Web3 experts are questioning the interest in celebrity-backed meme coins. In an interview with Cointelegraph at the Token2049 event in Singapore, Skale Labs’ Director of Marketing and Growth Andrew Saunders expressed concern about celebrities issuing meme coins, suggesting that decentralized applications (DApps) offer a more sustainable way for public figures to engage with their fans.
Warnings Against Meme Coins
Saunders, who comes from a Hollywood background, said celebrities have strong reservations about meme coins. Andrew said such projects concentrate power in the hands of a few and that investors are vulnerable to manipulation.
Andrew Saunders: “I would never go near a celebrity meme coin.”
Meme coins were described by Saunders as a “player-versus-player” (PvP) game. He saw meme coins as a structure where early participants profit at the expense of others, and they pose a high risk in the long term. We know that the longer investors hold meme coins, the greater their risk, as Andrew emphasizes. We have seen this firsthand in many meme coin examples.
Andrew Saunders: “The longer you hold, the more selling pressure you get.”
Deepening Fan Engagement with DApps
Saunders emphasized that celebrities’ interest in crypto will increase as regulations become clearer. He stated that more defined rules, especially in the US, will improve the public’s view of blockchain and crypto assets. He stated that this could lead to a model where celebrities use blockchain to deepen fan engagement and that this will go beyond short-term token launches.
Blockchain technology offers celebrities the opportunity to create DApps to engage with their fans more dynamically, Saunders said, adding that celebrities can reward fans for activities such as sharing content or attending virtual events. Fans can use these rewards for special privileges such as meet-and-greets, signed souvenirs, or starring in a music video.
Opportunities Brought by Blockchain Technology
According to Saunders, blockchain technology gives celebrities access to valuable fan engagement data beyond existing Web2 platforms like Instagram or Twitter. He explained that a celebrity could use a DApp that allows fans to collect points based on their social media shares, creating a more authentic and rewarding connection between the star and their followers.
“I don’t see any reason right now for a celebrity to issue a token, whether it’s a meme coin or a utility token. I think blockchain technology will eventually be widely used by celebrities.”
With the rise of DApp interest, blockchain technology could become a critical tool for celebrities to build meaningful, transparent, and long-lasting relationships with their fans. This approach could create a more sustainable and mutually beneficial ecosystem for both celebrities and fans. But that’s why football teams are already looking to improve the capabilities of their fan tokens. So all of these considerations aren’t entirely new.
Disclaimer: The information contained in this article does not contain investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
