• This article focuses on the growing popularity of meme coins such as Pepe and how exchanges like KuCoin are dealing with the issue.
• Dorian Vincileoni, KuCoin’s European Business Development Manager, explains that exchanges have to balance the needs of their users with potential risks including regulatory ones.
• He also emphasizes that although meme coins may have started as a joke, people cannot prevent them from gathering into online communities and becoming popular investments.
Rise of Meme Coins
Meme coins like Pepe have seen a significant resurgence in popularity since the market upswing in 2023. Despite its critics who see it as a dangerous fad, Pepe is now trading at $0.0000014, having fallen almost 68.32% from its all-time high of $0.000004354 according to CoinMarketCap.
KuCoin’s Approach to Meme Coins
DailyCoin’s Sections Editor, Stefan Trapp spoke with Dorian Vincileoni, KuCoin’s European Business Development Manager about how they tackle this issue. Vincileoni stated that KuCoin has a dedicated Listing and Research team responsible for analyzing projects and their economics before listing them on the exchange. He emphasized that although meme coins may have started as a joke, people will always form online communities around them which makes them attractive investments despite their riskiness.
Balancing User Needs & Regulatory Risks
Vincileoni highlighted that centralized exchanges have to balance user needs with potential downsides including regulatory risks when listing tokens like Pepe on their platform. He used Dogecoin as an example which has become one of the top ten largest cryptos since its creation with a market cap of 10 billion dollars despite being officially described by its own founders as a joke coin..
The Future Of Meme Coins
It is still unclear what will happen to meme coins in the future but it is clear that exchanges can no longer ignore these types of tokens or their associated communities due to their growing popularity among retail investors and presence in crypto markets overall..
Overall, centralized exchanges need to carefully consider the pros and cons associated with listing meme coins while taking into account user needs as well as regulatory risks in order for both investors and exchanges alike to benefit from this phenomenon moving forward without running into too much trouble along the way.