[archievillain]

It's a greater fool scam.

https://en.wikipedia.org/wiki/Greater_fool_theory

Pyramid schemes, Ponzi schemes, MLMs, NFTs, Crypto, Memecoins... they're all greater fool scams. All based around playing "hot potato" with investments, where early adopters push the potato on later & greater fools.

Memecoins are the most fascinating type of it because with other schemes, there's usually some veneer of legitimacy (i.e. you gotta actually try to scam somebody). I imagine at this point everybody involved with memecoins understands they're scam, and they're essentially just gambling instead of getting scammed. Although, effectively, gambling is its own type of scam.

[lawlessone]

I think you add some stocks there too. Particularly meme stocks.

Many people "investing" in crypto don't understand that stocks/shares give you have extra value because they pay dividends and give you voting rights for the direction a company takes.

[robertlagrant]

Yes, exactly.