In the world of cryptocurrency, celebrity has always been a force to be reckoned with. Recently, Jupiter Slorg’s latest statistics show that 30 celebrities have joined the ranks of issuing meme tokens on the Solana blockchain last month, including tokens from well-known figures such as Andrew Tate and Soulja Boy.

However, the market performance of these celebrity tokens has been shocking, with the average value falling by a staggering 94% from its peak. Even the best-performing tokens have suffered a loss of more than 70%, and half of the tokens have lost more than 99% of their value.

This is not only a thought-provoking phenomenon, but also a warning about the bubble and speculation in the cryptocurrency market. With the disclosure of these data, we can't help but ask: How much magic does the celebrity effect still have in the cryptocurrency market? And how long can investors' enthusiasm for these celebrity tokens last? Let's take a deep look at the reasons and impacts behind this phenomenon.

The Dilemma of Celebrity-Issued Meme Coins

A new phenomenon has emerged in the cryptocurrency market recently, with celebrity-issued meme coins not living up to their reputation. Currently, 22 of the 30 newly launched celebrity meme tokens have fallen below the $1 million mark in market value, showing the market’s sluggishness.

Source: X

Despite the significant drop in market cap, these tokens have maintained a certain level of activity on social media, especially Twitter. This phenomenon began in May when Caitlyn Jenner launched the JENNER token, which, despite initial skepticism, surged to $40 million in market cap in just 24 hours. Shortly after, rapper Iggy Azalea also launched her Mother Iggy (MOTHER) token on the Solana blockchain, which also quickly gained market attention.

Other celebrities, including Lil Pump, Soulja Boy, and Andrew Tate, have since jumped on the bandwagon and launched their own meme tokens. However, many market observers point out that celebrity involvement is often a sign that the market has peaked. This seems to be confirmed by the recent decline in meme token trading volume and the sharp drop in price.

According to data from CryptoQuant, the dominance of meme coins in the altcoin market has declined significantly since mid-May and continued to plummet in June. This further shows that although celebrity effect can attract a lot of attention in a short period of time, it may not bring long-term market value to these tokens.

Meme Coin may become the new favorite of Internet celebrity economy

Meme coins issued by celebrities are becoming an emerging trend in the cryptocurrency space, driven by influencers and celebrities who use their influence to bring short-term popularity to these crypto assets. However, history is always strikingly similar, and these projects often quickly fall into trouble due to retail investors' selling and allegations of fraud, exposing an ongoing problem in the crypto market.

Looking back at past bull cycles, we can see how celebrities have participated in and promoted various trends in cryptocurrencies. In 2017, celebrities such as Paris Hilton, Floyd Mayweather, and Jamie Foxx promoted numerous tokens by endorsing Initial Coin Offerings (ICOs). Unfortunately, most of these ICOs ultimately failed, with studies showing that more than 80% of ICOs were actually scams, and the celebrities involved were usually not fined for this.

Fast forward to the bull run of 2021-2022, when the focus turned to non-fungible tokens (NFTs) and the metaverse. Celebrities such as Jake Paul, DJ Khaled, David Dobrik, and even former President Donald Trump joined the NFT promotion. Unfortunately, many of these projects also turned out to be scams.

By 2024, the focus shifted to meme coins created by influencers before they began to gain mainstream popularity. Some misspelled tokens, such as Doland Tremp (TREMP) and Joe Boden (BODEN), also unexpectedly gained market attention and were listed on some centralized exchanges.

This phenomenon not only reflects the strong influence of celebrity effect in the cryptocurrency market, but also reminds us that we need more vigilance and critical thinking in this field. #迷因币危机 #投资风险警示 #名人效应衰退 #投资者保护

Conclusion:

Although celebrity effects have a great influence in the cryptocurrency market, the popularity they bring is often difficult to sustain. As the market bubble burst, we have witnessed a sharp drop in the value of meme tokens, and the market value of many tokens has shrunk significantly. This reflects that investors need to be more cautious and should not be attracted by celebrity effects alone, but should deeply analyze the true value and potential of the project.

The future of the cryptocurrency market should be built on technological innovation and practical applications, rather than short-term speculation. Market participants and regulators need to work together to improve transparency, combat fraud, and protect investors. Only in this way can the market develop healthily and truly valuable projects be recognized and supported. Let us examine market dynamics with critical thinking and jointly promote the cryptocurrency market to a more mature and rational direction.