Social trading has completely changed the way people trade memecoins. The edge has shifted from finding good trades to having enough influence to create them.
Callout rewards are only accelerating and institutionalizing that shift, making it more profitable to get others to trade than to trade yourself.
What happens when everyone is incentivized to call and fewer people actually want to trade?
It’s basically rewarding the extraction of value from the same participants the entire market depends on to survive.
And it’s not like I’m saying this out of jealousy or anything. I have a large enough following to benefit from this system myself, but I genuinely hate what the market has become, and I don’t think it’s healthy.
I used to love trading, but the current market structure has made it pretty much untradeable. At this point, it feels -EV to actually trade rather than just optimize for callout rewards and I know I’m not the only one that feels this way.
I honestly didn’t see it at first but it’s clearly unhealthy for the space to be so dependent on a single platform that they are able to introduce incentives that fundamentally change how people participate in the market.
before and after social trading.
i'm one of the OG traders in this space. i used to print a lot and was one of the best traders.
back then, all i had to do was find a good narrative, ape, work on my bags, and HODL.
but since july, when big names started joining this space, it's been nothing but losses.
at first, i thought i was the problem, but then i realized almost everyone in my circle was going through the same thing.
now i understand that the game has changed.
it's no longer about narratives. it's all about wallets and big names.
only the big names on pf apps seem to be making money while everyone else keeps losing.
pumpfun has always tried to bring normies into this space, but how do you expect them to stay when all they do is lose money?
imagine being a normie trying memecoins for the first time. you come here to have fun and try something new, but all you get is losses.
of course you're going to leave.
and it's not just normies. even OG traders like me are thinking about quitting this space if pumpfun keeps going in this way.
we came here for the memes, narratives, and fun. not to be exit liquidity for big wallets.
@elonmusk the world’s richest man just listed his biggest fears for america, and somehow housing, groceries, wages, and health care didn’t make the list. tells you everything
one of the best trading stories i've heard
great example of why it's so important to choose your circle wisely if you want to be successful in this space
also nyhrox is one of the coldest traders out rn