Since the birth of blockchain technology, it has gone through multiple rounds of market cycles and conceptual evolution, from the initial cryptocurrency to decentralized finance (DeFi), non-fungible tokens (NFTs), and the recent Meme coin craze. The market has always been exploring the balance between technology and value. The viewpoint of 'blockchain returning from Meme to value coins' can be analyzed from the following aspects:
1. The Rise and Limitations of Meme Coins
Short-Term Speculative Nature: Meme coins (such as Dogecoin, Shiba Inu, etc.) are usually driven by community culture and social media dissemination, attracting significant attention and funds in the short term, but their value support is weak, and price fluctuations are severe, being more a product of market sentiment and liquidity.
Lack of Fundamentals: Most Meme coins lack practical application scenarios or technological innovations, and their long-term value is questionable. Once market sentiment wanes or liquidity contracts, these assets may face significant corrections.
2. The Core Logic of Value Coins
Technological Support and Application Scenarios: Value coins are usually based on underlying technological innovations (such as high-performance blockchains, privacy computing, cross-chain protocols, etc.) or clear application scenarios (such as DeFi, NFT, GameFi, supply chain finance, etc.), capable of solving practical problems or enhancing efficiency.
Ecosystem Building and Long-Termism: Value coin projects emphasize ecosystem co-construction, developer community cultivation, and sustainable business models, forming a moat through long-term accumulation, such as the ecosystem expansion of public chains like Ethereum, Polkadot, and Solana.
3. The Inevitability of Market Cycles
Bubbles and Value Accumulation: The history of the blockchain industry shows that after each round of market frenzy (such as the 2017 ICO, 2021 Meme coins), funds gradually flow towards projects with actual value. While short-term speculation may attract attention, it is still those projects with solid technology and prosperous ecosystems that survive in the long term.
Regulation and Compliance: As global regulatory frameworks gradually become clearer (such as the EU MiCA legislation, Hong Kong virtual asset licenses), compliance becomes crucial for project survival. Value coins are more likely to adapt to regulatory requirements, while pure Meme coins may face greater uncertainty.
4. Improvement in Industry Maturity
Institutional Entry and Capital Preferences: Traditional financial institutions (such as BlackRock, Fidelity) and top venture capitalists are accelerating their layout in blockchain, with investment logic leaning more towards technological implementation and long-term value, rather than short-term speculation.
User Cognition Upgrade: As industry education becomes widespread, users' evaluation criteria for projects shift from 'price increase' to 'actual utility,' driving the market back towards value investment.
5. Sources of Confidence
Continuous Breakthroughs in Technological Innovation: Technological advancements such as Zero-Knowledge Proofs (ZKP), modular blockchains, parallel EVMs, and account abstraction lay the foundation for complex applications.
Real Demand Growth: On-chain finance of DeFi, digital property rights of NFTs, RWA (real-world asset tokenization), and other sectors are creating real economic value.
Cyclical Patterns: History proves that the blockchain industry gives rise to stronger projects and healthier ecosystems after each bubble bursts.
Conclusion
Meme coins, as amplifiers of market sentiment, may continue to exist in the short term, but the long-term development of the blockchain industry will inevitably return to the essence of technology and value creation. As infrastructure improves, application scenarios expand, and regulatory frameworks clarify, value coins focused on solving practical problems will dominate the next phase of the market. For investors, maintaining rationality amidst volatility and focusing on technological innovation and ecosystem building is key to navigating industry cycles.