Reasons why memecoins/coins with low tech perform better than coins with good tech

*** Disclaimer ***

This post is not intended to talk shit about certain coins, I'm investing in most of these coins and wish every coin and every investor to succeed. I just want to point out a few reasons why tech doesn't always beat lower tech.

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You look at these crypto projects with brilliant tech, coins like Monero, Nano, Algorand, Stellar, and IOTA that promise to be faster, cheaper, more private, or more scalable. Yet, you see them getting absolutely left in the dust by coins that, let's be honest, started as a joke or have worse tech.

So, why does a coin with a dog on it outperform genuinely innovative technology? It's because in the wild west of crypto, the best tech doesn't always win.

Simplicity and a "Shareable" Coin Beats a Technical Whitepaper Every Time

• Let’s face it, the crypto market runs on hype. It’s driven by emotion, speculation, and the fear of missing out. For the average person looking to invest, they do not care about a coins tech nor are able to understand it. "It's a fun and cheap dog coin that might make you rich" is a much easier story to get behind than trying to understand the nuances of a Directed Acyclic Graph (DAG), Tangle or a Pure Proof-of-Stake consensus mechanism. Tech coins struggle because their value proposition is complex. They’re trying to sell you the blueprints for a skyscraper, while meme coins are selling you a lottery ticket with a funny dog on it. The lottery ticket is just more exciting and a lot easier to understand. This simple, viral narrative, often supercharged by a celebrity tweet, creates a powerful wave of momentum that has very little to do with fundamentals.

An highly advanced ghost town vs a thriving metropolis

• Imagine building the most advanced city in the world with perfect roads, but nobody moves in. That’s the challenge many tech-focused coins face. They have incredible infrastructure, but they lack the most important thing: people. Ethereum, for all its talk of high fees and slow speeds, won the early race because it built a massive, thriving ecosystem. Developers flocked to it, creating a universe of apps, NFTs, and DeFi platforms. A new blockchain, even if it's technically better, has the monumental task of convincing everyone to leave that bustling metropolis and move to their new, empty city.

The Problem of Being Too Good

• Sometimes, a coin's best feature can also be its biggest weakness. Take Monero (XMR). Its privacy technology is unmatched, which is fantastic for users who value anonymity. But that same feature makes regulators nervous, leading to it being kicked off major exchanges. If people can't easily buy your coin, its growth is naturally going to be stunted.

Price of a Coin > Market Cap
Then you have the raw numbers, which can be mind-boggling. It's often not just about the total value of the network (market cap), but rather the perceived "cheapness" of a coin's individual price. Many new investors mistakenly believe a coin priced at, say, $0.000001 has far more potential to skyrocket than a coin priced at $100. They don't always understand that market capitalization – the total value of all circulating coins (price per coin multiplied by the number of coins in circulation) – is the true indicator of a project's overall size and value.

FOMO & Marketing

• Ultimately, the market is made of people, and people are driven by psychology. The fear of missing out (FOMO) when a coin is skyrocketing is a far more powerful motivator than a well-written technical document.
• Coins with "worse" tech often win because they are more accessible. They get listed on every major exchange, they're easy to buy, and the high trading volume means you can get in and out quickly. They build massive, passionate communities who act as a free, 24/7 marketing army.

While superior technology is crucial for long-term survival and building the future of finance, the short-to-medium term game is all about narrative, community, and pure speculative energy. For now, a good story is worth more than good code.

TL;DR

• Hype & Simplicity > Technology: The crypto market is driven by hype. A simple, viral story like "funny dog coin" is easier for new investors to grasp and get excited about than complex tech.
• Hype & FOMO: Meme coins generate massive "fear of missing out," leading to speculative frenzies that have little to do with the coin's actual utility or technology.
• The Power of Community: Coins like Dogecoin and Shiba Inu have huge, passionate communities that create free, viral marketing, while tech coin communities are often smaller and more insular.
• Accessibility is Key: "Worse tech" coins are often easier to buy on popular exchanges, making them more accessible to the average person. Advanced coins can be harder to find and use.
• Empty Cathedral Problem: A network can have the best technology in the world, but without a large, active ecosystem of users and developers (like Ethereum has), it struggles to gain traction.
• Regulatory Headwinds: Some advanced features, like Monero's privacy, can attract negative attention from regulators, limiting their growth.