- Binance launches Pepe promotional loan offer.
- The Pepe price rises to a 20-week high.
- Declining on-chain metrics may hinder further gains.
Memecoins are often panned for lacking real-world utility outside of internet subculture. However, Pepe is bucking the trend after Binance announced a new promotion using the PEPE token for collateralized lending. The exchange’s promotion coincided with a 20% single-day rally, lifting the memecoin to a 20-week high.
PEPE Soars to 20-Week High
The world’s largest exchange by trading volume, Binance, is offering a promotion for users who use PEPE as loan collateral. Users who borrow at least 30 USDT equivalent of any token on Binance Loans using PEPE as collateral will be eligible to receive a 10 Million PEPE Locked Products position, earning 10% APR accessible after 150 days.
The launch of the promotional deal corresponded with a subsequent surge in the Pepe price, moving to a 20-week high of $0.00000169 on December 5. Since November 30, PEPE has closed five consecutive daily green candles, growing 50% in value and 160% from the yearly low in late September.
Spurred by this strong run of form, Pepe supporters, including angel investor “Mckenna,” hold high expectations for further price rises to come. However, despite recent price increases, Pepe is 62% below its all-time high price of $0.00000431, achieved in May 2023, indicating that the memecoin has some distance to go before recapturing former glories.
On the Flipside
- Some Pepe devs revolted in August, leading to $16 million of token outflows to the departing team members.
- Memecoins typically suffer more extreme volatility than established “blue chip” tokens.
- The terms and conditions of Binance’s Pepe promotion stipulate certain restrictions, including the offer not being available in all jurisdictions and the offer being available to fully KYC’ed users.
Why This Matters
Binance’s Pepe Loan promotion demonstrates that Pepe is evolving by expanding its use cases and appeal beyond memes. This is a trend with memecoins, which recognizes that real-world use adds to sustainability and long-term viability.
Learn more about the positive effect of Binance Earn on the PEPE price here:
PEPE Leaps Back Into TOP 100 As Devs Send 418.4B To Binance
Read about Bitcoin and gold’s divergent paths following strong rallies from both commodities:
Wild Bitcoin and Gold Performances Catch Market Off-Guard