a few modifications. For instance, the maximum number of coins that can be produced is unlimited compared to Litecoin’s 84 million coins. The block time for Dogecoin is much shorter than Litecoin at 60 seconds compared to 1 minute for Litecoin, allowing more transactions per second.
Although other meme coins have quickly fallen out of favor, Dogecoin has helped meet Musk’s interests and what sets it apart from the others. Last month, Musk reiterated his support for the meme coin, giving fresh evidence that Dogecoin is not going anywhere.
Shiba Inu (SHIB)
Shiba Inu (SHIB-USD) is a popular meme coin that uses the Shiba Inu as its mascot. It was developed to serve as an alternative to Dogecoin.
Shiba Inu’s price soared in October last year to a peak market capitalization of $41 billion and earned a spot as one of the best meme currencies by this measurement.
Shiba Inu may have been trying to take on Dogecoin market share — after all, it refers to itself as “the Dogecoin killer.” But in reality, SHIB trades in correlation to Dogecoin. Elon Musk’s tweets often result in increased volatility in the cryptocurrency space. Despite having some of the most high-profile supporters worldwide, Dogecoin has been volatile lately. Hence, it is having an impact on SHIB.
Shiba Inu, an Ethereum-based cryptocurrency, is currently lacking utility but has potential for future use cases.
MonaCoin (MONA-USD) is a cryptocurrency available for purchase using Bitcoin or Japanese yen. It is primarily used for tipping in gaming communities. In addition, some stores in Japan also accept it as currency.
If you want to invest in a cryptocurrency with a functional use case, then MonaCoin is worth your time. This open-source coin has been around since January 2014 and offers the best of both worlds: a pre-mined coin and an open-source model.
Monappy is the unofficial hub of MonaCoin. They currently trade on many Japan-based exchanges, so the company is fully legal in that country.
It is gaining in popularity very quickly in Japan. It’s based on a cat character, and its popularity is extremely high there. The underlying functionality of MONA is P2P payment technology, which is the project’s official cryptocurrency. It rewards those who validate blocks and support its transfer, thus making it a decentralized web-based alternative to credit cards.
Hoge Finance (HOGE-USD)
Hoge Finance (HOGE-USD) has different features than Dogecoin, focusing on decentralized finance.
There is a lot of hype surrounding deflationary tokens. HOGE has a taxation system that aims to increase the cryptocurrency’s value. One portion of the HOGE token economy converges into the wallets of Hace Finance’s founders and investors. The other part gets burned to increase the value of HOGE.
HOGE holders can benefit from the company’s tokenomics. The decreasing amount of HOGE tokens could mean an increase in the price, but only if Hoge Finance succeeds.
Hoge Finance is also selling NFTs and a wide variety of valuable and innovative products on OpenSea. HogeMint is a product that gives custom NFTs to members only during special events. Other benefits include the ability to assign crypto rewards and mining tools.
HOGE is one of the only digital assets undergoing a Certik audit. Its code is safe and secure.
Meme Coins: Samoyedcoin (SAMO)
The token, Samoyedcoin (SAMO-USD), is a digital asset introduced on the Solana blockchain. It is an engaging introduction for first-time investors or users and can be a new way of building relationships with them.
SAMO depicts a samoyed as its official mascot. This is because the founder, Anatoly Yakovenko, also happens to be one of their fans and has a samoyed at home.
Trading will end once it reaches approximately 9.24 billion, and the total amount of tokens remaining will determine how much your holding is worth. Samoyedcoin has had three token burns since its inception to shore up its valuation. It is an additional reason to invest in this meme coin.
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.