- The Avalanche Foundation team presented updated rules for selecting memcoins for investment.
- According to the established criteria, the capitalization of the project must exceed $1 million, and liquidity – $200,000.
- Another selection criterion is the number of memcoin holders. There must be at least 2000 of them.
The non-profit organization Avalanche Foundation, which previously announced investments in memcoins as part of the Culture Drive program, introduced new criteria for selecting projects.
Representatives of the fund noted the high value of memcoins for society due to the involvement of users and the culture they create. The team has established criteria for selecting projects that may eventually receive support from the Avalanche Foundation.
According to the established rules, the liquidity of a memcoin must be at least $200,000, and the market capitalization must be at least $1 million. The recommended average daily trading volume for two weeks is at least $100,000. In addition, the coin must have at least 2,000 holders for the organization I could consider it for a possible purchase.
As representatives of the fund reported, another requirement for the project is the creation of a memcoin in the Avalanche network. They also emphasized the importance of complying with safety criteria. We are talking about checking smart contracts at every stage of development, conducting regular audits and using various automated analysis tools.
Finally, a promising project must exist for at least one month so that the community can study the token and make a decision, the foundation said in a statement.
“The Foundation’s efforts to support such coins will be carried out on an ongoing basis. This will allow new projects to participate in the program as soon as they meet the minimum selection criteria,” the Avalanche team noted.
The Avalanche Foundation made the announcement amid the recent rise of memcoins across many networks. We covered the story of a trader who earned $1.15 million on memcoin on the Ethereum network. Another investor bought the COQ token for $454 and received $2.19 million.