A profit opportunity led to nearly $100 million in trading volumes for a charity-themed memecoin. And although some speculators lost money — the effort still bore fruit for the original cause.
A Pump.Fun memecoin zoomed from zero to an $80 million market capitalization on Thursday after a father’s plea for donations into a research study for his daughter’s rare brain cancer attracted swathes of crypto traders.
The token’s prices have since fallen 80% since a Thursday peak and trade at just over a cent as of Friday. But while late buyers are sitting on losses, the effort still raised over $1 million for the cause.
In an X post on Thursday, Runaway founder Siqi Chen said his daughter Mira was diagnosed with a type of brain tumor in September and that research and funding had “been lacking” because of how rare the condition was.
His GoFundMe page has raised 80% of its $300,000 target as of Thursday, with all proceeds going directly to research efforts at the Hankinson Lab at the Univerity of Colorado.
Chen also posted his Ethereum wallet on the X thread after user demand, later putting his Solana and Bitcoin addresses as users asked for more options.
And then Pump.Fun happened.
The platform lets anyone issue a token for less than $2 in capital, after which they choose the number of tokens, theme, and meme picture to accompany it. When the market capitalization of any token reaches $69,000, a portion of liquidity is deposited to the Solana-based exchange Raydium and burned.
A user created the MIRA token attached with a picture of Chen and his daughter, with no apparent objective except it being a token that can be traded just like any other memecoin. The user’s Pump.Fun profile shows MIRA was just one of the several tokens they created that day, with all the others failing to break a $6,000 market cap.
X user @Waddles_eth later purchased 50% of the supply and sent all of it to Chen, who boosted the memecoin on his X account.
That ensured virality for the token and sent prices from fractions of a penny to a peak of 8 cents early Thursday. The value of Chen’s token holdings went from $400,000 to over $18 million as the token went viral. It attracted a peak of $7 million in liquidity (worth in both Solana’s SOL and the memecoin) as the market became widely traded.
It attracted over $85 million in trading volumes and over 130,000 transactions, making it the most popular smallcap in the past 24 hours.
“I have been on the internet for 30 years and have seen some shit, but this is by far the craziest day of my life,” Chen wrote on X as prices rocketed. “I will be liquidating $1,000 worth of $MIRA every 10 minutes, perpetually. If change this schedule, i commit to announcing it 24 hours in advance.”
“If you want to rug it to $0, go for it – at the end of the day we set out to raise $200K and we will end up with at least $1M towards rare disease research,” Chen stated.
Community response to the whole event has been overwhelmingly positive, with several users pointing out how such memecoins can contribute to positive outcomes in the world.
Memecoins are largely based on virality, attention and community hype. They are considered non-serious among professional investors but have seen massive demand and preference in the past year compared to larger venture capital-backed crypto tokens — which are perceived as enriching rich investors at the expense of smaller retail traders.
But MIRA shifted some of the tides.
“I think memecoins are dumb and have no future and I don’t touch them. But if I wanted to make a case for them I would now know where to start,” X user @JaEsf said. “This is beautiful and quite crazy that you can do that with crypto. EVM, Solana or any chain. This is why Crypto exist! Simplify movement of assets,” said @mbaril010, another X user.
Meanwhile, @waddles_eth, the user who originally sent half the token’s supply to Chen, said the overall outcome met their expectations.
“When I saw the story about Mira and her illness, I thought it would be good to buy and send supply to you with the hopes of getting the SOL community behind a good cause on Christmas,” they said in a now-viral X post. “I’m really glad that it worked out the way that it has and I hope that the money helps to find a cure both for Mira and anyone else with her condition.”
Crypto for good may finally become a thing in the new year.
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Source: Vietnam Insider