Memecoins
VanEck’s MarketVector Launches Meme Coin Index to Track DOGE, WIF, SHIB and Others
MarketVector, a subsidiary of the famous American asset management giant VanEck, launched the MEMECOIN index. It has performed impressively, rising 195% over the past year and 137% since the start of 2024.
This index aims to track the performance of six popular meme coins, such as DOGE, SHIB and others.
VanEck’s MEMECOIN Index
Acceptance of meme coins within the cryptocurrency community is gaining ground, particularly with the introduction of the “meme coin asset class” by traditional finance (TradFi).
These assets are Shiba Inu (SHIB), Dogecoin (DOGE), Dogwifhat (WIF), Bonk (BONK), Pepe (PEPE) and Floki (FLOKI).
DOGE leads the way, contributing 30.64% to the index weight, followed closely by SHIB at 28.01%. Pepe (PEPE) is at 14.51%, Dogwifhat (WIF) at 12.54%, Floki Inu (FLOKI) at 7.14%, and finally BONK at 6.7%.
A tool for institutional and retail investors, the index uses a 30% cap on individual coin weightings to ensure diversification and protect against the influence of a single asset. Monthly reviews of the index ensure its relevance and adaptability to the evolving meme coin market.
For institutional investors, the index offers a structured entry point into a market characterized by volatility and speculation. By providing a consolidated view of even the most influential coins, the index alleviates the need for direct exposure to individual assets, providing a sense of security amid uncertainty.
Retail investors can use the index to assess the relative performance and market share of their favorite meme coins, allowing them to make informed investment decisions.
Acceptance of mainstream Meme coins
The launch of VanEck’s MEMECOIN Index marks a significant milestone in the widespread acceptance of meme coins in the cryptocurrency landscape. Some members of the crypto community have turned to speculate that cat-themed tokens could soon make their way into the index.
At the same time, recognizing that meme coins are a focal point for speculative liquidity around the world, the asset manager issued a disclaimer stating: “The coins are intended for entertainment purposes.”
The MEMECOIN index has already attracted attention with its performance. Despite a slight decline, it has surged 195% over the past year, demonstrating explosive growth and speculative interest in this unique segment of the crypto market.
At the Token 2049 event, Justin Sun, founder of Tron and advisor to Huobi Global, spoke about the meme coin phenomenon. In a post-event reflection, Sun remarked: “Meme Coins may seem unconventional, but they highlight the power of community in crypto. »