In a cryptocurrency market often defined by complex technology and promises of utility, a new token is capturing attention by embracing its own perceived lack of purpose. The USELESS coin has surged in popularity, reaching a valuation that briefly topped $100 million by ironically leaning into the very criticism leveled against many digital assets. This memecoin has cultivated a cult-like following by positioning itself as the most honest token on the blockchain—one that derives its value purely from community belief and market dynamics, without any pretense of a real-world use case. The narrative is simple: if critics argue all crypto is useless, then a token named USELESS is the ultimate, most transparent play.

USELESS Coin: The Ultimate Memecoin Narrative or a Market Absurdity?

The meteoric rise of USELESS highlights a potent trend in speculative trading, where narrative and community sentiment can eclipse fundamental value. Unlike its predecessors like Dogecoin or Shiba Inu, USELESS lacks a recognizable mascot, opting instead for a simple golden coin logo. Its appeal lies in its self-aware mockery of the memecoin space. As one of its most prominent backers, the trader known as Unipcs, stated publicly, “Every memecoin is technically useless... yet here we are, with one actually called USELESS leading the pack.” Unipcs, who famously turned a small investment into over $20 million trading BONK derivatives, invested $382,000 into USELESS, acquiring 2.8% of the total supply. At its peak, this position was worth over $2.3 million, demonstrating the immense, albeit volatile, potential of narrative-driven assets. For traders, USELESS represents a pure play on market psychology. Its value is a direct reflection of attention and belief, a flywheel effect where rising prices generate more absurdity, which in turn attracts more capital.

The Venture Capital Conundrum: Are Ponzi Schemes Strangling Web3 Innovation?

While memecoins like USELESS operate on transparent absurdity, a more insidious issue plagues the broader Web3 ecosystem: venture capital models that prioritize rapid exits over sustainable growth. There is a growing concern that many VC-backed projects function like sophisticated Ponzi schemes, where early investors are subsidized by a constant influx of new retail buyers. According to data from Crunchbase, global venture financing fell to $23 billion in April, yet a significant portion of this capital continues to fund token deals designed for quick liquidity rather than long-term product-market fit. This structure often involves short vesting schedules, such as one-year cliffs and two-year full vesting, which allow insiders to cash out long before a project proves its viability. This creates a market flooded with “zombie protocols” and leaves later investors holding worthless tokens.

Broader Market Context and Trading Opportunities

Amidst the memecoin frenzy and concerns over VC practices, major cryptocurrencies are showing signs of steady momentum. Solana (SOL) has demonstrated notable strength, with the SOL/USDT pair rising over 2.6% to trade around $151.89. It pushed to a 24-hour high of $153.67, indicating a key resistance level for traders to watch. A decisive break above this could signal further upside potential. Similarly, Ethereum (ETH) has seen positive movement, with the ETH/USDT pair climbing 2.06% to $2,571. The asset tested resistance near $2,603, and sustained volume could support a push towards higher targets. The ETH/BTC pair also gained 2.84%, suggesting Ethereum is outperforming Bitcoin in the short term. For traders, this divergence is critical. While speculative assets like USELESS offer high-risk, high-reward opportunities driven by sentiment, established players like SOL and ETH provide more structured trading environments based on technical levels, volume analysis, and cross-pair performance. The key is to balance portfolio exposure, recognizing that the capital flowing into memecoins is often drawn from profits made in more stable assets during periods of market strength.