The operation mode of meme coins mainly relies on community promotion, narrative ability, hype, economic model and celebrity effect to drive its price and influence.
1. Community promotion and viral marketing: The success of meme coins is inseparable from the participation and promotion of community members. The value of these coins often comes from the formation of consensus. This is a bottom-up promotion model. The activity and participation of the community are the core driving force of currency price fluctuations.
2. Narrative and hype: The narrative ability of meme coins is crucial. These coins are usually created around a certain culture or phenomenon. For example, DOGE originated from the popular dog emoji on the Internet, and SHIB was created to surpass DOGE. This narrative attracts a large number of followers and forms a community culture. In addition, through hype and events, such as giving a large number of coins to celebrities, exposure and popularity can be quickly increased.
3. Large and cheap economic model: Meme coins usually have a very large supply. For example, the supply of DOGE has exceeded 140 billion, which makes its price relatively cheap and lowers the entry threshold. Large supply and low prices make investors feel that they can hold a large number of tokens at a low cost, increasing the attractiveness of participation.
4. Celebrity effect: The participation and endorsement of celebrities often give Meme coins a huge boost. For example, Elon Musk often expresses his support for DOGE through social software, and these remarks often cause violent market fluctuations.
The operation of Meme coins combines the process of cultural communication, community, celebrity effect and hype. Its core comes from community consensus, not the technical foundation of traditional cryptocurrencies.
