From Big Factory to Crypto: A Crypto Degen's Meme Coin Investment Path

Justin resigned from the internet giant to devote himself to crypto. As an entrepreneur and crypto fanatic, he has not only successfully bet on popular projects such as PEPE, Degen, TRUMP, etc., accumulating huge profits, but also learned valuable experience from market fluctuations.

In this exclusive interview, Justin shares his story from the traditional internet to the crypto world, delving into the investment strategy, the current state of the market, and future trends for meme coins. Whether you're new to meme coins or a seasoned player, you'll be inspired.

From Traditional Internet to Encryption World

Justin said he decided to stay in the crypto space long before joining the internet company, but felt he needed more technical and teamwork experience. At that time, the company also had a crypto team, many of which came from a digital currency project, including the development team of the Move language. However, with the onset of the bear market, companies cut all blockchain-related businesses in favor of the metaverse and AI.

During his tenure, Justin swapped most of his earnings and stocks for crypto while working, and in his spare time exploring various DeFi, NFT, SocialFi, and Meme projects in the crypto space. In 2023, as Chinese, they held the first 1,000-person blockchain and AI conference in New York, inviting a number of star projects. These experiences laid the foundation for his subsequent entrepreneurship.

The family was initially hesitant about Justin's decision to dedicate himself to the crypto space, but eventually respected and supported his choice. Justin admits that he is generally profitable on his meme coin investments, but the number of projects that are losing money is more than making profits. His core strategy is that if he is bullish on a meme, he will bet heavily, and even if most of the items go to zero, a few bets will be enough to turn the market around.

Discussion on the Current Status of Meme Coins

When it comes to the meme craze triggered by the founder of a trading platform, Justin believes that this operation is very successful at the marketing level, and it has indeed increased the popularity of the platform's ecosystem. But the problem is that the sentiment of retail investors is determined by profit and loss, and many people naturally complain after losing money. This model creates buzz in the short term, but in the long run, it can damage user trust.

Justin pointed out that the infrastructure of the platform's ecosystem cannot keep up with the demand for meme transactions, such as transaction speed, stability, etc. He believes that the platform needs to find its own flashpoint, rather than simply copying the successful experience of other public chains. AI may be a potential direction, especially for AI applications, and if new trading tools in the AI era can be incubated, the entire ecosystem may be revitalized.

Regarding the participation of a country's president in the meme coin incident, Justin analyzed that the leader may have seen the popularity of other celebrity coins and wanted to combine cryptocurrencies to promote the country's economy and finance private enterprises. But he may not have expected the subsequent collapse of the currency price and the explosion of public opinion, so he quickly cleared himself of responsibility. Many on-chain experts and project parties have also suffered heavy losses as a result.

Justin emphasized that the crypto world is like a casino, where every piece of information influences decision-making. The key is the ability to anticipate and respond to new information, such as whether to cut meat or increase positions when leaders delete relevant information. Traders should not have a "loss aversion" mentality because of losses, but should analyze calmly and take responsibility for their own decisions.

How ordinary users can play with meme coins

According to Justin, meme coins give a sense of "grassroots counterattack" excitement, which is similar to the attractive mechanics of casinos, but memes rise and fall far more than casinos. Although most people eventually lose money, the story of a hundredfold or a thousand-fold increase in wealth will still make people believe that "the next one to turn around may be me". Even if you lose money, you will continue to invest because of the FOMO mentality.

For ordinary investors, Justin recommends judging the potential of meme coins in the following ways:

1. Narrative: Focus on the number of people covered by the narrative and the depth of resonance. The narrative should reach a sufficient number of people and also be able to evoke strong resonance.

2. Token Distribution: Analyze the project for signs of dealer manipulation, focusing on the Top 100 addresses, especially during the two-period sideways.

3. Risk-Reward Ratio: Set a target price for the token based on narrative judgment, evaluate the gap between the current market value and the target, and decide whether it is worth investing and how much position to invest.

4. Virality: Quickly determine the popularity of the token on social media, and analyze the potential communication channels and KOL influence.

Justin's personal investment strategy is to double or triple the investment first, and take profit in stages according to the ideal valuation. He stressed that the meme market changes rapidly, and there should be no rigid take-profit and stop-loss standards, but real-time adjustments based on market sentiment.

Future outlook for meme coins

Justin believes that the hype of meme coins is far from peaking, and that there will be even crazier ways to play in the future. He predicts that social networking, news and memes will be more closely integrated, and maybe every news and hot topic will correspond to a meme, which will become a consensus carrier for a certain news hotspot.

Looking ahead to 2025, Justin believes that the meme market will not only continue to be hot, but will continue throughout the crypto market for a long time. Memes have become a new generation's way of expressing news, hot spots, and cultures, building consensus through currency prices. If you want to seize opportunities in the meme field, you must be sensitive to the world's hot spots, including technology, culture, trends, politics, and other fields.

Regarding whether the meme ecosystem is likely to be a long-term valuable asset, Justin pointed out that it depends on the long-term or periodic dissemination of the information carried by the meme. At present, only a few memes have long-term value, and most of them are still short-cycle hot spots. The meme ecosystem will continue to evolve, but only a handful of them may become long-term assets.