Elon Musk’s social media platform, X, has suspended the account “makenowmeme,” which allowed users to create memecoins with a single post. The account, boasting 15,000 followers, was taken down on August 2 for allegedly violating platform rules.
How It Worked
The “makenowmeme” service enabled users to mint memecoins on the Solana blockchain by simply posting on X. Users would include a token name, description, and tag @makenowmeme, optionally attaching images or videos. Once enough people purchased the token, liquidity was deposited on the Solana decentralized exchange Raydium and subsequently burned, mirroring mechanisms used by other Solana-based memecoin generators like pump.fun.
Impact and Notable Figures
The platform’s top token, named “Dogs,” reached a market capitalization of $184,000. According to Lookonchain, a notable trader made a substantial profit of 4,721 SOL (approximately $800,000) in just one hour by trading the memecoin CTO. This trader bought 257 million CTO for 50 SOL and later sold 228 million CTO for 4,771 SOL, netting a profit of 4,721 SOL.
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Even industry insiders participated in the trend. Alex Svanevik, CEO of the onchain analytics platform Nansen, launched a memecoin called IQ on July 31 using the “makenowmeme” service. Svanevik clarified that he was merely testing a friend’s technology and cautioned followers against investing heavily.
Suspension and Aftermath
Following the suspension of “makenowmeme,” the account’s owners announced on their website that they are working to restore the service, with minting currently paused. The suspension comes amidst a growing trend of memecoins in the Solana ecosystem, which saw significant gains in late July, outperforming the broader crypto market.
Memecoins have become a notable segment of the cryptocurrency market, accounting for approximately 2% of the total market capitalization, with a value of $48 billion according to CoinGecko.
