The Solana Protocol opens a new market for anti-trading for mining memecoins. The new platform enables short squeezes on Solana Memecoins. Crypto's memecoin market has lost $13 billion since July.
Solana Protocol Dumpy.fun is launching a new feature that turns its initial purpose – shorting Solana memecoins – on its head.
A new market called Squeezy.lol allows users to take the other side of a trade and trigger small squeezes on heavily discounted memecoins.
Shorts represent traders betting that the price of an asset will fall. On the other hand, short squeezes occur when the price of such an asset suddenly rises, forcing short bettors to close their positions or buy the asset to limit their losses.
Squeezy.lol provides traders with onchain records of shorts held on its sister platform Dumpy.fun called “Squeeze Explorer”.
It's like giving users transaction order flows on Dumpy.fun that could change the nature of memecoin trading PvP.
PvP is short for Player vs. Player and is a crypto industry term for the zero-sum nature of crypto trading, pitting a few privileged insiders against a large cast of investors in hopes of backing the next hit token.
The memecoin market of crypto is the least valuable $40 billionAccording to data from CoinGecko.
That figure is significantly lower than the market size of $53 billion when Dumpy.fun launched three weeks ago, suggesting the profitability of memecoins undermining.
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However, adversarial trading could prove profitable as a new branch of PvP battles emerged – allowing strong supporters of the targeted memecoin to gather interest and protect their investments from small sellers.
Crypto memecoins have no utility and were created to leverage the popularity of mimetic engagement in the community, akin to the infamous GameStop short squeeze of 2021.
GME, the stock ticker for retail gaming company GameStop, famously faced a massive short squeeze in early 2021, hitting a premarket value of $500 per share, more than 30 times its value a month earlier.
Open the beta
Squeezy.lol will launch on August 27, while its related platform Dumpy.fun has moved from its private testing phase to an open beta phase.
Users no longer need to subscribe to a waitlist and can instead start mining MemeCoins on the platform.
Dumpy.fun started with just one memecoin, Catwifhat, backed by a $19 million The property opened earlier this year. The platform now supports 11 memecoins and will soon launch permissionless token lists that allow traders to mine newly created memecoins.
Osato Awan-Nomayo Our Nigeria based DeFi representative. He covers DeFi and technology. To share tips or information about articles, please contact him here [email protected].
Related TopicsSOLANAMEMECOINS