$100 Million Avalanche Fund Now Buying Select Meme Coins, But There’s a Catch

The Avalanche Foundation just recently revealed a $100 million “Culture Catalyst” fund focused in part on buying meme coins belonging to the Avalanche blockchain. Meme coins, focused around styles like canines or jokes, are questionable due to high volatility and regularly being channels for pump and discard plans or other scams.

TLDR

• The Avalanche Foundation developed a $100 million “Culture Catalyst” fund to purchase meme coins and other “neighborhood coins” on the Avalanche blockchain
• They have actually launched eligibility requirements for the meme coins they will think about purchasing, consisting of requirements around reasonable launch, neighborhood ownership, liquidity, market cap, trading volume, and so on.
• Meme coins should be at least 1 month old and belonging to the Avalanche blockchain in order to certify
• The Foundation thinks meme coins have worth associated to culture, neighborhood, and engagement, though numerous have actually slammed this perspective
• Particular meme coins purchased up until now have actually not been divulged, however the Foundation states they have actually currently begun releasing capital into some coins

The Foundation thinks such coins supply worth by enhancing culture, neighborhood engagement, and enjoyable on Avalanche.

They have actually developed eligibility requirements that meme coins should please before the Foundation will invest, consisting of guidelines planned to validate genuine jobs and neighborhood ownership. Particular requirements cover locations like reasonable launch, focused ownership, liquidity, market existence, and durability on the blockchain.

In 2015, the Avalanche Foundation introduced Culture Catalyst, a program focused on empowering developers, stimulating development, and moving the adoption of blockchains. This effort looks for to much better position Avalanche to cultivate and support the numerous brand-new kinds of imagination, …

— Avalanche???? (@avax) December 29, 2023

Qualified meme coins:

• Should be at least 1 month old,
• Have more than 2,000 holders with the leading 100 owning less than 60% of supply,
• 50+ liquidity suppliers contributing over $200k,
• Minimum $1 million totally watered down market cap
• 2 week typical everyday trading volume above $100k on Avalanche DEXs.

The Foundation likewise highlights versatility, keeping in mind conference all requirements does not ensure financial investment.

While they have actually not revealed particular properties acquired up until now, the Foundation shared they currently began releasing capital into choose neighborhood coins from the mega fund. One popular example is Coq Inu, a meme coin themed around a rooster that commands a $75 million market cap.

Responses to the Avalanche Foundation’s meme coin strategies run the range from interest to derision. Advocates think it will drive additional culture, users, and buzz to the community.

Critics see it as “unbecoming” for the stewards of a leading 10 blockchain to purchase into such speculative properties of doubtful intrinsic worth. The Foundation appears devoted to welcoming meme coins as part of a “complete spectrum” vision for Avalanche individuals.