Memecoins may have started as a joke, but for 85% of U.S. crypto holders, they’re a real investment, according to a survey by Kraken. Despite their high volatility and lack of fundamentals, memecoins remain one of the most traded digital assets, with investors confident that the potential upside outweighs the risks.
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The survey also revealed a shocking statistic: 42% of investors believe memecoins will outperform other cryptocurrencies in 2025, while 44% think they actually improve crypto’s credibility. And if that wasn’t surprising enough, women are slightly more likely than men to invest in memecoins, with 86% of female investors owning them compared to 84% of men, according to Kraken.
FOMO and Short-Term Gains Are Fueling the Frenzy
So why are investors diving into memecoins despite their unpredictable nature? FOMO (fear of missing out) was one of the biggest reasons cited. The possibility of making quick money, along with social media hype, recommendations from friends, and the lighthearted nature of meme-based tokens, has made memecoins a favorite among retail investors.
According to Kraken, 29% of investors are purely chasing short-term gains, hoping to capitalize on sudden price spikes. Another 23% see memecoins as a diversification tool, while others admit they buy them simply for entertainment.
Even after the LIBRA memecoin scandal wiped out billions overnight, investors don’t seem deterred. In fact, memecoins like Dogecoin, Shiba Inu, Bonk, and even joke tokens like Fartcoin are still gaining traction. It’s clear that despite the risks, memecoin mania isn’t slowing down.
Investors Are Cautious but Still All In
While enthusiasm is high, most investors are playing it safe with their allocations. According to Kraken, only 5% of respondents have more than half of their crypto portfolio in memecoins, while 36% keep it under 10%. This suggests that while memecoins are exciting, they are still seen as highly speculative assets.
Even with skepticism surrounding their long-term value, investors continue to flock to memecoins for their potential windfall profits. The real question is whether this trend will last—or if memecoins will become another relic of crypto history.
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