The Avalanche Foundation, an institution that funds avalanche initiatives, has recently announced that it will start investing in meme coins. These purchases will be made using funds from the $100 million Culture Catalyst fund launched in 2022, and the tokens will be selected based on their number of holders, liquidity thresholds, and project maturity, among other elements.
Avalanche to Invest in Meme Coins Using $100 Million Culture Catalyst Fund
The Avalanche Foundation has announced that it is taking a position in meme coins. In a recent X post, the foundation revealed that it will invest in selected meme coins, broadening its portfolio as part of a comprehensive move to embrace “a more complete spectrum of possibilities.”
This investment will be made using Culture Catalyst, a fund launched in 2022 during the Avalanche Summit in Barcelona. The institution will use part of the $100 million fund, initially focused on “helping to cultivate and support the many new forms of creativity, culture, and lifestyle that blockchain enables,” to purchase these tokens.
The foundation remarked on the relevance of this kind of token in today’s crypto market, stating that they “go beyond mere utility assets; they represent the collective spirit and shared interests of diverse crypto communities.” The meme tokens to be part of Avalanche’s investments will be selected based on their number of holders, liquidity thresholds, project maturity, principles of a fair launch, and overall social sentiment, among other aspects.
Emin Gün Sirer, founder and CEO of Ava Labs, recognized that, at first, he could not understand the appeal of meme coins. Nonetheless, this has changed, and he now recognizes the value of these tokens as part of the crypto ecosystem. He stated:
It took me a while to see the value of memecoins myself. I wasn’t happy when Elon was pumping Doge. It also took a while for me to see the value of high-end NFTs. But I now understand the cultural importance of coins that are just social signaling mechanisms.
The meme coin economy experienced significant growth this month, reaching a market cap of almost $24 billion on December 9.
What do you think about Avalanche’s move into meme coins? Tell us in the comments section below.
from Bitcoin News https://ift.tt/XhA5qk8
