As the cryptocurrency market searches for new growth narratives, celebrity-backed token projects have emerged, eliciting mixed reactions from seasoned crypto enthusiasts regarding this new wave of meme coins. Cointelegraph approached professionals across Web3 to gather their thoughts on the emergence of celebrity-backed meme tokens in crypto.

The Positive Perspective: Onboarding New Users

Proponents of celebrity tokens see them as an effective gateway into the world of cryptocurrency. Solo Ceesay, co-founder and CEO of social wallet Calaxy, believes these tokens can make crypto more accessible to the general public. Ceesay remarked:

"I think celebrity tokens can be hugely valuable to the space much like generic meme coins because they serve as the simplest on-ramp into crypto for most consumers."

Ceesay argued that leveraging the likeness of well-known figures makes attracting new users easier than explaining the complex potential of Web3. He is optimistic about the future of celebrity tokens, suggesting they could evolve into a significant asset class. "Over time, I expect celebrity coins to solidify themselves as a meaningful asset class should genuine strategies and use cases be deployed against them," he added.

Representatives from KuCoin shared a similar view, acknowledging that celebrity tokens can help onboard new users, though they also urged caution. They explained:

"Celebrity tokens can be a gateway to crypto for new users mainly due to their lower entry points. However, their balance of hype and utility can lead to potential risks."

The KuCoin team emphasized the importance of conducting thorough research, a common mantra in the crypto community, and maintained a neutral stance on meme tokens.

The Negative Perspective: Risks and Skepticism

On the other hand, some industry leaders criticize the trend of celebrity-driven crypto. Matt Wright, CEO of decentralized artificial intelligence (AI) firm GaiaNet, views it as detrimental to the crypto space. Wright explained:

"They're bad for the space because people think that's crypto, but that's just influencer marketing attached to economics."

He argued that the hype surrounding celebrity tokens overshadows the true potential of blockchain technology and warned that these tokens are unsustainable unless they offer substantial utility and innovation. Wright compared the trend to the non-fungible token (NFT) craze, where many projects lacked substance.

The speculative nature of celebrity tokens has raised concerns about their long-term viability. Andreas Brekken, CEO and founder of trading platform SideShift.ai, has been particularly vocal in his criticism. He argued:

"Washed-up celebrities are being recruited in numbers to create pump-and-dump schemes, to squeeze the last pennies from their already worthless reputations."

Brekken predicts a grim future for most celebrity tokens, asserting that "they are all going to zero in days, possibly months."

Conclusion

The emergence of celebrity-backed meme tokens in the cryptocurrency market has sparked a lively debate. While some see these tokens as a way to attract new users and make crypto more accessible, others warn of their speculative nature and potential to mislead consumers about blockchain's true value. As the market evolves, the success and impact of celebrity tokens will depend on the balance between hype, utility, and genuine innovation.

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