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Solana Meme Token BONK Up 20% On News of Coinbase Listing
- Solana’s hottest meme coin, BONK, has experienced 20% gains over the past few days as news of its Coinbase listing spreads.
- This forms part of a broader trend for the token, with BONK sky-rocketing 663% in the past month alone.
- Proceed with caution though, as meme coins typically lack utility and are prone to wild swings.
Meme coins are always a hotly debated topic among the crypto community. For some, they are more of a hindrance than anything else, providing minimal utility and only serving to reinforce the negative perception of the industry. On the other hand, some will argue that meme coins are vital to the ecosystem’s culture and are a lasting legacy of where cryptocurrency has come from. Either way, one thing’s for sure – meme tokens are not for the faint of heart. These coins are renowned for their wild swings, and Solana’s newest entry, BONK, is no exception.
Coinbase Listing Drives 20% Gains
Coinbase is one of the crypto industry’s biggest trading platforms – typically in the top five in terms of volume. So, when an otherwise obscure altcoin gets listed on the exchange, it is a big deal. To date, most investors would’ve had to access BONK via a decentralised exchange (DEX). While this is no problem for experienced members of the crypto community, the complexity and potential risks of a DEX can be quite off-putting to a newcomer. Therefore, listing a relatively new asset on Coinbase unlocks an influx of potential new investors and liquidity.
In response, BONK’s proponents excitedly started buying up the Solana-hosted meme coin, with the cryptocurrency rocketing up nearly 20% in the past 24 hours. This caps off a terrific month for the token, which has experienced 660% gains since this time in November.
However, as with all meme coins, it is hazardous to look at past successes and attribute that to future price gains. Such tokens are built without a backbone of utility, meaning their price is entirely driven by speculation and hype. Therefore, the assets can plummet to basically worthlessness on a whim, especially if another trendy meme coin becomes the flavour of the month.
That said considering how cheap the token is – worth much less than a cent – those who want to participate in the wild ride can now easily buy a few hundred (err… hundred thousand) BONK via Coinbase without making much of a dent in their crypto portfolios, even if things go awry.
Author
Ben Knight
Ben Knight is a writer and editor from Melbourne with a passion for all things music and finance. He enjoys turning complex topics – especially the technical details of cryptocurrency – into digestible bites that anybody can understand. He acquired his Master’s in Writing, Editing and Publishing from RMIT in 2019 and has run his own creative writing business ever since.
