Avalanche ‘Meme Coin Rush’ will reward traders with $1 million

The Avalanche Foundation has announced the launch of Meme Coin Rush, a $1 million liquid mining incentive program aimed at growing the meme coin ecosystem on the Avalanche blockchain. The foundation provides rewards for providing liquidity to Memcoin exchanges on certain DeFi platforms.

The foundation recently acquired five Avalanche-based meme coins—the dog-themed Kimbo (Kimbo), the chicken-themed Coq Inu (COQ), the gecko-themed Gecko (GEC), the tech joke token Tech, and Nochil—as a digital culture initiative. Body.

“In the same tradition as the Foundation's past successful incentive programs, Meme Coin Rush is designed to measure liquidity and drive momentum, only this time with the community coin ecosystem on Avalanche,” the Avalanche Foundation said in an announcement shared with Decrypt. .

Meme Coin Rush mirrors the previous Avalanche Rush program, which the foundation said will drive the development of Avalanche Defi when it launches in 2021.

In the first phase of the Meme Coin Rush program, Avalanche is launching two Avalanche-native DeFi platforms in partnership with StakeHut and Trader Joe's for liquid incentives. Trader Joe's Exchange is not to be confused with the popular American grocery store chain.

The Avalanche Foundation is offering $1 million in incentives to native meme coins on StekHut and Trader Joe's in AVAX during Phase 1 of the initiative. On SteakHut, the Avalanche Foundation offers rewards to miners who inject liquidity into native meme coin pools using Uniswap v3. This helps to reduce volatility, increase liquidity and stimulate trading of those tokens.

On Trader Joe's, on the other hand, Avalanche will launch incentives for “one-sided, time-locked escrows for selected tokens based on collateral and market price criteria.” Users earn points for completing pools, which increases the scarcity of those tokens and can increase their value.

According to the foundation, the first weekly phase will include vaults for the following community coins: Coq, Kimbo, NoChill, Gec, Tech, Husky, Meow, Kong, Meat and Kingshit.

Meme Coins are cryptocurrencies inspired by internet memes or jokes. They started as a light-hearted approach to the crypto community, but have since grown into a serious—but notoriously volatile—investment for some. The most famous example of a meme coin is Dogecoin, which was created as a Bitcoin parody but gained a large following and attracted the attention of celebrities such as Elon Musk.

The growth of meme coins can be attributed to a number of factors, including the power of social media for rapid meme distribution, low cost that attracts new investors, and fun, community-based grassroots social media campaigns.

These tokens are not particularly popular on Avalanche, but work mostly on Ethereum and Solana. The Avalanche Foundation aims to change that.

“Meme Coins have become a cornerstone of Web3 that represents the uniqueness and interest of various crypto communities,” Eric Kang, BD Manager at Ava Labs, said in the announcement. “Meme Coin Rush will be a showcase for users to experience the diversity of Avalanche-native DeFi protocols and immerse themselves in the active community at the forefront of culture on Avalanche.”

Edited by Ryan Ozawa.