A cryptocurrency trader has reportedly transformed a mere $27 investment in the Pepe memecoin into a staggering $52 million profit, according to blockchain analytics firm Lookonchain.
The anonymous trader, referred to as a “$PEPE whale,” had been dormant for 600 days before transferring all 2.1 trillion Pepe tokens — worth $52 million — to a new address, Lookonchain revealed in a December 14 post on X (formerly Twitter). This marks an extraordinary 1,900,000x return on investment.
This isn’t the first time Pepe has created massive wealth for investors. Earlier in May, another trader turned a $3,000 investment into $46 million, achieving a 15,700x return.
Pepe Among 2024’s Top Performers
Memecoins have proven to be some of the best-performing cryptocurrencies in 2024, with Pepe rallying over 1,600% year-to-date, making it the second-best performer among the top 100 cryptocurrencies.
Savvy Pepe trader transaction. Source: Lookonchain
It trails only the Mantra (OM) governance token, which soared an incredible 16,600% this year, according to Cryptobubbles data. Meanwhile, Solana-based meme token Dogwifhat emerged as the third-best performer, climbing 1,400% year-to-date.
Max Schwartzman, CEO of Because Bitcoin, referred to Pepe as the “king of this cycle,” likening its success to the role Dogecoin played in previous crypto bull runs.
Memecoins Reflect Disillusionment Among Young Investors
The continued rise of memecoins, despite their lack of intrinsic utility, has been attributed to growing disillusionment among younger investors. Hao Yang, head of financial products at Bybit, compared the trend to punk rock, calling it a reaction to the diminishing financial opportunities faced by the younger generation.
However, memecoin trading comes with high risks. During a $1.7 billion crypto market liquidation on December 10, some leading memecoins were among the worst performers, highlighting the volatility of this market segment.
Despite the risks, the extraordinary returns from tokens like Pepe continue to attract speculative traders seeking life-changing profits.
