Avalanche Foundation Jumps on the Meme-Coin Wave
The Avalanche Foundation on Thursday introduced plans to amass meme coins, a tag of the token category’s rising presence within the crypto-asset landscape.
Meme coins are tokens that talk to comedic feedback or jokes shared on social media. “[Beyond] mere utility assets, they symbolize the collective spirit and shared interests of various crypto communities,” Avalanche talked about within the announcement on X, previously Twitter. The nonprofit foundation said this can originate the purchases through its Tradition Catalyst initiative, a $100 million creator program that Avalanche rolled out in March 2022.
“The Avalanche Foundation intends to originate using Tradition Catalyst to see and abet the custom and relaxing symbolized by meme coins by procuring opt Avalanche-primarily based meme coins to develop a sequence,” the put up continued. Meme coins will expand the Tradition Catalyst portfolio “to embody a more total spectrum of potentialities” that already comprises non-fungible tokens (NFTs) and exact-world assets (RWAs), the foundation added.
Avalanche said this can opt meme coins per several factors, alongside side the will of holders, liquidity thresholds, mission maturity and total social sentiment. The muse will additionally be pleased meme coins that are “fairly launched,” meaning tokens that are introduced and disbursed transparently and equitably so of us absorb the identical probability of procuring them at inception. This in total technique they score no longer seem to be on hand through a token presale, pre-mine, or enterprise-capital fundraising.
Transferring Perceptions of Meme Coins
The announcement underscores the rising hobby in meme coins, which started as a fringe section of the crypto ecosystem with the advent of Dogecoin and are generally connected to rug pulls, scams and pump-and-dump schemes.
The recognition of DOGE, SHIB on Ethereum and BONK on Solana has shifted public idea, nonetheless. Now, “institutions are procuring for methods to elaborate meme coins going into their portfolios,” said a crypto researcher who asked to remain anonymous because they didn’t absorb permission to talk to the click. “The commerce is discovering out that having a talked about utility isn’t as critical as as soon as opinion.”
Avalanche is a blockchain platform with a total of $895 million in value locked in its tidy contracts, per on-chain records agency DefiLlama. Its native token AVAX has been amongst the head performers in 2023, increasing 275% within the past year to a designate of $40.24 at press time, records from CoinGecko reveals. COQ, Avalanche’s top meme coin by procuring and selling quantity, started procuring and selling in December and has already swelled to a market capitalization of $118 million.
Unchained despatched a Telegram message to a representative of Ava Labs, builder of the Avalanche blockchain, however did no longer gain a response by press time.
Source credit : unchainedcrypto.com