Avalanche Announces Eligibility Criteria for Meme Coin Purchasing Program
The Avalanche Foundation, a non-profit organization seeking to support the avalanche ecosystem, has announced the rules covering its already active meme coin purchasing program. The institution has defined the holder count, concentration, liquidity, liquidity providers, lifespan, and market cap requirements that these projects need to fulfill to get selected and informed more projects are being considered on an ongoing basis.
Avalanche Announces Meme Coin Purchasing Framework
The Avalanche Foundation, a non-profit entity that supports initiatives on the Avalanche ecosystem, has announced the requirements to invest in meme coins using the $100 million Culture Catalyst fund launched in 2022. The foundation had previously reported on the purchase of these tokens but had not specified the conditions these meme coins should fulfill to be eligible for this purchasing plan.
For any meme coin project to be eligible for these purchases, it must have at least 2,000 unique holders, and the top 100 token holders should hold less than 60% of the total supply. In addition, the project should have a liquidity of at least $200,000 and 50 or more liquidity providers unless most of the liquidity has been burned.
Also, the meme token should natively exist only as part of the AVAX chain and should have a fully diluted market cap of over $1 million, with a trading volume of more than $100,000 in AVAX decentralized changes for at least two weeks.
The foundation remarked on the importance of this kind of tokens, stressing they “generally have high community value because of the engagement, community spirit, and culture that they engender, which goes beyond the humor and virality that they embody.”
Nonetheless, it explained that even if a meme coin fulfills all of these requirements, it does not mean that it will invest in it automatically and will use additional criteria for this task. “The Foundation reserves the right to determine which coins to include in the Culture Catalyst program in its sole discretion,” it concluded.
What do you think about the requirements imposed that meme coins need to fulfill to be eligible for the Avalanche Foundation meme coin purchasing program? Tell us in the comments section below.
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