Now I have comprehensive information to write the overview. Let me compile this into a professional research report format.
Pepe (PEPE) Cryptocurrency: Comprehensive Overview
Core Definition and Technology
Pepe (PEPE) is an ERC-20 token on the Ethereum blockchain, which is secured by the Proof-of-Stake (PoS) consensus mechanism. PEPE is a deflationary memecoin launched on Ethereum, created as a tribute to the Pepe the Frog internet meme, created by Matt Furie, which gained popularity in the early 2000s. PEPE was launched as an ERC-20 token on the Ethereum blockchain in April 2023.
Blockchain Architecture and Network Security
PEPE operates on the Ethereum blockchain secured by the Proof-of-Stake (PoS) consensus mechanism, with decentralized validators staking 32 ETH to process transactions and secure the network. As an ERC-20 token, PEPE leverages Ethereum's established infrastructure and smart contract capabilities, inheriting the security properties of the Ethereum network rather than operating its own independent blockchain.
Project History and Launch Timeline
The PEPE token was created on April 14, 2023, and grew quickly seeing rapid price growth passing a $100 million market cap by April 19, 2023. On April 19, 2023, the token saw more than $90 million in volume on Uniswap V2 alone. In late April to May 2023, the explosive surge of PEPE caused its market cap to reach a high of $1.6 billion at one point, minting millionaires out of early holders and attracting a strong community of like-minded followers.
Founding Team and Key Developers
The founders of PEPE remain anonymous, which is not uncommon in the cryptocurrency world. Although information about the team behind the project is scarce, they have successfully garnered attention using social media platforms such as Twitter to promote their meme coin and foster a community around the memecoin.
However, Pauly, also known as Jeremy Cahen, posted on X (Twitter) stating that Zachary Testa, a landscape photographer is the actual founder of one of the popular meme coins, Pepe coin, on August 25, 2023. He further revealed the identity saying that the accounts @degenharambe and @LordKekLol on X (Twitter) belong to Zachary Testa. Zachary Testa, who was born in 1997, is a marketing graduate from Arizona State University. As a professional photographer, he has a personal website featuring his work.
Tokenomics: Supply and Distribution
Total and Circulating Supply:
The full maximum supply of PEPE was released upon its launch, totaling 420,690,000,000,000 tokens. The circulating supply of Pepe is 420,690,000,000,000 tokens and the total supply is 420,690,000,000,000 tokens.
Distribution Model:
The project allocated 93.1% of its maximum supply of 420.69 trillion tokens to a liquidity pool at launch, reserving the remaining 6.9% in a multi-signature wallet for future use. At the time of launch, the Pepe team deposited 93.10% of the project's token supply into liquidity pools to allow for trading to commence. Once deposited, the Pepe team burned (permanently destroyed) the liquidity provider tokens (LP tokens), ensuring liquidity stays in the respective pools.
Contract Ownership:
Once PEPE was created, the team renounced their ownership of the token contract. This means the team who created it no longer have any control over the cryptocurrency, including the ability to modify its code.
Deflationary and Redistribution Mechanics
Pepe Coin has a deflationary mechanism where each transaction burns a small percentage of tokens, reducing the total supply over time. This can increase the value of the coin and make it more attractive. Additionally, Pepe Coin has a redistribution system where a portion of each transaction is distributed among existing token holders.
PEPE employs a redistribution system that rewards long-term stakers, offering them incentives to remain committed to the project. This approach encourages coin stability by rewarding users for holding the token rather than selling it quickly.
Primary Use Cases and Applications
PEPE appeals to the cryptocurrency community by instituting a no-tax policy and being up-front about its lack of utility, keeping things pure and simple as a memecoin. The creator(s) launched the token on the Ethereum blockchain with no partnerships, token sales, or complicated "tokenomics." Ostensibly, this would allow anyone to buy, collect, or sell PEPE—and only to do those things, without any other functionality. Other than its inherent gimmick as a meme, PEPE has no use case.
PEPE is primarily used as a medium of exchange within its designated ecosystem. It is designed to facilitate transactions and interactions within a community that appreciates the cultural and humorous value of its underlying meme concept.
Trading and Exchange Accessibility
PEPE can be traded on Uniswap (V2), Uniswap (V3), Binance, KuCoin, Huobi, Gate.io, MEXC and more. The token has since become tradable across both centralized and decentralized finance platforms.
Market Position and Valuation
Based on current market data, PEPE maintains a significant market position. The token has achieved widespread adoption across major cryptocurrency exchanges and maintains substantial trading volume, reflecting its prominence within the memecoin sector.
Community and Ecosystem
Pepe Coin's main strength is its community of supporters. It has over 529,000 followers on X as of December 2023, and a broad presence on other platforms such as Telegram, Discord, and Reddit. With a community of over 200,000 holders, PEPE is one of the largest meme coins by wallet holders.
Development Activity and Roadmap
The project laid down several plans for the future such as launching a Pepe Academy and merchandise to expand its ecosystem and maintain a good position on the crypto market. In October 2023, the official Pepe Coin X account shared that a new team of advisors would guide the project forward. The post began with an announcement that 6.9 trillion PEPE tokens worth approximately $6,000,000 had been burned and permanently removed from the project's supply.
Competitive Advantages and Value Proposition
The project aims to capitalize on the popularity of meme coins, like Shiba Inu and Dogecoin, and strives to establish itself as one of the top meme-based cryptocurrencies. Unlike some meme coins which may impose taxes on transactions, PEPE's transactions do not incur additional fees and allow users to transact without any extra costs. This promotes ease of use and accessibility for users engaging in PEPE transactions.
Risk Factors and Challenges
Pepe lacks fundamentals or technical innovation. It's prone to sharp price swings, and it has liquidity and regulatory risks. In August 2023, three ex-team members, acting as rogue developers, stole funds from the Pepe multisig wallet. They misappropriated 16 trillion PEPE tokens, which were valued at $15 million. This unexpected breach caused turmoil within the PEPE community. The tokens were illicitly transferred to several crypto exchanges, including OKX, Binance, Kucoin, and Bybit, before being sold. As a result, the value of the frog-themed PEPE tokens experienced a nearly 20% decline.
Meme Origin and Cultural Context
Pepe the Frog was introduced in 2005 by cartoonist Matt Furie as a character in his comic called Boy's Club. Pepe was depicted as a large-mouthed, green amphibian who played video games and hung out with his friends. Although most may not recognise Furie's original work, those who remember Internet culture from the 2000s and 2010s might have seen Pepe across social media.
The website that provided information about the token explicitly stated that it had no association with original Pepe the Frog creator Matt Furie.
Sources:
- https://coinmarketcap.com/currencies/pepe/
- https://weareblox.com/en-eu/pepe
- https://www.octobot.cloud/what-is-pepe
- https://ndax.io/en/blog/article/what-is-pepe-pepe
- https://www.blockchain-council.org/cryptocurrency/pepe-coin/
- https://metamask.io/price/pepe
- https://www.gemini.com/cryptopedia/what-is-pepe-crypto-and-review
- https://koinly.io/blog/what-is-pepe-coin/
- https://www.bitstamp.net/en-gb/learn/cryptocurrency-guide/what-is-pepe/
- https://nftevening.com/what-is-pepe-coin/
- https://learncrypto.com/popular-coins/pepe
- https://www.altify.app/altify-blog/a-beginners-guide-to-pepe-pepe
- https://coingape.com/education/zachary-testa-networth/
- https://blockchain.news/news/breaking-zachary-testa-identified-as-pepe-coin-founder-following-price-crash
- https://iq.wiki/wiki/pepecoin
- https://www.bittime.com/en/blog/siapa-pencipta-pepe-pepe-dan-apa-alasannya
- https://www.mexc.com/price/PEPE/tokenomics
- https://tokenomist.ai/pepe
- https://tokeninsight.com/en/coins/pepe/tokenomics
- https://academy.swissborg.com/en/learn/what-is-pepe
- https://bitcoinist.com/pepe-coin-faq-crypto-hot-new-meme-coin/
- https://www.cube.exchange/what-is/pepe
- https://en.cryptonomist.ch/2024/12/15/can-pepe-coin-compete-lightchain-ais-real-world-use-cases/
- https://coins.ph/academy/what-is-pepe-everything-you-need-to-know/
- https://99bitcoins.com/cryptocurrency/pepe-review/
- https://www.bitget.com/price/pepe/what-is
- https://www.calibraint.com/blog/pepe-meme-coin-development-guide
- https://plisio.net/blog/pepe-coin