You hate meme coin taxes, right? Every time the actual profit differs from the expectation, that's the tax, "the dog project team taxes and cuts the leeks", I also often complain 😂
But the meme coins we've made money from most likely all have taxes.
Think back: What does SHIB use for its burns? Where does BONK's community activity budget come from? Those meme projects that made us money, why could they survive the first week instead of spiraling down 🤔
Because they have operating budgets. After the first wave, they can still afford promotion, create those silly image creations & music events. But it's precisely these music and viral memes -> that make the narrative richer -> concepts go viral, get retweeted -> token price rises.
What does a meme coin without a budget look like? On the fourmeme war trenches, there are tens of thousands each day—you can see for yourself — 99% don’t survive beyond 48 hours. It’s not that the narrative fails; apart from the launchpad, most projects have empty pockets after issuance: want to build? Find KOLs for promotion? Hold a community event with rewards? Run a meme contest for traffic? No money, you can’t do anything 😮💨
The most awkward thing about meme projects is: launching a token seems zero cost, but staying alive costs money. Where does the money come from? Operations are crucial, and taxes are crucial as well.
🎩 https://t.co/nLYQTltVVQ just added two features:
1️⃣ Customizable tax: project teams can design their own transaction tax rules. A tool for cutting leeks? NO! Consider this: if DOGE had a 0.5% transaction tax automatically flowing into a community treasury back then, its ecosystem development might be ten times stronger today.
Not all taxes are malicious. The key is what the project does with the tax, how much they collect, whether the rules are transparent, and where the treasury goes. Previously the issue was that all projects followed one template—those who wanted to tax couldn’t, and those who didn’t need to tax had no option; that was the market. But now things have changed; https://t.co/nLYQTltVVQ gives the choice to the project teams.
2️⃣ Internal market tax: even in the stage when a token is just issued and not yet listed on external markets, you can set a tax. It’s like the project has an operating budget from day one, without waiting to be listed on a DEX to figure out how to make money.
👀 If you ask me, how does a junior p see it?
I think taxes aren’t necessarily bad; like contracts, they’re just tools. Tools aren’t inherently good or bad; it depends on who uses them and how they’re used.
In the future, when you see meme coins on https://t.co/nLYQTltVVQ, besides narrative concept market‑cap leaders, also look at how thoughtfully their tax settings are arranged.
Tax rate, whether the tax destination is public, and if there’s a lock‑up period. This information is probably much more useful than how many tweets the project posts ⚠️
Transparent‑tax projects ≠ good projects
But projects without even an operating budget are likely to run away right after launch 🤷
@fourdotmemezh
