🚨 Memecoin hype alarm: 76% of crypto influencers on X were "convicted" for promoting Memecoins
A recent report from Coinwire revealed a disturbing fact. On the X platform, 76% of crypto influencers were suspected of fraud for promoting Memecoins! Because most of the Memecoins they touted are now worthless.
Research shows that only a very small number of Memecoin promotions can increase the value of the token tenfold, which is a depressingly low percentage. Moreover, more than 76% of the Memecoins promoted by these influencers have been deactivated! This is simply the dark reality of Memecoin.
After investigating more than 1,500 Memecoin promotions initiated by 377 influencers, Coinwire found that small-scale influencers are more effective, and they focus more on "real promotion" rather than just looking at money. And those influencers with more than 200,000 followers had a negative return of 39% after one week of their promotions, and even more terrible after three months, with a negative return of 89%!
It turns out that these big Vs are more concerned about their own economic incentives than the quality of the projects they endorse. They can earn $399 for each promoted tweet, which is read at least 15,000 times, while investors have to pay for these promotions.
The report also pointed out that 86% of Memecoin promoted by big Vs fell in value by 90% after three months. After a week, 80% of the tokens fell in value by 70%, and after a month, 90% of the tokens fell in value by 80%. Therefore, it is almost impossible to achieve a tenfold return on Memecoin promoted by big Vs, because only 1% can do it.
🗣️ Conclusion:
Although many KOLs may promote some Memecoin projects that are not of high quality for economic motivation, this behavior not only infringes on the interests of investors, but also threatens the healthy development of the market.
This report gives us an important warning! In the cryptocurrency industry, especially in the field of Memecoin, the quality of projects endorsed by KOLs is not always proportional to their recommendations.
Therefore, it is urgent to create a more transparent and responsible promotion environment to help investors make decisions based on the true value of the project.
💬 What do you think of these big Vs' promotional activities? Do you refer to the recommendations of big Vs when investing in cryptocurrencies? Do you think they should be held responsible for investors' losses?See you in the comments section!