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Don’t Buy Meme Coins, Says Adam Back
Alex Dobnya
You Should Stay Away From Meme Cryptocurrencies, According to Crypto OG Quoted in Bitcoin Whitepaper
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Bitcoin evangelist Adam Back has warned cryptocurrency investors not to bet on meme coins, which have emerged as a hot market sector.
Back also argues that market participants should stay away from other alternative cryptocurrencies. The co-founder of blockchain technology company Blockstream believes that Bitcoin is the only “investment grade” cryptocurrency.
The meme coin space has recently experienced a resurgence thanks to success stories like Pepe (PEPE) and dogwifhat (WIF). Various celebrity meme coins from influencers like Iggy Azalea have further fueled the speculative fervor.
AS reported by U.TodayFormer Goldman Sachs analyst Murad Mahmudov recently said that market participants should focus exclusively on meme coins, but recommended avoiding microcaps.
In March, Joe Weisenthal, co-host of Bloomberg’s “Odd Lots” podcast, attempted to explain the success of meme cryptocurrencies by arguing that they satisfy the demand for “extremely asymmetric bets.”
However, there are some prominent names in the industry who are opposing the speculative frenzy of meme coins. For example, Back’s nemesis Vitalik Buterin has also criticized celebrity meme coins due to their poor utility and interesting mechanics.
There is no need to panic
Back, who was quoted by Satoshi Nakamoto in the Bitcoin whitepaper, recently weighed in on the Bitcoin market crash, urging holders not to panic and buy on the dip. He also noted that Bitcoin’s recent drawdowns have actually been shallower than previous bull cycles.
The largest cryptocurrency by market cap is currently trading at $55,536, after plunging to a five-month low of $53,898 earlier today.
About the author
Alex Dobnya
Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader, and journalist with extensive experience covering everything from price analysis to Blockchain disruption. Alex has written over 1,000 stories for U.Today, CryptoComes, and other fintech media. He is particularly interested in regulatory trends around the world that are shaping the future of digital assets, and can be reached at alex.dovbnya@u.today.