Cake Monster ($MONSTA) Is Changing the Meme Coin Game
Cake Monster has gamified the meme coin and they’re tapping into investor psychology in a way that will change the way meme coins are made. It’s been proven that the more interaction a customer has with a product, the more brand loyalty they’ll demonstrate and this is why meme coin communities incentive engagement and encourage promotion, to strengthen sense of belonging and encourage the adoption of brand identity. Dogecoin, Shiba and Safemoon are brands just like Nike or Apple, and because personal success is so closely dependent on other people buying the coin, the “us” attitude is promoted, and a community is born.
For a typical trader, price is the measure of success — my success as a trader is directly tied to making x% profits or selling at x price, and when the price goes down, those who aren’t engaged in the community echo chamber are more likely to get scared and sell. By awarding holders with a share of the Cake Vault proportionate to the coins in their possession in two years, Cake Monster has not only incentivized holding but redefined the measurement of success — now buyers aren’t looking at the price so much as the calendar as there is a promised payoff in the end. This isn’t terribly different from HEX or a certificate of deposit.
The app reinforces this by tracking personalized performance, and the metrics displayed are intended to inspire competition, displaying your investor rank and providing a notification when your rank changes. Watching the number of holders increase neutralizes the anxiety people experience watching the price declines, and there’s a popup every time someone buys.
Within the moment of a panic sell, a trader believes the coin is going down in value, he’s going to lose money, it is an emotional decision not one made in fact, and this app, in a lot of ways, fulfills the reassurance needs that one would typically get from integrating with the community. Gamification is 75% psychology and 25% technology, and regardless as to the legitimacy of the project, they saw a problem and found a brilliant way to fix it.
-Cass
