Binance Founder Criticizes Meme Coins: "Blockchain Should Focus on Real-World Applications"
The notable statements in the cryptocurrency world came from Binance CEO Changpeng "CZ" Zhao. Zhao stated that meme coins are not sustainable and emphasized that blockchain technology should focus more on real-world applications. Following this statement, the value of popular meme coins such as DOGE, SHIB, PEPE and BONK decreased by around 9-10%.
Zhao said he is not against meme coins, but their recent popularity has become “strange.” “I am not against meme coins, but right now we need to develop real applications using blockchain,” Zhao said, urging the crypto community to focus on functional and sustainable projects.
These criticisms came after Binance offered futures products for meme coins WHY and CHEEMS on BNB Chain. However, these coins lost value shortly after they were listed. The community criticized Binance for getting caught up in the meme coin trend, arguing that more functional projects should be prioritized.
Crypto analyst IncomeSharks supported Zhao’s statements, saying, “Meme coins have gone from being fun to being very strange and hopeless.” Another analyst, Willy Woo, commented, “While Satoshi Dice was the first blockchain application, we have now come full circle with meme coins.” Experts agree that blockchain technology should offer more meaningful and practical solutions.
Following Zhao’s statements, serious selling pressure was observed in the meme coin market. Popular meme coins such as DOGE, PEPE, BONK and FLOKI lost more than 10% of their value. The reasons for this decline were cited as Bitcoin’s decline from $92,600 to below $94,000 and the impact of Donald Trump’s economic policies. In addition, rumors that Elon Musk was shifting from DOGE to PEPE also increased the volatility in the markets.
Binance’s listing of meme coins has divided investors. One group accused Binance of getting caught up in the hype of these coins and expected the company to prioritize more robust blockchain projects. “Unfortunately, Binance is currently choosing to list such assets instead of coins with useful applications. I hope you move in the right direction,” analyst Dan Crypto Larp criticized the company’s approach.
The high earning opportunities offered by meme coins also indicate that caution should be exercised, especially for new investors, due to their risky nature. Experts warn that such volatility can harm the crypto ecosystem in the long term. It is believed that blockchain technology’s orientation towards more robust and meaningful applications will be a healthier path for both investors and the industry.