Clarifying the Basics: Don't Confuse Memecoins with Shitcoins

Original author: Mannay

Compiled by: Azuma, Odaily Planet Daily

Let's get straight to the point: memecoins and shitcoins are two completely different things.

memecoin ------ Free-spirited, a collective resonance from internet culture;

shitcoin ------ Fleeting, speculative, lacking soul;

Confusing the two is not only a semantic error but also a cultural dissonance. Calling tokens like TRUMP or LIBRA a memecoin is like mistaking a shadow for the moon.

Memes spread from one brain to another like viruses ------ Richard Dawkins, The Selfish Gene (1976)

From Dawkins defining memes as "units of culture" to the birth of DOGE in 2013, memecoins have become the intersection of internet culture and decentralized finance. Now, the most important thing is to distinguish those true memecoins ------ cultural products that stem from community humor, shared values, and organic dissemination ------ from shitcoins that aim to exploit speculative frenzy. Blurring the lines between the two is not just a semantic error; it undermines the cultural foundation that makes memecoins so enchanting. Memecoins are stories that can be traded as assets, their value merely a byproduct of collective belief.

Memes are not static images or jokes: they are cultural genes that can mutate and spread through human interaction. Dawkins' metaphor in 1976 described memes as "selfish replicators" competing for dominance in the attention economy. Memecoins like DOGE or PEPE also embody this evolutionary process:

• A meme (like DOGE) mutates into a token, gaining financial utility while retaining its cultural DNA.

• The community acts as an ecosystem, amplifying those memes that resonate with shared values (humor, rebellion, nostalgia).

• Blockchain infrastructure accelerates the replication process, spawning over 40,000 memecoins daily.

Unlike shitcoins, which lack cultural adaptability, memecoins thrive by embedding themselves in collective memory. They also connect two eras of internet culture: Web2 and Web3.

In Web2, memes are centralized commodities. Platforms like Reddit and Twitter monetize viral content through advertising, but creators rarely reap economic benefits. They spread through platforms like Reddit or Twitter, but their monetization process is isolated ------ for example, the platform takes the ad revenue, not the creators. The rise of DOGE in 2013 is a case in point, where its community funded charitable causes but lacked ownership of the meme's financial value.

Web3 transforms memes into self-sovereign assets, allowing communities to monetize their cultural labor. Memes also become tradable "equities," governed by decentralized communities rather than corporate algorithms. This shift is truly revolutionary, as memes have transitioned from ephemeral content to enduring cultural capital. For instance, PEPE reclaimed the Pepe-themed meme from Web2 appropriation, enabling holders to "own" a piece of internet history.

True memecoins follow a Darwinian trajectory:

• Birth: A meme is tokenized, often as a satire;

• Growth: The community builds social capital using humor and nostalgia;

• Maturity: Successful memecoins develop quasi-social utility (holders invest not just for profit but for identity);

• Legacy: Memecoins either gradually fade away (most) or evolve into cultural symbols/community legends. For example, DOGE's persistence stems from its charitable mythos.

Shitcoins bypass this lifecycle. They are financial zombies ------ lacking narrative, they only harvest through predatory strategies and pump-and-dump schemes. They lack cultural support, which dooms their lifecycle to brevity.

Memecoins can effectively archive internet subcultures onto the blockchain and serve as folklore of the 21st century. In contrast, shitcoins lack this emotional resonance and fail to generate community loyalty. They exploit trends without contributing to cultural narratives, severing cryptocurrencies from their "countercultural" roots. They are parasites of memes, fundamentally different from them.

The current real challenge is to maintain cultural integrity. The confusion between memecoins and shitcoins threatens the cultural foundation of cryptocurrency ------ exploitative tokens erode trust, low-quality replicas stifle innovation and dilute creativity, volatility and scams invite harsh regulation, jeopardizing creative freedom…

Let's look back at history. DOGE was created by Billy Markus and Jackson Palmer in 2013, initially as a parody of Bitcoin and a tribute to the Doge meme. The entire project was filled with self-deprecating humor. However, it was this satire that helped it stand out in an increasingly serious and competitive crypto landscape. Within months, a loyal community (you could call it a "cult") rapidly emerged, funding the Jamaican bobsled team for the 2014 Winter Olympics and sponsoring clean water initiatives. These early charitable efforts revealed a community spirit that transcended speculation.

Susan Blackmore wrote in The Meme Machine (1999) that the success of a meme largely depends on its ability to resonate with a shared cultural background. Memecoins achieved this by using humor as a Trojan horse; people gathered around the humor, but they stayed for the sense of belonging. Whether posting absurd memes or fundraising for quirky causes, these communities transformed "attention economy" into tangible economic value. The exchanges, activities, and creations of the community amplified cultural momentum, and digital cross-pollination occurred so rapidly that the value of memecoins often soared not due to intrinsic utility but because of relentless humor-driven engagement. Over time, if a meme can resonate widely (like DOGE), the token can transcend its initial joke and become an independent cultural symbol.

In contrast, shitcoins lack any meaningful cultural foundation. They exist purely as speculative tools, with their creators leveraging viral marketing and FOMO (fear of missing out) without contributing anything real to the broader cryptocurrency or cultural ecosystem. The value of memecoins is emotional; the value of shitcoins is transactional.

The cryptocurrency market ------ especially on chains like Solana, where transactions are fast and cheap ------ may be inundated with tokens that surge like mushrooms after rain on platforms like pump.fun, but not all fungi are edible.

As Coindesk journalist Brady Dale wrote in a 2021 article about DOGE: "The real difference is not in the code, but in the narrative."

Shitcoins lack narrative depth. They have no comedic spark, no charitable causes, and no collective sense of participation that transcends speculation. Last year's so-called PolitiFi token wave, such as MAGA Coin, BODEN, or KAMA, showcased how shitcoins latch onto culturally divisive topics (in this case, political themes) to accelerate speculation. They do not connect communities; instead, they exploit political sentiments for quick profits. They lack a shared inside joke and are merely chips in a digital casino, a carefully orchestrated scheme from start to finish.

As early as 2022, a journalist wrote in The New York Times: "Politically labeled tokens exploit real-world tensions for fleeting market momentum, leaving a trail of disillusioned investors."

We have all seen how this has developed this year. Just because a token can go viral does not mean it inherently possesses the status of a memecoin. Memecoins leverage cultural consensus or collective resonance, while shitcoins merely parasitize the same viral propagation mechanisms, lacking any deeper story. As a result, they quickly burn out.

Noelle Acheson once said in a 2021 Decrypt interview: "They are the economic equivalent of 'flash mobs'… this spectacle disappears as quickly as it forms, leaving no lasting cultural imprint."

Memes are the DNA of our culture. They are evolving codes that spread through collective imitation and recreation. ------ Susan Blackmore, The Meme Machine (1999)

Confusing memecoins with shitcoins poses a real threat to the legitimacy and artistic allure that true memecoins bring to the cryptocurrency space. Memecoins have historically been a convenient entry point for newcomers to engage with complex financial instruments. When audiences see this space diluted by exploitative tokens lacking cultural soul, their trust and enthusiasm will also be eroded.

Memecoins reflect the collective psyche of internet subcultures ------ Reddit posts, Twitter threads, Discord channels. Shitcoins hollow out the concept of memes, reducing them to "virality." The result is a market flooded with digital garbage, obscuring truly creative projects. True memecoins invigorate internet culture and establish emotional resonance within global communities. DOGE initially succeeded because it was fun, inclusive, and reflected the essence of internet humor. Tokens like PEPE continue this tradition. Shitcoins lack this community magic. They are launched by individuals, merely exploiting memes.

That is why calling shitcoins memecoins is akin to calling billboard slogans high art. The superficial similarity obscures the vast chasm between authenticity and purpose. Memecoins are not just jokes; they are mirrors reflecting the essence of internet culture, while shitcoins are funhouse mirrors ------ all surface, no substance. Confusing the two is a misunderstanding of both. Culture is fragile; do not let it fall.

In Richard Dawkins' words, memes are "units of culture." Let us respect this definition and remember why we entered the cryptocurrency space ------ not just to make money, but for a sense of belonging.