Avalanche Shares Details on Which Memecoins it Will Buy

The Avalanche Foundation has provided insights into its strategy for acquiring meme coins under its "Culture Catalyst" initiative

The foundation, which oversees the Avalanche blockchain, has already initiated purchases using its $100 million fund dedicated to cultural initiatives, according to a recent CoinDesk report.

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Eligibility Framework

The Avalanche Foundation outlined its eligibility framework for selecting meme coins. The rules are stringent, ensuring that only meme coins independent of their creators and native to the Avalanche blockchain qualify. Here are the rules:

Fairly Launched: Community coins must adhere to principles of equity and egalitarianism during launch. Key requirements include renouncing ownership of the community token contract, burning or adequately locking initial liquidity, implementing whale protection measures, and ensuring no allocation is reserved for the team.

Snipe Bot Resistant: To mitigate the risk of snipe bots during launch, community coin developers are encouraged to implement measures such as providing a head start or whitelist opportunities to genuine community members.

Secure: Community coins should embody best practices throughout the development process, including verified contracts, audits, community due diligence, and the use of automated tools like DexScreener.

High Holder Count: A community coin must be widely held by a large number of users. There should be at least 2,000 unique holders.

Low Concentration: Whales should not possess large portions of the coin supply. The top 100 token holders (excluding exchanges) should own less than 60% of the total supply.

Broad Liquidity Provisioning: Measures like locked liquidity pools and transparent liquidity management at launch are essential. There should be at least 50 or more liquidity providers unless the majority has been renounced or burned.

High Liquidity: Community coins should focus on a large initial liquidity pool and offer incentives for liquidity providers. It is crucial to have a total liquidity of at least $200,000 or equivalent.

Minimum Lifespan: The coin should have been in existence for a minimum period to allow the community to understand it. It should be in existence for at least one month.

Minimum Market Cap: Community coins should maintain a strong market presence with a substantial sustained market cap. The fully diluted market cap should be $1 million or greater.

Daily Trading Volume: The project should demonstrate active community interest, as indicated by metrics such as daily transaction volume. The average daily trading volume should be at least $100,000 on Avalanche eco DEXes for at least two weeks.

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Foundation's Cultural Endeavor

The Culture Catalyst initiative, launched in March 2022, aims to empower creators, spark innovation, and promote blockchain adoption. Worth noting, several Avalanche-based meme coins, such as COQ, husky (HUSKY), and shibx (SHIBX), have already gained prominence within the community

OKB, the native token of the OKX exchange, experienced a sudden and sharp plunge on the afternoon of January 23, UTC+8. The token's value plummeted from $52 to a low of $25 before gradually stabilizing. The rapid drop has raised concerns within the cryptocurrency community.

The sudden decline ed OKX CEO Star Xu to address the matter. While specific details were not disclosed, Xu assured the community that the OKX team is actively investigating the recent volatility in OKB prices. The CEO committed to providing a report on the matter at a later time.

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Spotlight on Recent Deposits

These deposits occurred approximately a week before the sudden plunge, leading Spot On Chain to label the move as "suspicious." The platform highlighted that these wallets may belong to a single entity, but the connection to the subsequent price drop is unclear.

Amid the investigation, HashKey Group, a leading digital asset financial services group in Asia, and OKX have announced plans to collaborate in promoting compliant virtual asset innovation and industry development in Hong Kong.