To compete with cryptocurrencies like Dogecoin and Shiba Inu, Pepe Coin, a new cryptocurrency, was introduced to the market in April 2023. Memecoin is the name of the subcategory of cryptocurrencies that Pepe Coin and its rivals fall under. Memecoins are cryptocurrencies that, as their name implies, are modelled after aspects of memes that have become popular over time on social networking sites. This brand-new competitor in the memecoin market is modelled after a cartoon frog that frequently appears in well-known internet memes and has expressions that are specifically designed to capture the relatable emotion behind the meme.
The Arrival and Rise of Pepe Coin
Pepe Coin, also known as the $PEPE token and supported by the Ethereum blockchain, made its debut in the cryptocurrency market on April 16, 2023. Without any public announcements from celebrities or planned giveaways of free PEPE tokens to the winners of social media competitions, it was quietly released.
The anonymous creators of this coin have implemented a “no tax policy” on PEPE, making it appealing to novice and small investors. This indicates that there won’t be a petrol fee for Pepe transactions for investors who trade Pepe Coins.
In order to maintain the desired scarcity, the Pepe Coin ecosystem also includes a mechanism for rewarding long-term stakers and a timely mechanism for burning some reserves. A predetermined number of 391,790,000,000,000 tokens are in circulation for the token.
Well, due to its iconic meme character inspiration, these factors soon started enticing meme-loving cryptocurrency investors to buy some Pepe Coins, even if it only had a novelty value.
PEPE entered the trading environment in April with a first price of $0.000000001 (approximately Rs. 0.000000083).
The PEPE token surged by 7,000% in the first seventeen days after launch, reaching a market cap of $1.8 billion by May 5, according to reports.
PEPE is currently trading at $0.000001514 (approximately Rs. 0.00013) as of Friday, May 19, according to CoinMarketCap, one month and three days after its launch.
Interestingly, however, Pepe Coin’s capitalization, which was $1.8 billion (roughly Rs. 14,890 crore) on May 5, quickly dropped to its current valuation of $597.9 million (roughly Rs. 4,950 crore) as market conditions became turbulent due to the US economic slowdown.
The Redflags and Speculations
In the cryptocurrency community, eager investors frequently get carried away in the pomp and circumstance surrounding brand-new cryptocurrencies and wind up investing money in arbitrary coins in the hope that they will somehow break into the next “to the moon” cryptocurrency.
People were curious about Pepe Coins after they started making headlines for their popularity, and many of them started to wonder if Pepe Coin was a scam project of some sort.
The fact that this coin’s creators are unknown, the unheard-of price surge it experienced in a matter of days, and its rapid decline in value all contributed to the suspicion that Pepe Coin might be a rug-pull scam in the making.
In rug pulls, con artists launch arbitrary crypto tokens and let them pump as high as they can. Once they have collected their desired amount of money from the investors, they abandon the projects and leave the money behind, leaving the investors helpless.
The Present Situation and Comparison with DOGE, SHIB
Even though massive cryptocurrency exchanges like Binance and CoinMarketCap have already listed the Pepe token for trading on their platforms, some people are still hesitant to use $PEPE, at least for the time being.
After Elon Musk recently shared a random meme featuring Pepe the Frog, the craze surrounding this altcoin became even crazier.
Musk supporters were quick to point out that this quiet acknowledgment from Musk might boost Pepe and have an impact on his well-known favourite memecoin, DOGE.
In contrast, neither Dogecoin nor Shiba Inu have been able to demonstrate any notable price changes in the previous year.
According to Gadgets 360’s cryptocurrency price tracker, SHIB was worth $0.0000087 (roughly Rs. 0.000718) at the time of writing, while DOGE was trading at $0.082 (roughly Rs. 6.8).
Just over a month after its debut, the rise of the Pepe Coin is still something that sceptics should be on the lookout for.
Industry experts have reiterated their advice to investors, telling them to proceed with the utmost caution before making any cryptocurrency investments without first doing their homework.
News From Source link