Hype Around Memecoins has led many influencers on social network X (formerly Twitter) to promote these tokens among their followers as a quick way to earn money. However, how truly profitable is this for investors? The truth will be quite unpleasant. A new study analyzed over 1,500 tokens promoted by 377 bloggers on social network X with over 10,000 followers.
It turns out, most influencer campaigns promoting memecoins result in losses for investors. Thus, it is profitable mostly for influencers, not their followers. The average income of a blogger for a single promotional tweet is $399, so they actively promote even dubious projects. Since many influencers delete tweets, the real situation may be even worse than the data below shows.
The Memecoin Study Revealed:
- 76% of influencers promote “dead” memecoins.
- 2 out of 3 memecoins they advertise depreciate completely.
- 86% of memecoins lose 90% of their value within three months.
- Only 1% of influencers promoted memecoins that yielded a 10x profit.
A “dead” memecoin was considered a token whose value decreased by 90% or more from the start of promotion.
Real Profitability of Memecoins
- Within a week, 80% of tokens lost 70% of their value.
- Within a month, 90% of memecoins depreciated by 80%.
- Within three months, 86% lost over 90% of their value.
- Only 1% of bloggers promoted memecoins that grew tenfold.
- Only 3% of tokens achieved a tenfold increase after advertising.
Not All Influencers Performed Equally
- Influencers with over 200,000 followers show the worst results: the average loss is 39% in a week and 89% in three months.
- Smaller bloggers (up to 50,000 followers) showed better results: 25% positive growth in a week, 141% — in three months.
Source: CoinWire
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