Memcoin trading is useful for decentralized exchanges (DEX), as it attracts non-traditional DeFi traders to the platforms. This was stated by Synthetix founder Kane Warwick at the MemeGlobal Sydney conference, writes Cointelegraph.
"There is an opinion that meme tokens are pure speculation. In my opinion, speculation is a good thing. They are valuable," he added.
Warwick disagreed with some speakers who deny the usefulness of this class of cryptocurrencies.
According to him, large volumes are received from DEX meme tokens, thanks to which platforms create "more advanced solutions":
"Even if funds are invested in a purely speculative instrument that has no utility, the ecosystem around it begins to form, money flows, and investments go to infrastructure."
According to DeFi Llama, assets totaling $19.4 billion are blocked on decentralized exchanges. Over the past day, the trading volume on DEX exceeded $5.4 billion.
Warwick added that meme tokens, NFT and GameFi "involve more emotions and cultural ideas that are much more interesting, understandable and accessible to the average person than DeFi."
Although the economy "affects everyone," people don't think about it every day, the Synthetix founder added. However, games, movies and music are more fascinating, so memes are "the most simplified link between finance and culture."
He noted that memecoins are "very useful as a hook" to get people interested in the DeFi sector and cryptocurrencies.
"There is something elegant about this simplicity. There is no profitability, revenue, cash flow or anything else," Warwick concluded.
Earlier, Martier Bas, head of research at Messari, said that memecoins will remain a vital part of the crypto industry and potentially turn into a new asset class. She called them the "Trojan horse" of the next era of native consumer applications.
Recall that in March, the founder and CEO of CryptoQuant, Ki Yun Joo, expressed concern about the boom in the meme token segment. According to the expert, such projects simply harm the crypto industry.
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