PEPE memecoin appears to be following a pattern of cyclical market behavior in the cryptocurrency industry where new memecoins emerge, and the hype surrounding them takes over completely. This phenomenon has been observed time and again, and the PEPE memecoin seems to be no exception. However, what sets it apart from the rest? Let’s find out.
In less than two weeks since its inception, the PEPE memecoin has managed to enter the top 100 projects and has a market capitalization upwards of $400 million. This rapid rise has left many wondering if this is just a temporary trend or if it has the potential to become a major player in the market. We will delve deeper into this in the following sections.
In this guide, we will take a closer look at what the PEPE memecoin is all about, who created it, and why. Additionally, we will explore the stories of people who became overnight millionaires due to the sudden rise of the memecoin and whether or not they can sustain their newfound wealth. So, let’s dive in and explore the exciting world of the PEPE memecoin.
PEPE Memecoin History
The PEPE memecoin was launched towards the middle of April 2023, with the first entry point on Etherscan being April 18th. Less than three weeks later, the cryptocurrency had a market cap of over $420 million, venturing into the list of the top 100 coins by means of total market capitalization. At the time of this writing, PEPE is traded on major exchanges such as Huobi, MEXC, OKX, and others. Apart from that, it’s also available on multiple decentralized exchanges such as Uniswap.
What is PEPE Memecoin?
According to the official website, the PEPE memecoin is designed to be “the most memeable memecoin in existence.” The page has multiple references to other popular tokens such as Shiba Inu (SHIB), Floki Inu (FLOKI), Dogecoin (DOGE), and so forth. By design, PEPE has no intrinsic value and this is clearly stated on the website.
The emergence of memecoins with no value proposition is not a recent development in the cryptocurrency industry. Several coins have been launched in the past, creating panic among users who realize that they hold no actual worth.
The team behind PEPE memecoin, on the other hand, has made it clear that their token is not associated with Pepe the Frog, despite its reliance on the popular meme for virality.
On the contrary – the goal of the token is to “simply pay homage to a meme we all love and recognize.” As a bit of background on Pepe the Frog – it’s a cartoon character created by the cartoonist Matt Furie. Pepe made a debut in 2005 in Furie’s comic Boy’s Club.
While joking about having no plans whatsoever, the team has laid down some expectations in the form of three different roadmap phases that can be seen below:
Tokenomics and Ecosystem
PEPE has a total token supply of 420,690,000,000,000, which pays homage to the popular meme numbers 4:20 and 69. 93.1% of the supply has been sent to the liquidity pool, with the LP tokens burnt, and the contract renounced.
The remaining 6.9% is being held in a multi-sig wallet for future use in centralized exchanges, liquidity pools, and bridges, according to the official website. You can track this wallet with the ENS name “pepecexwallet.eth.”
The PEPE memecoin ecosystem is expanding rapidly, with the token having approximately 65K holders as of May 1st, just two weeks after its initial launch, according to Etherescan.
Risks and challenges
Like most memecoins that go viral, this one also carries certain risks and challenges.
The cryptocurrency PEPE has been highly volatile, with significant price swings, such as doubling in price on May 1st. However, this volatility also presents risks, as the price could just as quickly plummet, given the coin’s lack of intrinsic value. Furthermore, liquidity-related concerns on centralized exchanges could prevent traders from cashing out, even if they make significant gains.
Another concern is the security risks associated with the increasing popularity of a memecoin. Scammers may try to take advantage of the situation, as evidenced by dusting/token scams targeting the PEPE deployer wallet and CEX wallet.
Therefore, it’s crucial to follow basic crypto security tips when interacting with the DeFi ecosystem to avoid getting scammed. If PEPE continues to stand the test of time and gets listed on more centralized exchanges with deeper liquidity, some of these risks may fade.
Sum up
To sum up, the PEPE memecoin has made a significant impact on the cryptocurrency market, with a total addressable capitalization of over $400 million within two weeks of its launch.
While some are comparing PEPE to other memecoins like SHIB, DOGE, and FLOKI, it remains to be seen if this meme-based token will endure the test of time.