A new memecoin called PEPE has made headlines after five crypto addresses made a significant profit of over a million dollars trading it. According to blockchain tracker Lookonchain, the five addresses were related to the same wallet and bought 8.87 trillion PEPE for approximately $385 worth of Ethereum (ETH) earlier in the month. Later in April, they sold 7.76 trillion PEPE for $1.23 million. Lookonchain suggests that these addresses are probably some of the Pepe project’s internal addresses.
PEPE is a new token inspired by the controversial “Pepe the Frog” memes, and like many new crypto memecoins, it has been volatile. Historically, new crypto memecoins tend to display extreme volatility and can suffer from high concentrations of wealth and elevated risks of pump-and-dump price crashes.
The PEPE trading platform has some honeypot risks, according to security detection platform GoPlus Labs. These risks include, an anti-whale measure intended to limit the number of tokens that can be purchased at the same time, the ability of the said measure to be modified, and a blacklist that can ban certain users from being able to buy the token.
As of writing, PEPE is trading at $0.000000264. The 272nd-ranked crypto asset by market cap has lost over 7.5% in the past 24 hours, but since its launch on April 17th, it has gained over 300%.
PEPE’s success shows the impact of memes in the cryptocurrency world. Memes, although often considered trivial, have the power to transform the digital assets market. Just recently, Dogecoin, another meme-inspired cryptocurrency, experienced a surge in price, thanks to social media engagements from Elon Musk and Mark Cuban. The current market cap of Dogecoin is over $65 billion, making it among the top ten cryptocurrencies in the world.
However, investing in crypto memecoins comes with risks. Most meme-inspired cryptocurrencies lack any solid backing, and their value depends mostly on popularity and media attention. The cryptocurrency industry is already volatile, and the cryptocurrency meme market takes it to another level.
Investors should be cautious about investing in meme-inspired cryptocurrencies as the market is currently unstable. It is important to do thorough research before investing in any crypto asset, meme or otherwise.
In summary, PEPE has made headlines due to five crypto addresses making a profit of over a million dollars trading it. Like many new crypto memecoins, PEPE has been volatile and has some risks associated with its trading platform. Its success highlights the impact of memes in the cryptocurrency world. However, investors should be cautious about investing in meme-inspired cryptocurrencies due to their volatile nature and lack of solid backing.
