Avalanche Makes Feasibility Guide To Purchase Meme Coins

Avalanche, the leading blockchain platform in the crypto space. (Photo; Doc. Coinrivert)

JAKARTA The Avalanche blockchain platform, through the Avalanche Foundation, provides guidance on the criteria for the feasibility of buying meme coins. Because meme coins have attracted public attention since the entry of the first meme coin, Dogecoin, in the crypto space.

After Dogecoin, other meme coins began to appear on various blockchain networks offering fairly high returns. Even so, meme coins are also inseparable from the price volatility that overshadows them. Therefore, the Avalanche Foundation as the manager of Avalanche blockchain provides some guidance that can be a foothold for investors interested in meme coins.

The Avalanche Foundation outlines that there are three criteria to be charged before buying meme coins. One of them is that the coin meme must be independent, aka stand alone outside of its creators and is a token developed on Avalanche's network.

Furthermore, the Avalanche Foundation prohibits investors from buying meme coins if the coins or meme tokens are allocated to the development team, mock meme coins from other blockchains, or the development team has not left the project. Then, the Avalanche Foundation prevents the purchase of meme coins stockpiled by whales or crypto whales. In addition, meme coins that are under surveillance from cybersecurity companies or securities bodies.

Meme coins must meet certain criteria, including having a minimum of 20,000 holders with the top 100 having less than 60 percent of the total supply. Other requirements include more than 200,000 US dollars in liquidity provided by 50 providers, a minimum market capitalization of 1 million US dollars, the average daily trading volume over two weeks reached 100,000 US dollars, as reported by Coinspeaker.

The Avalanche Foundation considers that this guide is aimed at supporting existing meme coins. That way the crypto community can research, consider and understand the project of the meme coin. Even so, Avalanche does not promise to buy meme coins if it meets these criteria.

On the other hand, the Avalanche Foundation often purchases meme coins using Culture Catalyst funds of 100 million US dollars. By allocating some of these funds, Avalanche has not only strengthened its involvement in a number of projects. This effort is also part of the diversification of corporate funds to support cryptocurrency development.