🤡 Exposing The Memecoin Industry
👋 Hello, finance enthusiasts and fellow investors!
Today, I want to address the issue of memecoin gambling, as I see many new investors losing money in this arena.
Most of you by now already know: I'm against memecoin gambling. I've built my portfolio over the last 7 years, and luck was not part of my investment strategy.
Why I Recommend Staying Away from Memecoin Gambling
People often ask me why I don’t promote memecoins, why I don’t create a course on them.
You always hear only about the success stories; nobody is interested in the other side of the coin.
The fact is: Most people LOSE money "investing" in the hypes during each bull run, ending up with LESS than before.
There is a small group of people who play it safe and multiply their net worth from run to run. However, there's also a very select group that gets rich, often through luck or insider information, by effectively taking money from all the losers.
How the Memecoin Industry Works
I must say, the videos from these faceless influencers are quite amusing, and in most videos you see, people are actually winning. But the reality is often grim:
In the long run, these video series typically end similarly: with a rug pull or a hack.
Another good example is henokcrypto. He started investing in memecoins with 1 million USD in early 2022.
He was able to increase it from 1 million to 4 million, but now he is at 183k USD.
What is a Rug Pull
A rug pull is a malicious maneuver in the cryptocurrency industry where crypto developers abandon a project and run away with investors' funds.
Why It Works
We only see the videos that go viral and only hear the success stories. Nobody talks about the losers. But just because you don’t see or hear about them doesn’t mean they aren't there.
Now it's time to expose the memcoin industry a bit:
Many operations involve exit liquidity schemes, paid promotions, and fan-driven price pumps. These actions often set the stage for a pump and dump, exacerbated by the rise of copy trading bots that many unsuspecting investors use.
On the outside, everyone wins and everyone is supporting the project, but only with the aim of increasing the price and selling it to others later. But at the end of the day, people lose their hard-earned money trying to get rich. I've said it countless times, but I'll say it again: there is no get rich quick scheme, only get poor quick schemes.
Becoming a Successful Memecoin Gambler
If you want to be one of the very few successful memecoin gamblers, you must ask yourself:
What is your EDGE?
Are you part of the founding team?
Do you have insider information?
Or are you just one of thousands of gamblers testing your luck?
If you have an edge, then go for it and leverage it. But if you don’t, as is the case for 99.9% of people, then don’t bet on being the lucky one.
Become a Successful Investor
If you want to play it safe and multiply your portfolio from bull run to bull run, then you're in the right place. Follow the teachings of this newsletter and the courses & membership available at InvestmentExplorer.
You may not become a millionaire in a few months, but you will learn how to build wealth in the long term.
Enjoy your weekend and happy investing!
Cheers!
Stefan
Co-Founder of CryptoExplorer & InvestmentExplorer