What Is Pepe Cryptocurrency? (2024)

Pepe Coin is a memecoin launched on the Ethereum blockchain. Pepe coin was inspired by the popular internet meme ‘Pepe’, a green frog cartoon character created by Matt Furie that has been adopted across the internet over time.

Pepe Coin was launched in April 2023 and has since become one of the fastest-growing meme coins, reaching a market capitalisation of over $4.7 billion.

Like other meme coins, Pepe Coin has no intrinsic value or utility. While, to many investors, this may sound like a huge red flag, this is how many memecoins operate. Unlike stocks and other cryptocurrencies like Bitcoin and Ethereum, most memecoins do not have fundamental value, meaning their valuation is almost purely derived from speculation and attention.

This creates an interesting situation for those looking to invest in memecoins. On the one hand, they have no fundamental value from which a fair value can be determined, which makes them seem overpriced. However, this also means that the fair value is entirely unknown and, therefore, no longer a factor for valuing these coins.

This means that memecoins are particularly volatile, often posting double or triple-digit percentage point moves day-to-day. The direction of these moves depends entirely on the speculative flows of capital from crypto investors, the ‘mindshare’ captured by the coin, and overall market sentiment.

While the coin has no fundamental value, its anonymous creators built some mechanics to incentivise investors to hold the token. This system redistributes rewards to long-term holders and creates deflationary pressure that burns tokens, creating scarcity that puts upward pressure on the token’s price.

Since its launch in 2023, Pepe Coin has seen multiple eye-watering runs, often followed by stomach-churning downturns. The coin launched in April 2023 at $US0.000000190122 and quickly gained traction in the crypto community, rocketing to $US0.00000372 in less than a month.

Over 18 months later, Pepe Coin now sits at around $US0.00001118, with a market cap of $US4.7B as of November 2024. This represents a return of more than 5700% since launch.

It’s worth noting that Pepe Coin’s price history is typical of many meme coins, which are known for their high volatility and unpredictability. Various factors, including market sentiment, social media trends, and the crypto market’s overall performance, can influence Pepe Coin’s price.

Despite the volatility, Pepe Coin has managed to maintain a strong community of supporters who are optimistic about the coin’s potential for long-term growth. However, it’s essential to approach investing in Pepe Coin cautiously and carry out research before making any investment decisions.

As Pepe Coin gained popularity, several other meme coins emerged, claiming to be related to the original Pepe Coin. However, it’s essential to note that not all Pepe-branded meme coins are the same. Some of these coins are copycats or even scams designed to deceive investors and capitalise on the popularity of the original Pepe Coin.

One notable example is Pepe 2.0, which is a separate meme coin that claims to have been created by individuals who were blacklisted by the official Pepe Coin team. Pepe 2.0 differs from the original Pepe Coin, as it includes a 1% transaction fee on buys and sells that is supposed to be used for liquidity, marketing, and community development. In contrast, the original Pepe Coin is fee-free.

Another example is PepeCoin (all one word), which is also a separate entity from the original Pepe Coin. It’s essential to be cautious when investing in any Pepe-branded meme coin, as some of these coins may be scams or copycats.

The official Pepe Coin team has warned investors about these copycat projects, stating that they are not affiliated with any other Pepe-branded meme coins. The team has also emphasised that all official communication will come from its official X account, and investors should be wary of any information or promotions coming from other sources.

To avoid confusion, verifying the authenticity of any Pepe-branded meme coin before investing is essential.

The past year has seen a significant trend in the crypto market, with meme coins emerging as a dominant force. Coins like Dogecoin and Shiba Inu have previously been the memecoin darlings of the crypto space, but with Pepe moving into the top 30 coins, it’s possible that it could soon earn a similar title.

Moreover, the crypto market as a whole is showing strong signs of life, not least because of the victory of Donald Trump – who is perceived to be a fan of crypto generally – in the US presidential election. Bitcoin recently hit an all-time high price, and other major cryptocurrencies have also experienced significant gains. This renewed momentum in the market could bode well for Pepe Coin as investors become more confident and look to diversify their portfolios.

With its strong community support, unique redistribution system, and deflationary mechanism, Pepe Coin has a solid foundation for growth. As the crypto market evolves and matures, Pepe Coin may become a major player in the memecoin space. While risks are always associated with investing in cryptocurrencies, the current trend and market conditions suggest that Pepe Coin could be an attractive opportunity for those looking to do well in this explosive investment scenario.

While Pepe Coin has experienced significant growth and popularity, there are reasons to be dubious about its investment potential. One of the primary concerns is the lack of intrinsic value and utility, which is a common criticism of meme coins. Unlike other cryptocurrencies with a clear use case or a tangible service, Pepe Coin’s value is driven by speculation and sentiment.

Another concern is the anonymity of the founders, which can make it difficult to assess the project’s legitimacy and long-term viability. While some investors may view this as a minor issue, others may see it as a major red flag, particularly in light of past instances of anonymous teams behind viral projects stealing funds or engaging in other malicious activities.

Furthermore, the meme coin space is highly competitive, with new coins always emerging. While Pepe has maintained mindshare and continued growing over an 18-month timeframe (a lifetime in crypto), there’s always the possibility that a new coin could come along and push it out of the limelight.

Additionally, the crypto market as a whole is known for its volatility, and Pepe Coin is not immune to this risk. A downturn in the broader market could lead to a significant decline in Pepe Coin’s value.

The project also maintains a multi-signature wallet that holds a significant amount of Pepe Coin, creating a systemic risk to the coin’s price if those tokens were to be released onto the open market. If this wallet were to be hacked or the founders decided to sell off these holdings, the massive increase in supply would likely flood the market and tank the price.

Whether or not to buy a meme coin is a personal decision that depends on your individual financial goals, risk tolerance, and investment strategy. Meme coins, including Pepe Coin, can be highly volatile and unpredictable, and their value can fluctuate rapidly.

On the one hand, meme coins can be a fun and exciting way to participate in the crypto market, and some investors have made significant profits by investing in these types of coins. Additionally, meme coins can provide a sense of community and belonging, as many investors join together to support and promote their favourite coins.

On the other hand, meme coins are often highly speculative and lack any real-world utility or value. They can be heavily influenced by social media trends and market sentiment, which can be fleeting and unpredictable. This means that the value of a meme coin can drop rapidly if interest in the coin wanes or if the market turns against it.

Before buying a meme coin, it’s essential to do your own research and understand the risks involved. You should also consider the following:

• Never invest more than you can afford to lose.
• Don’t invest in a meme coin based solely on hype or FOMO (fear of missing out).
• Make sure you understand the underlying technology and mechanics of the coin.
• Be cautious of scams and fake coins.
• Consider the long-term potential of the coin’s ability to maintain and grow a community rather than just focusing on short-term gains.

Ultimately, buying a meme coin should be done with caution and a clear understanding of the risks involved. If you decide to invest in a meme coin, set realistic expectations and never invest more than you can afford to lose.

Buying Pepe Coin is a relatively straightforward process that can be completed in a few steps.

Step 1: Create a Cryptocurrency Exchange Account

To buy Pepe Coin, you’ll need to create an account with a reputable crypto exchange that lists the coin. Some popular exchanges that list Pepe Coin include Kraken and Binance.

Step 2: Get Verified

Once you’ve decided on your preferred crypto exchange and created an account, you must follow a verification process to fulfil the exchange’s mandatory “Know Your Customer” requirements. This typically involves taking a selfie and providing some government-issued ID.

Step 3: Deposit Funds into Your Account

Once you’ve created your account, you’ll need to deposit funds into it. Most exchanges accept a variety of payment methods, including bank transfers, card payments and other cryptocurrencies. Choose the payment method that works best for you and follow the instructions to deposit funds into your account.

Step 4: Navigate to the Pepe Coin Trading Page

Once you’ve deposited funds into your account, navigate to the Pepe Coin trading page on the exchange. You can usually find this page by searching for ‘Pepe Coin’ or ‘PEPE’.

Step 5: Place an Order to Buy Pepe Coin

On the Pepe Coin trading page, you’ll see a chart showing the current price of the coin, as well as a form to place an order. Choose the amount of Pepe Coin you want to buy and the price you’re willing to pay, then click the “Buy” button to place your order.

Step 6: Store Your Pepe Coin in a Safe Wallet

Once you’ve bought Pepe Coin or any cryptocurrency, it’s essential to store it somewhere safe to keep your investment secure. While many people choose to store their crypto on the exchange, this requires trusting the exchange to keep your investments safe. As was seen with the collapse of FTX, this is not always a wise choice.

Instead, consider transferring your Pepe Coin to a hardware or software wallet you control. This will help keep your coins safe and secure.

By following these steps, you can buy Pepe Coin and cut your teeth on the volatile world of memecoins. Remember always to do your own research and never invest more than you can afford to lose.

This article is not an endorsement of any particular cryptocurrency, broker or exchange nor does it constitute a recommendation of cryptocurrency or CFDs as an investment class. Cryptocurrency is unregulated in Australia and your capital is at risk. Trading in contracts for difference (CFDs) is riskier than conventional share trading, not suitable for the majority of investors, and includes the potential for partial or total loss of capital. You should always consider whether you can afford to lose your money before deciding to trade in CFDs or cryptocurrency, and seek advice from an authorised financial advisor.