Memes coins are the devil’s dandruff
It’s been a while since I’ve put pen to digital paper. Since my last post, I continued my crypto journey, though the lesser of kind, I’ve focused my attention on Meme coins and Pump & Dumps. I feel dirty just saying it, however, it’s taught me a few valuable lessons.
When it comes to Meme coins, despite there ridiculous nature and lack of use cases or longevity, real money can be made. This is truly playing the Casino, and most people lose money. I can attest.
99% of Meme coins go to zero, and the vast majority of that are pump and dump scams. Project owners create tokens on the Solana blockchain, pump up the token via X and Telegram, pay influencers, then Rug Pull and drain the token once it hits a certain market cap, and leave all the “investors” high and dry. Pretty evil shit.
If you are lucky enough to be in that 1% and hold long enough to reap the rewards, Millions can be made, but you really gambling with money, again 99% fail, and their thousands of these tokens made every week. Again, all fucking failures. If you are lucky enough to find the next Pepe, Fartcoin, or Shiba Inu, well congrats! The odds are very stacked.
So, my poison of choice? I use dexscreener to find up and coming Meme coins with the following filters:
1. Solana Blockchain
2. Liquidity: $10,000
3. Market Cap Minimum: 100,000
4. Market Cap Maximum: 10,000,000
5. 5M Volume: 100,000
With this formula, you can make a quick buck if you are patient and a token early enough with some serious volume. Volume truly is key at the beginning of any token launching. Without Volume, you’re watching a sinking ship, and essentially the token going to zero. However, if the volume starts to reach 300,000 – 500,000 per 5 minutes, and the token is relatively new, I’ve made 2x easily off these shit coins. I have also lost 90% on some stupid buys that crashed to zero because I did not do any due diligence.
What does due diligence look like for meme coins?
1. Does it meet the criteria above (filters)
2. Check how many holders does the token have? 50 or 1500? This can be checked in Dexscreener or Axiom. I personally love Axiom.
3. Has the Dev sold or are they still holding a large percentage of the token. They could sell or Rug Pull any moment.
4. What is the age of the token? Was it created 5 minutes ago or 24 hours ago?
5. Does it have a website & X page? Is it legit and active? Up to date?
6. Use the @CallAnalyserBot in Telegram to see if Crypto groups are promoting it. If so, that’s good.
7. What is the percentage of Top Ten Holders? Over 15%, move along, because when it dumps, you are fucked.
8. How many insiders?
9. Was the Dex Fee Paid? Check this on Axiom when you paste in the Contract Address
10. Does the Dev have a history of Rug Pulls?
As you can see, it’s fucking dangerous out here in these Meme coin streets. All investments come with inherent risk. From my time playing with Meme Coins, I highly doubt I will be retiring anytime soon, in fact, I’ll most likely lose my starting capital and be left with nothing.
What’s next for me? Since I’m a sucker for punishment, time to learn and explore the world of Futures and leverage. Until next time.