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A number of memcoins, created along the lines of the US Securities and Exchange Commission (SEC) and its chairman Gary Gensler, have seen a sharp increase in price after the regulator’s lawsuits against cryptocurrency exchanges Coinbase and Binance.
One such token is Good Gensler (GENSLR), which surged over 260% within hours of a regulator complaint against Coinbase for offering unregistered securities on June 6th.
Good Gensler currently has a total market capitalization of around $3.2 million. Over the past 24 hours, the token has traded just over $1.25 million in volume. According to Etherscan data, Good Gensler was launched on April 19, about five days after the launch of the Pepe memcoin (PEPE).
Similarly, another Gensler-derived profanity memcoin Fuck Gary Gensler (FKGARY) has also shown some upward momentum, consolidating over 530% in the last 48 hours, according to decentralized exchange (DEX) screening data DEXTools.
Gensler was not the only target for memcoin enthusiasts. Another token with the ticker “SEC” – which stands for “Stupid Selfish Cocksuckers” – has experienced significant volatility following recent regulatory action. The SEC token was launched on June 5 and gained a staggering 15,530% over the next 24 hours.
However, the rise in value was short-lived. At the time of writing, the SEC-dedicated memcoin is down over 61% from its all-time high.
Related: SEC crackdown on Binance and Coinbase spiked DeFi trading volumes by 444%
In May, memcoins garnered everyone’s attention as risk-hungry traders frenziedly speculated in the tokens, desperately hunting for quick, huge profits. Unfortunately for most memcoin investors, the vast majority of the tokens that were popular during the craze have now plummeted in value.
At press time, the frog-themed Pepe memcoin and AI-generated Turbo (TURBO) token were down 73% and 95% respectively from their all-time highs, according to data from CoinGecko.
Due to the fact that most of them lack fundamental principles, investments in memcoins are viewed as a high-risk venture, as many of them have experienced extreme volatility and significant price fluctuations.
Many of the tokens mentioned in this article have small market caps and low levels of liquidity in their respective liquidity pools, making them highly susceptible to price fluctuations.
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