Most meme coins are the very definition of a rug pull. Sadly people get suckered in with the promise of great riches but they buy in during FOMO stage & it’s too late. The creators or early beneficiaries are already selling in large amounts & there we have it, the rug pull. I have fallen for it myself but I won’t be again.
Meme coins have gained popularity due to several reasons. One of the main reasons is the viral nature of memes themselves. Memes are widely shared and spread quickly on social media platforms, creating a sense of community and excitement around certain coins.
Additionally, meme coins often have low entry barriers, allowing anyone to participate in the market with a small investment. This accessibility attracts a large number of retail investors who are looking for quick gains.
However, it's important to note that investing in meme coins can be risky. As mentioned in the opinion, many meme coins are prone to "rug pulls." This refers to the creators or early investors selling off their holdings, causing the price to fall and leaving late investors with significant losses.
Therefore, it's crucial to conduct thorough research and exercise caution when investing in meme coins or any other speculative assets.