A lucky trader has managed to turn a $450 punt into over $2.5 million in profits within weeks by betting on a new viral meme coin launched on the Avalanche blockchain.
The token is called Coq Inu (COQ) and has a hen theme. It was only issued on December 8th but has already shot up to a staggering $230 million market capitalization as of December 20th.
- A trader turned $450 into over $2.5 million by betting on the Avalanche meme coin Coq Inu (COQ) shortly after it was issued
- COQ is a hen-themed token that has surged to a $230 million market cap, creating huge profits for early buyers
- Meme tokens like COQ derive appeal from viral memes and online community attention rather than intrinsic utility
- Most meme tokens fail, but the viral ones can turn into billion-dollar projects and later add utility
- COQ saw over $30 million in trading volume and has over 30,000 unique holders showing its viral popularity
Like other meme coins before it, COQ owes its epic rally not to any fundamental utility but rather the virality of its theme combined with speculative mania from online communities. This makes meme coins extremely high risk, high reward gambles.
“$COQ is a meme coin with no intrinsic value or expectation of financial return,” the token’s website bluntly admits. “There is no formal team or roadmap. The coin is completely useless and for entertainment purposes only.”
Yet so far, its entertainment value is paying off big time for some holders. According to on-chain data, a single trader managed to scoop up just over $450 worth of the tokens shortly after launch. The stash is now valued at a life-changing $2.5 million.
A trader turned $454 into $2.19M in 2 weeks by trading $COQ, a gain of 4827x!
— Lookonchain (@lookonchain) December 19, 2023
The lucky holder has already sold over $1.5 million worth to lock in profits, while still HODLing tokens worth around $800,000 at current prices.
And they’re not the only ones scoring big with COQ. Data reveals over 30,000 unique wallets holding the token after just weeks of existence. Meanwhile, trading volumes have exceeded $30 million in 24 hours.
This type of hypergrowth is why meme coins attract so much interest despite their inherent pointlessness. They tap into the greater fool theory, where buyers hope to flip the tokens to even bigger fools down the line at higher prices.
Occasionally, a meme token will achieve such viral popularity that it explodes into a billion dollar asset. Developers then have an incentive to introduce real utility like governance rights and staking rewards.
For example, Shiba Inu migrated from pure meme status to a vibrant ecosystem now supporting an NFT art platform, DAO voting, and token burns to boost value.
As for Coq Inu, only time will tell if the chicken meme has true staying power or ends up as a flash in the pan. But for one lucky trader at least, it’s been a very merry Christmas thanks to meme coin mania.