Memecoins Through the Lens of Reddit

Abstract

With the advent of Web3, many online services have been revolutionised through decentralisation. With blockchain as the main decentralisation engine, online social media platforms have witnessed a new life. Recently, memes have come into play, providing new opportunities for community aggregation, giving birth to the so-called memecoin phenomenon. Memecoins are blockchain-backed cryptocurrencies that can be freely traded, and people can discuss them online. They represent a new scenario in which social and economic aspects are tightly intertwined, but external figures or events can also influence the activity of each token. In this paper, we provide an analysis of the relationship between the social and economic spheres of memecoins and how external factors influence their activity. We conducted our analyses on six case studies taken from different contexts and with unique histories, downloading data from various subreddits and blockchains. The findings show that each memecoin has unique distinctive features and that the activity around them is influenced by crypto-influencers, scams, or even external events.