An unofficial GameStop-themed meme coin on Solana keeps pumping, more than doubling over the last 24 hours as traders attempt to recreate some of the “meme stock” magic associated with the major video game retailer.
GME, which was minted just days ago, has climbed to a price of $0.0087 as of this writing, per data from GeckoTerminal. While not a sizable price per token, the GameStop tribute coin has notched a 105% increase over the past day. It now has a market cap of nearly $59 million, with about $20 million in trading volume over the last day.
GameStop has not yet replied to Decrypt’s request for comment, but the “GameStop” token is undoubtedly not officially tied to the company. But that’s common for meme coins.
Meme coins are often inspired by public figures, brands, and news events, borrowing a familiar name in an effort to lure in more traders to buy into the crypto token. Numerous meme tokens—such as Dogecoin, SHIB, and BONK—are inspired by a popular meme of a Shiba Inu dog, while there have been coins based on the likes of Elon Musk and Henry Kissinger.
While those aforementioned doge-inspired meme coins have seen persistent or resurgent interest, many meme coins rise and fall within a matter of days, if not hours. They’re not typically seen as serious investments, but rather lighthearted opportunities for traders to take a bet on a potentially sizable return as the hype cycle unfolds.
GameStop has some history with a similar phenomenon. In early 2021, traders bought into the retailer’s distressed stock (ticker: GME), forcing a short squeeze as the price ballooned by nearly 30 times in less than a month. GME has seen sizable prices peaks and valleys since, but now sits below the price seen at the start of the meme stock craze.
The retailer also has some serious history with crypto, albeit not for much longer. GameStop launched an NFT marketplace in 2022, but following slow sales and continued struggles within the company, the retailer said earlier this month that it will shut down the platform this Friday, February 2.
The views and opinions expressed by the author are for informational purposes only and do not constitute financial, investment, or other advice.
Edited by Ryan Ozawa.