A trending video on Twitter has shown how easy it is to create a memecoin crypto project, raising concerns that the rate of rug pulling will increase.
The video, first posted by generative artist and Manifold studio developer Whitelights, showed how to create and deploy a meme coin in just 27 seconds using OpenZeppelin's contract wizard.
The video generates more than 1 million views
The developer pointed out that the video was for educational purposes only and that the Easy_Money token created was only on the testnet.
The video has already garnered over 1.5 million views and nearly 10,000 bookmarks as of press time. Many stakeholders in the crypto community believe that it will lead to the proliferation of memecoins that will end up as carpet pulls.
On-chain detective ZachXBT noted the growing number of markers, commenting "wtf" with a screenshot of the markers when they were still less than 2,000.
Carpet pulling is prevalent among memecoins, where many bad actors create tokens to steal investor funds. Now that it is possible to develop a memecoin project in less than a minute, bad actors could take the opportunity to develop as many as possible.
What does this mean for the crypto industry?
Even before the appearance of the video, there has been an increase in the rate of memecoins created recently. While crypto aggregator CoinMarketCap lists more than 500 memecoins, industry players believe it is in the thousands.
The recent rally by Pepe and others like WOJAK has brought feelings that the memecoin season is back. During this period, cryptocurrency traders can expect the proliferation of these digital assets in the market.
For context, digital artist Rhet Mankind created a TURBO memecoin using ChatGPT in April. Today, its market capitalization has surpassed $100 million as it has generated significant community interest.
Meanwhile, Crypto reporter Wu Blockchain reported that malicious players attempt to profit from these assets through various means. The Chinese reporter said that honeypot tokens with the same name as PEPE, TURBO, etc., have emerged in Decision. Wu Blockchain aggregate:
โThe basic method is to push these namesake tokens to the front of monitoring platforms like Dex Screener and DexTools by sliding trading volume and adding higher liquidity, enticing users to buy and then selling a large amount. of Tokens reserved when the price rises to a certain level Crushing the market for profit.โ
Due to this, industry players have warned crypto investors to do proper research before investing in any digital asset. Binance CEO Changpeng 'CZ' Zhao warned that investments in memecoins are high risk.
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