TL;DR
A whale turned a $3,800 investment in SHIB into over $6 million, with remaining holdings valued at $52 million. Another trader previously saw a 628x ROI from a $2,500 SHIB purchase, potentially gaining $1.58 million.
The meme coin sector is full of tokens that have experienced colossal price increases in the past few years, thus giving savvy traders the chance to make substantial profits. Among the notable examples is Shiba Inu (SHIB), which erased multiple zeroes from its valuation in the last years.
Lookonchain recently revealed the story of one whale who purchased more than 15 trillion tokens in the summer of 2020. The individual spent a mere $3,800 to acquire the stash.
Not long ago, the trader sold 250 billion SHIB for over $6 million. They still have 2.15 trillion tokens left, which, calculated by current rates, equals approximately $52 million.
Earlier this year, CryptoPotato reported the case of another trader who got lucky with SHIB. The person in question spent approximately $2,500 to purchase almost 50 billion tokens in 2021. After 30 months of staking, they withdrew 40.5 billion assets and deposited them into Coinbase. The individual could have made a profit of around $1.58 million (at the time) should they have decided to sell the stash, representing a gain of 628x.
Shiba Inu is not the only meme coin that helped some traders make impressive profits. One person purchased 170.2 billion PEPE coins at the end of October 2023 and sold them for almost $2 million in USDC earlier this year. The return on investment (ROI) is a whopping 886%, while the total profit is $1.77 million.
In addition, a trader who bought 416.8 million Cat in a Dogs World (MEW) tokens in July for $2.42 million recently sold them for 16,270 SOL ($3.94 million), securing a $1.52 million profit.
Another individual spent only $158 worth of SOL to purchase 12.4 million CHILLGUY tokens. As of the moment of this writing, the stash equals approximately $2.5 million.
Dealing with meme coins can result in significant profits but also carries the risk of major losses. These assets often rely on trends and generally lack utility or intrinsic value, making their prices highly susceptible to sharp declines in a short time.
Those considering investing in meme coins should follow basic guidelines to minimize risks. This includes investing only what they can afford to lose and thoroughly researching the project beforehand.