Changpeng Zhao Calls Memecoins ‘Weird,’ Calls for Real Crypto Applications

Key Takeaways

• Former Binance CEO Changpeng Zhao (CZ) called the current memecoin craze “weird.”
• CZ urges the crypto community to focus on creating meaningful blockchain applications.
• In 2024 alone, millions of memecoins were launched, but 97% either collapsed or became inactive shortly after.

The explosive memecoin mania of 2024 has drawn sharp criticism from Changpeng Zhao , the former CEO of Binance.

While CZ isn’t against memes, he’s expressed concern about the direction the memecoin market is taking.

“Let’s build real applications,” he said, urging developers to shift focus to creating meaningful blockchain applications instead of chasing quick profits through speculative tokens.

97% of Memecoins Are Doomed

Memecoins, once a quirky part of the crypto landscape, reached new heights during the 2020–21 bull market, with tokens like Dogecoin (DOGE) receiving support from high-profile figures such as Elon Musk .

This helped establish a broader memecoin market, with new tokens like Shiba Inu (SHIB) and Pepe (PEPE) following suit. But the 2024 memecoin wave has proven to be largely unsustainable.

According to a Coinwire report,  97% of memecoins launched in 2024 either fail immediately or become inactive within hours.

Social media influencers, often seen promoting these tokens, are a key part of the problem.

The report found that 76% of these influencers push memecoins that lose over 90% of their value.

Platforms Fuel the Chaos

Platforms like Pump.fun has made it easier than ever for anyone to create and launch a memecoin in minutes.

These platforms don’t require identity verification, making it easy for scammers to exploit unsuspecting buyers.

Features like live-streamed token launches, intended to attract attention, have devolved into chaotic spectacles of violence, animal abuse, and other disturbing content.

With no accountability, these platforms have become breeding grounds for exploitation and fraud.

Calls for Regulation Amid Gambling Culture

Many in the crypto community are calling the memecoin market a form of gambling , where buyers are betting purely on speculation rather than any inherent value.

As the frenzy grows, the demand for regulation and moderation also rises.

Despite these growing concerns, some believe the memecoin craze will subside as the current bull cycle comes to an end, leaving behind a landscape scarred by scams and market instability.