Avalanche Foundation to Pump Part of $100M Fund Into Memecoins

Avalanche Foundation, the non-profit organization building the Avalanche blockchain ecosystem, has announced that it will buy Avalanche-based memecoins to bolster “the collective spirit and shared interests of diverse crypto communities.”

Avalanche Shifts Toward Memecoins

In March 2022, Avalanche Foundation launched the Culture Catalyst program, a $100 million initiative to support creators, boost innovation, and onboard non-crypto natives into blockchain adoption.

Recognizing the increasing interest in memecoins across the crypto industry, the Foundation seeks to tap into the growing trend. Through the Culture Catalyst initiative, the foundation noted that it would commence memecoin purchases to establish a collection based on certain factors.

“The selection process for this collection is based on several key criteria, including the number of holders, liquidity thresholds, project maturity, principles of a fair launch, and overall social sentiment, among other factors,” the organization explained.

The Avalanche Foundation will now add memecoins to its cohort of digital assets, such as DeFi tokens,  stablecoins, governance tokens, gas tokens, Real World Assets (RWAs), and non-fungible tokens (NFTs).

Memecoin Market Keeps Growing

In recent times, several memecoins have risen in user engagement and trading volume. Although created for humor and known to be highly speculative, memecoins have gone beyond being “mere utility assets.” According to the Avalanche Foundation, they now “represent the collective spirit and shared interests of diverse crypto communities.”

Among the prominent memecoins leading in the market are DOGE and SHIB. Other projects include the Solana-based BONK, OPOS, ANALOS, and the BRC-20 token SATS, among others.

Earlier this month, an investor raked in over $240,000 within six days by investing only $150 in an Avalanche-based memecoin called Coq Inu (COQ). The meteoric performance recorded by COQ positions it as the top performer among Avalanche-based memecoins.

Another memecoin project built on the AVAX blockchain is Landwolf (WOLF). A crypto trader earned $193,000 by investing only $5,000 in the WOLF token. With Avalanche Foundation delving into Avalanche-based memecoins, more projects may see a rise in value.