What Is A Meme Coin In Crypto?

Meme coins are a unique type of cryptocurrency whose growth is driven by hype in internet culture. Although they don't have serious technological backing like other crypto, these coins occupy a significant niche in the market. In this article, we will take a closer look at the nature of meme coins, their working principles, and use cases. We will also share with you the most promising coins in 2025, tell you how to buy them and how to avoid possible risks in working with meme coins.

What Are Meme Coins?

Meme coins are cryptocurrencies that originate from internet memes and popular cultural phenomena, due to which they usually have a joking nature. Thus, their value depends on social media popularity, viral campaigns, or celebrity endorsements. A prime example is Dogecoin, which originated from a meme featuring a dog of the Shiba Inu breed.

Meme coins were created to transfer the humorous nature of memes to the crypto market, creating a new form of digital currency. Another idea behind their development was to provide a lower threshold of entry into the market for people with little knowledge and experience in the field. Meme coins have certainly succeeded; this is evidenced by the emergence of other coins on the market, which number in the hundreds, and a market capitalization that as of February 2025 is around $60 billion.

How Do Meme Coins Work?

Like other cryptocurrencies, meme coins operate on blockchain technology, providing decentralization and security for transactions. They are usually built on existing blockchain platforms and can use their tools to implement additional features (e.g., smart contracts on Ethereum). Meme coins can also be bought, stored, or traded on various crypto exchanges, but it is worth remembering that their value and demand depend on community involvement.

What Are Meme Coins Used For?

Let's now take a closer look at what meme coins can be used for:

• Tipping. Meme coins are mostly of low value, which makes them popular as tips. For example, bloggers on Reddit or YouTube receive meme coins from their subscribers as donations.

• Charity. Some meme coins are used for charitable donations. This can be raising money for environmental projects or supporting sports teams.

• Payment for goods and services. Meme coins can be used like other cryptocurrencies to pay for products of companies. However, not everyone accepts this type of crypto, so this list is limited.

• Investing. Although meme coins have low value and slow growth, some crypto-activists buy them hoping that their price will rise dramatically due to viral trends. In that case, they will be able to capitalize on the price fluctuations.

• Experiments. Developers like to use meme coins in attempts to make some innovations in the field of new blockchain technologies or economic models.

Which Meme Coin To Buy Now?

To take a closer look at meme coins, we've put together a list for you of those that are the most popular and promising this year. Here they are:

• Dogecoin (DOGE). It was originally created as a parody of the hype surrounding Bitcoin but has become a popular crypto over time, thanks to a large backing of Elon Musk. DOGE is mostly used for tips and charity, but some companies (such as Tesla) accept it as a means of payment as well.

• Shiba Inu (SHIB). This meme coin appeared a few years ago, but despite this, it has a lot of community support. It has the advantage of using the Ethereum blockchain, so SHIB can use smart contracts and DeFi services.

• Pepe (PEPE). Although Pepe was created for the entertainment of the crypto community, it has quickly become a serious digital asset for trading. As such, the coin can be found on many crypto platforms.

• FLOKI (FLOKI). The coin is famously named after Elon Musk's dog. It is now rapidly moving towards developing a spectrum of applications, including in NFTs, and an educational ecosystem.

• Bonk (BONK). This meme coin has become famous through viral advertising on TikTok and is attracting the most attention in the Solana blockchain community. Integration into the decentralized application system allows BONK to be used on NFT-enabled platforms, which is really valuable for many crypto-activists.

How To Buy Meme Coins?

If you plan to buy one of the ones we suggested or some other meme coin, you should know how to do it. This can be done on cryptocurrency exchanges, where the process is mainly identical regardless of the platform. To make it easier for you to perceive, let's look at the algorithm using the Cryptomus platform as an example:

• Step 1: Create an account. If you haven't registered on any crypto platform yet, you need to do it. On Cryptomus, you will need to enter your name and email, or you can authorize via Telegram, Facebook, or AppleID.

• Step 2: Go through the KYC process. Go to settings and select “KYC” to verify your identity. You will need to upload a passport photo or other document and take a selfie.

• Step 3: Buy a meme coin. On some platforms, including Cryptomus, you can purchase meme coins using a credit or debit card. To do it, go to the “Buy Crypto” section and click on “Buy by card”. Select the desired meme coin, fill in all the fields, including your card details, and confirm the action.

You can also buy meme coins on a P2P exchange. To do this, go to the “P2P” tab, customize all filters to search for a coin offer, and select the right one. Contact the seller to discuss the details of the transaction and make the purchase. Meme coins will then be in your exchange wallet; you can store them there or transfer them to another available wallet.

Risks Of Investing In Meme Coins

Investing in meme coins is a good opportunity to earn high profits during viral trends and hype on social media. At the same time, there are several risks that you need to consider before investing. We tell you about them below:

• High volatility. Meme coin price changes can be extreme and fluctuate in short periods of time, which can lead to significant losses.

• Fraud. Like all cryptocurrencies, meme coins are susceptible to scams, for example, when developers abandon a project after raising profits. The lack of meaningful technological support only reinforces this aspect.

• Market manipulation. Meme coins with a large supply are often manipulated by crypto whales, influencing the price through coordinated buying or selling, and sometimes by unscrupulous bloggers who use pump-and-dump.

Nevertheless, investing in meme coins can be a good solution for some trading strategies, such as day trading or scalping, where high volatility will only be advantageous. Additionally, if you are aware of the common types of crypto scams and know how to avoid them, you can work with the coins quite safely.

Thus, meme coins are a unique segment of the crypto market. They are good for expanding portfolios and can bring significant profits at the hype moment. At the same time, you should be cautious about investing in this type of crypto and conduct thorough market research to choose the most promising coin and pick a good time to buy. Thanks for reading!