• Binance Chain plans to attract meme developers through a prize pool worth up to $1 million.
  • Bitcoin price movements tend to lead to sharp volatility for meme coins.
  • Solana and Base meme tokens show signs of recovery after a brief price correction.

Binance Chain, in a strategic move, announced on Tuesday a meme coin competition with prizes of up to $1 million to encourage developers to create new meme projects on its blockchain. Amid the move from the third-largest blockchain, the meme coin market is beginning to post a few green candles after Bitcoin's price drop saw most of them lose steam.

Read more: Binance cuts off $10 billion venture capital arm, BNB price takes 6% loss

Binance wants to grab a share of the meme market

Binance Chain is looking to grab its share of the meme coin pie with the BNB Chain Meme Innovation Battle after Solana and Base blockchains have grown sharply in the past month following increased attention given to meme tokens.

The BNB Chain Meme Innovation Battle will see developers and creators compete to share a "dynamic prize pool that can reach up to $1 million" by building meme tokens within the BNB ecosystem, according to a blog post announcement by the Binance Chain. According to the announcement, the final amount of the pool will be determined by "the trading volume of qualified memes during the competition period (...) the higher the trading volume, the larger the prize pool."

Registration will end on April 9, after which the competition will kick off the next day and run for 30 days.

Also read: BNB price rises 10% despite Binance Exchange’s international regulatory troubles

Growth of Solana and Base meme coins

This strategy from Binance echoes interest in the increased total value locked (TVL), and revenue that Solana and Base saw in the past month following high meme coin activity in their ecosystems.

For example, Solana almost doubled its TVL in March, growing 88% from $2.5 billion to about $4.8 billion, according to data from DeFiLlama. Revenue grew from under $134,000 to about $1.38 million, coupled with a significant price increase in SOL. On the other hand, Base's TVL grew nearly 150% to reach $1.2 billion, while revenue increased about 1,700% from about $50,000 to $900,000, the data shows.

These meme coins are increasingly being launched in chains like Solana due to their low transaction fees and simple user interface, said Arthur Hayes, BitMEX co-founder. With Binance Chain's move, the crypto market may witness more influx of meme tokens.

Read more: Binance likely to face another lawsuit for violation of US securities laws

Meme tokens show signs of recovery

Recent bullish and bearish moves in the market showed that meme coin prices often are more volatile compared to Bitcoin and top altcoins' price movements. For example, with the recent crypto market crash on Tuesday, several meme coins were down in double digits, while most top altcoins only recorded losses in single digits.

However, a few meme coins are beginning to post signs of recovery on Wednesday, especially those in the Solana and Base chains. In the past 24 hours, dogwifhat (WIF) is up 4%, Book of Meme (BOME) increased by 6.4%, cats in a dog world (MEW) grew by 42.5%, Brett (BRETT), and Toshi (TOSHI) of Base are up 3% and 14%, respectively.

All of these indicate the meme party may not be over as the recent crash in their prices suggested.


Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Join Telegram

Recommended content


Recommended Content

Editors’ Picks

Bitcoin price tanks to $62K ascribed to geopolitical tension a week to BTC halving

Bitcoin price tanks to $62K ascribed to geopolitical tension a week to BTC halving

Bitcoin price is dumping, and with it, most players in the cryptocurrency market arena. It comes in the final week to the BTC halving, expected on April 20. As crypto markets bleed, capital appears to be shifting to precious metals.

More Bitcoin News

Blast-based Leaper Finance flagged as expert cites nearly $1 million bait

Blast-based Leaper Finance flagged as expert cites nearly $1 million bait

Renowned on-chain detective ZachXBT has flagged Leaper Finance, a new project on Layer 2 network Blast. Blast is an EVM-equivalent optimistic rollup on Ethereum, offering native yield for Ethereum as well as stablecoins (USDC, USDT, DAI) for depositors.

More Cryptocurrencies News

Solana Price Prediction: SOL primed for recovery if bulls hold $130

Solana Price Prediction: SOL primed for recovery if bulls hold $130

Solana (SOL) price is nurturing a recovery rally along with the broader market as Bitcoin price reclaims $64,000. Amid mounting selling pressure, SOL dipped 20% on the weekly timeframe and 5% in the last day.

More Solana News

Will Celestia price’s bounce trigger a 50% rally for TIA bulls?

Will Celestia price’s bounce trigger a 50% rally for TIA bulls?

Celestia, like the broader cryptocurrency market, is trading with a bearish bias. However, the altcoin has missed out on the recent rally that saw the Bitcoin price ascend past the $70,000 psychological level.

More Celestia News

Bitcoin: BTC’s rangebound movement leaves traders confused

Bitcoin: BTC’s rangebound movement leaves traders confused

Bitcoin (BTC) price has been hovering around the $70,000 psychological level for a few weeks, resulting in a rangebound movement. This development could lead to a massive liquidation on either side before a directional move is established. 

Read full analysis

BTC

ETH

XRP