Crypto Basics

What are Meme Coins and are they Safe to Invest in?

Learn about meme coins and evaluate their investment potential. Uncover the safety considerations linked to meme coin investments before making your move.
Marcus K
8 Minutes
MIN

In the cryptocurrency world, the rise of meme coins has been nothing short of extraordinary. These unique digital assets take inspiration from popular memes and often possess a comedic or entertaining trait. 

Meme coins have gained significant attention and popularity thanks to their enthusiastic online communities and viral nature. 

In this comprehensive guide, we will explore the world of meme coins, their characteristics, top examples, and the potential risks and benefits of investing in them.

What are Meme Coins?

Meme coins are a unique category of cryptocurrencies that draw inspiration from popular memes or possess a comedic trait. These digital assets are designed to capture the online community's attention and go viral. 

Meme coins originated with Dogecoin, created in 2013 as a satirical take on the hype surrounding Bitcoin and other mainstream cryptocurrencies. 

Dogecoin's creators, Billy Markus and Jackson Palmer, intended it to be a fun and accessible alternative to traditional cryptocurrencies.

Like their meme counterparts, Meme coins aim to create a sense of community and engage with their followers through humor and entertainment. They often have an ample or uncapped supply, making them inflationary. 

While some meme coins serve purely as trading instruments, others have started to offer utility within decentralized finance (DeFi) ecosystems or as part of wider crypto projects.

Understanding the Volatility and Value of Meme Coins

One of the defining characteristics of meme coins is their high volatility. These coins are subject to extreme changes in value over short periods, driven by the current buzz and popularity surrounding the token.

Factors such as celebrity endorsements, social media trends, and online communities can significantly impact the value of meme coins. 

For example, when Elon Musk or Mark Cuban promotes a meme coin like Dogecoin, its value often experiences a surge. However, once the hype dies down, the price can plummet just as quickly.

It's important to note that meme coins generally have a higher risk level than traditional cryptocurrencies. Their values are mainly speculative and may not have a clear use case or intrinsic value. 

Additionally, meme coins often have a massive or uncapped supply, which can contribute to their fluctuating value. However, despite the risks, meme coins have gained significant market capitalization and continue to attract a passionate community of traders and investors.

How do Meme Coins Work?

Meme coins operate on blockchain technology, similar to other cryptocurrencies. They use smart contracts and are often built on blockchains like Ethereum or Solana. These smart contracts enable creation, distribution, and trading of meme coins on decentralized exchanges (DEX) and other platforms.

The process of buying and selling meme coins is similar to that of other cryptocurrencies. Users can access centralized cryptocurrency exchanges such as Coinbase, Binance, or Kraken to purchase meme coins directly with fiat currencies or other cryptocurrencies. 

Alternatively, decentralized exchanges like PancakeSwap allow users to trade meme coins directly from their wallets. It's important to note that conducting thorough research and due diligence before investing in any meme coin is crucial to minimize risks.

List of Top Meme Coins

In the ever-evolving landscape of meme coins, several tokens have emerged as market capitalization and popularity leaders. 

While Dogecoin and Shiba Inu are widely recognized as the pioneers of meme coins, the market now boasts various options. Let's take a closer look at some of the top meme coins:

Dogecoin

Dogecoin (DOGE) holds a special place in the history of meme coins. Created in 2013, Dogecoin quickly gained popularity thanks to its iconic Shiba Inu dog logo and its association with the "Doge" meme. 

Initially intended as a joke, Dogecoin's lighthearted nature attracted a passionate online community, leading to widespread adoption.

Dogecoin has experienced significant price volatility throughout its existence, often driven by influential figures like Elon Musk. 

Despite its meme origins, Dogecoin has managed to maintain a strong following and has even surpassed Bitcoin in terms of daily transaction volume at certain times.

Also Read - Is Dogecoin Dead?

Shiba Inu

Shiba Inu (SHIB) is another prominent meme coin that has gained traction in recent years. The project takes inspiration from the Dogecoin community and aims to create a decentralized ecosystem with its decentralized exchange called ShibaSwap. Shiba Inu gained popularity after being listed on major cryptocurrency exchanges, attracting many traders and investors.

Shiba Inu's developers introduced innovative features such as the "ShibaSwap Bone" (BONE) governance token, allowing community members to participate in decision-making. The project has also implemented burn mechanisms to reduce the supply of SHIB tokens over time.

Also Read - Is Shiba Inu Dead?

Pepe

Pepe, a meme coin that has gained significant popularity in the cryptocurrency market, has captured the attention of many due to its association with the iconic Pepe the Frog meme. 

This digital currency has created a dedicated online community that is passionate about its success. With its high volatility and speculative nature, Pepe offers investors the opportunity to engage in market or limit orders on various cryptocurrency exchanges. 

However, it is crucial to prioritize the security of Pepe coins by storing them in a secure wallet, whether a software or hardware wallet, to safeguard against potential security threats.

Floki Inu

Floki Inu (FLOKI) is a meme coin recently gaining significant attention. Named after Elon Musk's pet dog, Floki Inu aims to dethrone Dogecoin as the leading meme coin. The project boasts an ambitious roadmap, including developing a 3D NFT metaverse, DeFi utilities, a crypto education platform, and a merchandise store.

Floki Inu's community actively engages in charitable initiatives, pledging to build schools as part of their social impact efforts. With its unique features and dedicated community, Floki Inu has the potential to become a significant player in the meme coin space.

Evaluating the Safety of Meme Coins

When considering investing in meme coins, conducting thorough research and evaluating the project's safety is essential. 

While meme coins can offer exciting opportunities for potential gains, they also come with inherent risks. Here are some factors to consider when assessing the safety of meme coins:

  1. Liquidity Pools and Burn Addresses: Verify that the meme coin project's liquidity pools are tied to burn addresses. This ensures that the project is not susceptible to malicious activities such as rug pulls, where liquidity is drained from the project.
  2. Third-Party Audits: Look for meme coins that have undergone third-party audits from reputable firms. These audits provide an additional layer of assurance regarding the project's security and legitimacy.
  3. Token Distribution: Investigate the token distribution of the meme coin. Ideally, no single entity should own a significant portion of the total token supply. This helps ensure a more decentralized and fair distribution of the tokens.

By performing due diligence and considering these factors, investors can make more informed decisions when investing in meme coins.

The Future Trends for Meme Coins

Meme coins have come a long way since their inception, and their future looks promising. While meme coins initially faced skepticism for their lack of clear use cases or benefits beyond entertainment, the landscape is evolving. 

New projects that aim to offer utility and create decentralized ecosystems around their meme coins are emerging.

For example, Shiba Inu has developed ShibaSwap, a decentralized exchange where users can swap tokens and participate in governance through the BONE token. 

Floki Inu is exploring the potential of NFT gaming and crypto education platforms. These utility-focused meme coins aim to expand meme coin possibilities and value propositions beyond mere speculation.

Additionally, the growing acceptance and integration into mainstream businesses could further contribute to the adoption and value of meme coins.

How to Buy Meme Coins?

Buying meme coins is relatively straightforward, but selecting reputable platforms and exercising caution is essential. Here are the general steps to follow when purchasing meme coins:

  1. Select a Cryptocurrency Exchange: Choose a reliable cryptocurrency exchange that supports the meme coin you wish to purchase. Popular exchanges like Coinbase, Binance, and Kraken often list meme coins with significant market capitalization.
  2. Create an Account: Sign up for an account on the chosen cryptocurrency exchange. This typically involves providing personal information and completing any necessary verification processes.
  3. Deposit Funds: Deposit funds into your exchange account. Depending on the exchange's supported options, You can deposit fiat currency or other cryptocurrencies into your account.
  4. Place an Order: Navigate to the trading section of the exchange, search for the meme coin you want to buy, and place an order. You can choose between market orders (buying at the current market price) or limit orders (setting a specific price at which you want to buy).
  5. Securely Store Your Meme Coins: Transferring your meme coins to a secure wallet is important once your purchase is complete. Hardware wallets like Ledger or software wallets like MetaMask provide enhanced security for your digital assets.

Remember to conduct thorough research and only invest what you can afford to lose when buying meme coins. The volatile nature of these assets means that prices can fluctuate dramatically, and cryptocurrency investments have inherent risks.

Conclusion

Meme coins have undoubtedly made a significant impact on the cryptocurrency market. These unique digital assets, inspired by memes and driven by passionate online communities, have attracted the attention of traders and investors alike. 

While meme coins have risks, including high volatility and uncertain value propositions, they offer significant gains and community engagement opportunities.

Remember, the cryptocurrency market is highly volatile, and investing in meme coins or other digital assets carries inherent risks. 

It's essential to stay updated on market trends, perform due diligence, and only invest what you can afford to lose. With the right approach, meme coins can be an exciting addition to your investment portfolio, offering the potential for both entertainment and financial gains.

Disclaimer

The information provided on this website does not constitute investment advice, financial advice, trading advice, or any other advice, and you should not treat any of the website's content as such.

Token Metrics does not recommend buying, selling, or holding any cryptocurrency. Conduct your due diligence and consult your financial advisor before making investment decisions.

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Research

What’s the Best Time to Trade Cryptocurrency?

Token Metrics Team
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Cryptocurrency trading is a 24/7 market—unlike stocks, there’s no opening or closing bell. This leads many traders to wonder: “When is the best time to trade cryptocurrency?”

The truth is, timing your trades can make a huge difference in profitability. Trading during periods of high liquidity or increased volatility can provide better opportunities, while poorly timed trades can lead to slippage and losses.

In this guide, we’ll explore the best times to trade crypto, how different time zones affect price movements, and how Token Metrics can help you identify the right moments to enter or exit trades using AI-powered insights.

Why Timing Matters in Crypto Trading

Even though the crypto market never sleeps, trading activity is not equal throughout the day.

  • High liquidity: When more traders are active, spreads are tighter, making it easier to enter and exit trades at good prices.
  • Volatility opportunities: Price swings create profit potential—but also risk.
  • Market overlaps: When multiple regions are active, volume surges.

Knowing when the market is most active can help you reduce trading fees, minimize slippage, and maximize your gains.

The Best Times to Trade Cryptocurrency

1. Overlap Between U.S. and European Markets (1:00 PM – 5:00 PM UTC)

The busiest period for crypto trading is when U.S. and European sessions overlap.

  • Why?

    • The U.S. is home to major crypto exchanges and institutional traders.
    • Europe contributes significant trading volume and liquidity.

  • Benefits:

    • Higher volatility for short-term traders.
    • Tighter spreads for efficient execution.

This overlap often sees the biggest price movements of the day—perfect for day traders and scalpers.

2. Early U.S. Trading Hours (12:00 PM – 3:00 PM UTC)

The start of the U.S. session brings increased activity from institutional investors and retail traders waking up to market news.

  • Best for:

    • News-based trades (after U.S. economic announcements).
    • Entering/exiting positions with high liquidity.

3. Weekend Volatility (Saturday & Sunday)

Crypto is unique because weekend trading can be extremely volatile due to:

  • Lower liquidity (fewer institutional players).
  • Retail-driven price movements.

  • Who benefits:

    • Swing traders looking for sharp moves.
    • Those willing to tolerate higher risk for bigger gains.

4. After Major News & Events

The “best time” isn’t always about the clock—it’s about market catalysts.

  • Regulatory updates.
  • Exchange announcements.
  • Macro events (interest rate changes, economic data).

These events can cause instant surges or drops—great for traders who react quickly.

Does the Day of the Week Matter?

Yes. Research shows:

  • Mondays & Fridays: Often more volatile as traders adjust positions before/after the weekend.
  • Midweek (Tuesday–Thursday): Tends to have steady, higher trading volumes.

For swing traders, entering positions midweek may reduce erratic weekend exposure.

How Token Metrics Helps You Trade at the Right Time

Timing trades isn’t just about watching charts—it’s about analyzing multiple data points in real time. That’s where Token Metrics gives you a powerful edge.

1. AI-Powered Trading Signals

Get real-time bullish and bearish alerts based on 80+ data points, helping you know when to enter or exit trades confidently.

2. Narrative Tracking

Our AI monitors emerging crypto narratives (AI tokens, DeFi, RWA, etc.) so you can act before the crowd—crucial for timing market moves.

3. Trader & Investor Grades

Use Trader Grades for short-term opportunities and Investor Grades for long-term positions, aligning your trades with market momentum.

4. AI-Driven Indices

Don’t want to time trades manually? Token Metrics offers auto-managed crypto indices that rebalance based on AI-identified market conditions.

Tips for Timing Crypto Trades

  1. Trade During High Liquidity Windows: Overlaps between U.S. and European sessions are best.
  2. Watch for News: Major announcements can create rapid price moves—be ready.
  3. Avoid Low-Volume Hours: Late-night trading (UTC) often has higher slippage.
  4. Use AI for Precision: Let Token Metrics guide entry and exit points with data-backed insights.
  5. Set Alerts: Use Token Metrics’ customizable alerts for price, grades, and signals so you never miss an opportunity.

Example: Using Token Metrics for Timing

Imagine you’re planning to trade Ethereum. Instead of guessing when to enter:

  • You use Token Metrics Trader Grades to spot when ETH has strong short-term potential.
  • You set AI-powered alerts for price changes and bullish signals.
  • You execute your trade during the U.S.-EU overlap when liquidity is highest—reducing slippage and maximizing efficiency.

This data-driven approach takes the guesswork out of timing.

Final Thoughts

So, what’s the best time to trade cryptocurrency?

  • Weekdays during the U.S.-EU overlap (1:00–5:00 PM UTC) offer the best liquidity and volatility.
  • Early U.S. hours and weekends can also present opportunities—but with higher risks.
  • Major news events often create the best entry/exit windows.

But the truth is, there’s no universal “perfect time.” The real key is using data-driven insights to trade at your best time—when probabilities are in your favor.

That’s why Token Metrics is essential for traders. With AI-powered trading signals, narrative tracking, and portfolio management tools, Token Metrics helps you time the market intelligently, not emotionally.

Whether you’re a day trader chasing volatility or a long-term investor, Token Metrics puts the right data at your fingertips—so you can trade with confidence, anytime.

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How Do I Keep My Cryptocurrency Safe?

Token Metrics Team
8 min
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The cryptocurrency market has created life-changing wealth for millions, but it has also attracted hackers, scammers, and bad actors. From exchange hacks to phishing scams and rug pulls, billions of dollars in crypto have been lost due to poor security practices.

If you’re serious about trading or investing in crypto, one of your top priorities should be keeping your cryptocurrency safe. In this guide, we’ll walk through the biggest risks to your crypto security, best practices to protect your assets, and how Token Metrics can help you make informed, safe decisions when navigating the crypto market.

Why Is Cryptocurrency Security So Important?

Unlike a traditional bank account, cryptocurrency transactions are irreversible. If your funds are stolen, there’s usually no way to recover them.

  • No centralized authority: There’s no bank to call for refunds.
  • Pseudonymous transactions: It’s nearly impossible to trace funds once they’re moved.
  • High-value targets: Hackers actively target crypto investors due to the potential for large payoffs.

This means you are your own bank—and you’re responsible for protecting your funds.

Common Threats to Your Cryptocurrency

Before learning how to protect your crypto, you need to know what you’re up against:

1. Exchange Hacks

Crypto exchanges are frequent targets for hackers. Even top-tier exchanges like Mt. Gox and FTX have experienced devastating losses.

2. Phishing Attacks

Scammers use fake websites, emails, or social media accounts to trick you into revealing your private keys or login credentials.

3. Malware & Keyloggers

Cybercriminals install malicious software on your devices to steal passwords and seed phrases.

4. Rug Pulls & Scams

Fraudulent projects lure investors with promises of high returns, then disappear with the funds.

5. Human Error

Lost passwords, mishandled private keys, or accidental transfers can lead to permanent loss of funds.

How to Keep Your Cryptocurrency Safe

Here’s a step-by-step approach to safeguarding your crypto:

1. Use a Secure Wallet

Hardware Wallets:

  • The safest option for long-term storage.
  • Devices like Ledger or Trezor keep your private keys offline, out of reach of hackers.

Software Wallets:

  • Convenient for active trading but more vulnerable to attacks.
  • Use reputable wallets like MetaMask or Trust Wallet and enable strong security features.

Pro Tip: Use a hardware wallet for long-term holdings and a software wallet for small, active trading balances.

2. Enable Two-Factor Authentication (2FA)

Always enable 2FA on your exchange accounts, wallets, and email addresses.

  • Use Google Authenticator or Authy, not SMS-based 2FA, which is susceptible to SIM swaps.

3. Beware of Phishing & Fake Websites

  • Double-check URLs before logging into exchanges or wallets.
  • Never click links from suspicious emails or DMs.
  • Bookmark the official websites of your exchanges and platforms.

4. Keep Your Seed Phrase Offline

Your wallet’s seed phrase is the master key to your funds.

  • Write it down on paper and store it securely (safe, vault).
  • Avoid storing it in digital form (cloud storage, photos).
  • Consider splitting the phrase into parts and storing them in separate locations.

5. Research Projects Before Investing

Many scams and rug pulls target uninformed investors chasing hype.

How Token Metrics Helps:

  • Use AI-powered Investor Grades to assess projects for long-term viability.
  • Leverage Moonshot Finder to discover vetted early-stage tokens with real growth potential—not scams.

6. Diversify Your Storage

Don’t keep all your crypto in one place.

  • Use multiple wallets for different purposes (trading vs. holding).
  • Spread funds across hardware, software, and exchange wallets.

7. Stay Updated on Threats

The crypto landscape changes fast.

  • Follow credible crypto news platforms.
  • Monitor regulatory updates and security alerts.
  • Use Token Metrics to stay ahead of market narratives and avoid projects flagged as high-risk.

How Token Metrics Helps You Stay Secure

While Token Metrics isn’t a wallet or exchange, it’s a powerful AI-powered platform designed to help you make safer investment decisions.

1. AI-Powered Risk Analysis

Token Metrics uses AI-driven evaluations to score projects, helping you avoid high-risk tokens and scam projects.

2. Investor & Trader Grades

Our proprietary grading system helps you quickly identify safe, high-quality assets for both short-term trading and long-term holding.

3. Moonshot Finder

Interested in low-cap tokens? The Moonshot Finder helps you spot legitimate early-stage projects before they pump—without falling into scams.

4. Narrative & Market Tracking

Stay ahead of emerging narratives and security concerns with Token Metrics’ real-time AI-driven analysis, helping you dodge risky trends.

Practical Security Checklist for Every Crypto Holder

  1. Use a hardware wallet for long-term holdings.
  2. Enable 2FA on all accounts—never rely on SMS-based security.
  3. Store seed phrases offline and securely.
  4. Avoid suspicious links and verify all URLs.
  5. Research every project using platforms like Token Metrics.
  6. Diversify storage across multiple wallets.
  7. Stay informed about new threats and market risks.

Final Thoughts

So, how do you keep your cryptocurrency safe? It comes down to strong storage practices, personal vigilance, and making informed investment decisions.

While hardware wallets and 2FA secure your assets, knowing where to invest is just as important. That’s where Token Metrics comes in—using AI-powered analysis to help you avoid scams, choose safe projects, and trade with confidence.

In crypto, you are your own bank—so take your security seriously. And with Token Metrics guiding your decisions, you can navigate this high-risk market safely and profitably.

Research

What Are Trading Fees and How Do They Work?

Token Metrics Team
8 min
MIN

If you’ve ever bought or sold cryptocurrency, you’ve likely noticed that exchanges charge trading fees. While these fees may seem small at first glance, they can add up significantly over time, especially for frequent traders.

Understanding how trading fees work is essential for maximizing your profits and choosing the right platform and strategy. In this guide, we’ll explain what trading fees are, how they’re calculated, the different types of fees, and how Token Metrics can help you minimize costs while optimizing your trades.

What Are Trading Fees?

Trading fees are charges imposed by cryptocurrency exchanges whenever you execute a trade—whether you’re buying, selling, or swapping digital assets.

  • Purpose:

    • They compensate exchanges for providing liquidity, security, and order-matching services.
    • They discourage spam orders that could overload the exchange.

Example:
If you buy $1,000 worth of Bitcoin with a 0.1% trading fee, you’ll pay $1 in fees for that transaction.

How Are Trading Fees Calculated?

Most crypto exchanges calculate fees based on:

  1. Trade Value (Percentage):

    • The most common model.
    • Fees are a percentage of the total trade amount (e.g., 0.1% per trade).

  2. Flat Fees:

    • Some platforms charge a fixed fee per trade, regardless of trade size.

  3. Tiered Fee Structures:

    • Frequent traders often benefit from lower fees when they reach certain monthly trading volumes.

Maker vs. Taker Fees

Many exchanges use a maker-taker model to incentivize liquidity:

  • Maker Fees:

    • You pay a lower fee (or sometimes nothing) when you add liquidity by placing a limit order that isn’t immediately matched.

  • Taker Fees:

    • You pay a higher fee when you remove liquidity by placing a market order that is filled instantly.

Example:
On Binance, makers might pay 0.08%, while takers pay 0.1%.

Types of Crypto Trading Fees

When trading crypto, you’ll encounter more than just trading fees:

1. Trading (Transaction) Fees

  • Charged when buying or selling crypto.
  • Often range from 0.05%–0.5% depending on the exchange.

2. Deposit Fees

  • Some exchanges charge when funding accounts via credit card, PayPal, or bank transfers.
  • Crypto deposits are typically free.

3. Withdrawal Fees

  • Charged when moving funds off the exchange.
  • Often fixed per withdrawal (e.g., 0.0005 BTC).

4. Network (Gas) Fees

  • Separate from exchange fees, paid to blockchain validators.
  • Ethereum and other networks can have high gas fees during peak demand.

Why Do Trading Fees Matter?

Even small fees can significantly impact your profits, especially if you trade often.

Example:

  • A day trader making 50 trades/month with a 0.1% fee per trade on $1,000 positions will pay $50/month in fees.
  • Over a year, that’s $600 lost to fees—before considering withdrawal or gas costs.

This is why reducing fees is crucial for active traders.

How to Minimize Trading Fees

1. Use Low-Fee Exchanges

Compare platforms—Binance, Bybit, and Kraken often offer competitive rates for high-volume traders.

2. Increase Your Trading Volume

Many exchanges lower fees as your monthly trading volume increases.

3. Use Limit Orders

Save on fees by acting as a maker instead of a taker whenever possible.

4. Pay with Exchange Tokens

Some exchanges offer discounts when fees are paid with their native token (e.g., BNB on Binance).

5. Optimize Your Trading Strategy with AI

Instead of making dozens of small trades, use data-driven insights from Token Metrics to make high-probability trades—reducing overall fee impact.

How Token Metrics Helps You Save on Fees

Token Metrics isn’t an exchange—it’s an AI-powered crypto research and trading platform designed to maximize your profits.

Here’s how it helps with trading fees:

1. AI-Powered Trade Optimization

Token Metrics provides bullish/bearish trading signals based on 80+ technical indicators, helping you enter fewer but higher-quality trades—minimizing unnecessary fees.

2. Trader & Investor Grades

Our proprietary grading system helps you identify top-performing cryptos, reducing guesswork and avoiding costly trial-and-error trading.

3. AI-Managed Indices

Instead of manually rebalancing portfolios (and paying multiple trading fees), use Token Metrics AI-driven crypto indices, which rebalance intelligently while keeping transaction costs low.

4. Narrative Tracking

Our AI detects emerging crypto narratives early, helping you position yourself before the market gets crowded—reducing the need for excessive short-term trading.

Practical Example: Using Token Metrics to Reduce Fees

Imagine you’re trading altcoins manually and make 20 trades/month.

  • At 0.2% per trade on $1,000 positions, you pay $40/month in fees.
  • With Token Metrics AI signals, you cut this down to 8 high-probability trades per month—reducing your fees by 60% while increasing win rates.

This is how data-driven trading saves both money and stress.

Final Thoughts

So, what are trading fees and how do they work? They’re the charges exchanges take for facilitating trades, withdrawals, and transactions—and while they may seem small, they can eat into your profits quickly.

The good news? You can minimize trading fees with the right strategies—and Token Metrics can help.

By providing AI-powered trading signals, long-term Investor Grades, and automated crypto indices, Token Metrics helps you reduce unnecessary trades, make smarter decisions, and maximize your returns—all while minimizing the impact of trading fees.

Whether you’re a beginner or advanced trader, using Token Metrics means trading smarter, not harder.

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