Ethereum co-founder Vitalik Buterin took a dig at celebrity-endorsed meme coins, highlighting their lack of grounding in the public good. Buterin wants the new tokens to make people feel good about being part of something beyond making early adopters rich.
Also read: Celebrity meme coins flood crypto market
Writing on X, formerly Twitter, Buterin said financialization as an end in itself fails to meet the low bar set by regular businesses and charities. He linked back his concerns about the celebrity-driven cycle of meme coins to an opinion he wrote about the degen cycle in May.
Celebrity meme coins are ‘purely speculative’
Buterin took a dimmer view of the new cycle as being purely speculative, whereas degen meme coins at least capitalized on people’s need to have fun. His ideal celebrity meme coin is one “where even if eventually all tokens involved go to zero, the average person is happy to have to do so.”
Buterin’s comments come as big names like Caitlyn Jenner, Rich the Kid, Iggy Azalea, and Davido have each contributed a token to celebrity meme coin culture. The projects have shown volatile fortunes, with some slumping overnight, as they are narrowly leveraged on star power. Davido cashed out $474, 000 on the first day of the coin named after him began trading, resulting in a significant decline in value and losses for traders.
I'm feeling quite unhappy about with "this cycle’s celebrity experimentation" so far.
"Financialization as a means toward an end", I can respect if the end is worthy (healthcare, open source software, art, etc). Financialization *as the final product*, 🤮
Ashton and Mila's…
— vitalik.eth (@VitalikButerin) June 5, 2024
Beyond just trading a token, community-building through member participation is one key to “making something that lasts 10+ years rather than bubbling around for a few months and then being forgotten.”
“As much as I dislike token voting DAOs (decentralized autonomous organizations), at least they give something for people to do and organize around,” Buterin said. “The DAO should not fully decide the agenda, but it can have some influence.”
Buterin renews calls to use crypto for good
The Ethereum co-founder suggested that artist-driven celebrity meme coins often give off the appearance of a major-label figure looking to make extra cash rather than start something much bigger in financial technology.
Also read: Nigerian superstar Davido pulls a crypto pump and dump scheme
Instead, Buterin suggested exploring social causes such as healthcare, open source software, or art, doubling down on a message he shared in May when he hypothesized examples such as an “anticancercoin” and a “climatecoin.”
“Ashton and Mila’s Stoner Cats was vastly more honorable than anything we’ve seen from this 2024 celebrity meme coin era – at least there was an actual show being funded,” Buterin argued.
Cryptopolitan Reporting by Jeffrey Gogo