Crypto investors are still hanging into Memecoins despite the major risks associated with this type of digital asset, Kraken said in a report Wednesday after conducting a study of holders in the United States.
85% of respondents said they invested in Memecoins and 76% said they thought they “potential rewards justified the risks.”
Somewhat surprisingly, “44% of crypto holders believe Memecoins will improve the credibility of the crypto market,” and 42% said they expected them to surpass other cryptocurrencies this year, the report said.
Fear of missing out on (FOMO) was quoted as one of the biggest reasons for investing in these very fleeting cryptos. Recommendations from friends and family and token’s fun nature were also mentioned as reasons for investing.
Memecoins have recently taken the attention, but for all the wrong reasons. The apparent weight token rugpull has enveloped the Argentine government. The crypto rose to a market cap of about $ 4.5 billion before crashing 90%.
29% of Memecoin holders said short-term gain was the main reason they bought these cryptocurrencies, with 23% quoting diversification as another reason for investing.
Women were more likely to buy these cryptocurrencies than men. 86% of the female crypto owners said they invested in Memecoins against 84% of men, the study showed.
The Kraken investigated nearly 800 crypto owners in the United States on January 9, 2025.
Read more: The weight apparently carpet cover is the latest ‘Sordid episode’ that comes from Solana’s Memecoin complex: Galaxy
