With the rise of meme coins as a hot topic in the cryptocurrency market, the regulatory attitude of the SEC may also be about to change. Andrew Kang, co-founder of cryptocurrency venture firm Mechanism Capital, stated that the rapid development of meme coins will force the SEC to change its relatively laissez-faire regulatory attitude, and as meme coins gradually become an important topic on the US political stage, it is expected to further drive up their prices.
Meme coins are undoubtedly one of the hottest tracks in the cryptocurrency market this year. $PEPE, which has reached new highs multiple times in the past month, has seen a monthly increase of up to 133%, making it the best-performing project among the top 100 cryptocurrencies. PAJAMAS, a cat-themed meme coin launched by YouTube co-founder Chad Hurley, has also seen a 42% increase in the past 14 days. DWF Labs, a market maker, recently announced its purchase of $LADYS coins worth $5 million from the official $LADYS team, causing $LADYS to surge by 31% in the past 24 hours, with the current price at 0.000000284 USD.
Andrew Kang: SEC will find it difficult to ignore the growth of meme coins. Against this backdrop, Andrew Kang, co-founder of Mechanism Capital, stated in a post that the US Securities and Exchange Commission (SEC) has taken a very lenient attitude towards meme coins so far, believing that $DOGE is not worth further investigation. As the founding meme coin, $DOGE currently has a market value of up to 24.3 billion USD, ranking ninth in global cryptocurrency market value. Recently, due to the passing of the meme’s prototype Kabosu, $DOGE has become a hot topic of discussion in the community, and with Elon Musk’s mourning tweet, its price has temporarily risen by 5%. Kang further predicts that the SEC’s dismissive attitude may soon change. He stated:
“The meme coin is likely to become an important topic on the national political stage, which will pave the way for a sharp rise in its price. This means that once meme coins become the focus of politics and regulation, it may ignite a great interest and speculation in the market, thereby driving up their prices.”
Although Kang believes this is a positive factor for meme coins, based on past experience, it cannot be ruled out that it may lead to high litigation costs or fines for meme coin development teams, or even delisting, all of which may cause significant damage to the coin price. Investors should beware of risks.
Andrew Kang: Altcoins will have significant returns, especially meme coins. In fact, Kang’s positive views on meme coins are not new. At the beginning of last month, while mainstream coins were still fluctuating, he emphasized the potential of meme coins:
“There is nothing like obvious liquidity drought to prompt people to embrace new trends.”
In addition, when the Solana meme coin BOME broke out in March, sparking a frenzy of meme projects for fundraising, Kang commented that compared to gambling, people view meme coins more as an investment. He pointed out:
“In the next ten years, the overall market value of meme coins will experience growth.”
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