Bonk (BONK), sometimes called “Bonk Inu”, is a memecoin cryptocurrency on the Solana blockchain. Benefiting from a significant community craze, BONK ranks alongside the most well-known memecoins such as Dogecoin, Pepecoin and Dogwifhat. Discover how BONK differs from other memecoins thanks to its more developed ecosystem.
What is BONK crypto?
The BONK is a memecointhat is, a cryptocurrency that derives its value from the engagement of its community, rather than from the underlying technological utility.
This token is inspired by the original BONK meme featuring a dog, Cheems, getting hit in the head with a baseball bat.
The BONK memecoin was born in the heart of the December 2022 bear market when Solana's SOL crypto was trading around $8 (a 97% drop from its ATH of $260).
The BONK token was distributed on Christmas Day via airdrop to the Solana communityallowing many users to become millionaires when the price of the BONK token soared.
This airdrop caused a lot of noise in the ecosystem and allowed the BONK token to quickly gain popularity in the crypto world.
The BONK memecoin is present on 11 different blockchains, has over 690,000 holders, and is listed on 41 centralized and decentralized exchanges.
But why is BONK so popular? The BONK token ecosystem goes far beyond the simple memecoin phenomenon. This project is built around several tools that play in favor of its growth.
BONK SWAP
BONK Swap is a decentralized exchange (DEX) built on the Solana blockchain. It specializes in memecoin trading, offering a tailor-made platform for these community tokens.
BONK BOT
BONK BOT is a Telegram bot designed to simplify interaction with the Bonk ecosystem. It allows users to purchase BONK tokens directly on Telegram, eliminating the need to switch apps. Additionally, the bot offers other features like tracking token prices, setting price alerts, and participating in airdrops.
BONK REWARDS
BONK REWARDS is a program that incentivizes users to lock their BONK tokens in order to earn rewards from various products of the BONK ecosystem such as BONK BOT, SVB (Solana Validator Business) or BONK SWAP.
In short, these 3 tools play a crucial role in the BONK ecosystem. BONK SWAP allows you to trade memecoins, BONK BOT makes it easier to access and use BONK, and BONK REWARDS incentivizes users to support the growth of the ecosystem.
What is BONK crypto used for?
Unlike most memecoins, the BONK token has a few utilities that contribute to its long-term success.
Here are the unique features of BONK:
- A burn mechanism: With each transaction on Bonk Bot, a small percentage of tokens are burned, gradually reducing the total supply of BONK in circulation.
Additionally, to increase the token’s value through scarcity, several community initiatives have allowed BONK tokens to be burned. For example, in January 2023, developers burned 5% of the total BONK supply.
As of this writing, over 6 trillion BONK have been burned in total (roughly 6% of the total supply).
- Bonk DAO : The Bonk DAO is responsible for decisions regarding the future development and governance of BONK. All BONK token holders can participate in the Bonk DAO by voting on proposals or submitting their own ideas.
- A redistribution system : Via Bonk Rewards, a portion of the fees from each transaction is redistributed to BONK holders. This principle encourages the long-term conservation of the token and allows users to accumulate BONK passively.
- Integration into DeFi and NFT ecosystem : BONK has been integrated into various DeFi protocols (Wormhole, Raydium, Solend…) and NFT marketplaces (Bonfida, Bandit…), giving it additional utility and increasing its adoption.
What are the Tokenomics of BONK?
The BONK token was launched with a maximum supply of 100 trillion tokens. The initial distribution of BONK was designed to support the Solana community and encourage adoption of the token:
- 21% was distributed via airdrop to holders of 40 active NFT projects on Solana.
- 21% was allocated to 22 project contributors, with a 3-year lock-in period.
- 15.8% was reserved for the BONK DAO.
- 15.8% was distributed to Solana network participants via airdrop.
- 10.5% was allocated to NFT artists and collectors.
- 5.3% was allocated to Solana developers.
- 5.3% was used for liquidity needs at token launch.
- 5.3% was reserved for marketing promotions.
As a memecoin, BONK is particularly sensitive to market movements and can therefore be affected by very high volatility. Although this crypto differs a little from its peers thanks to its ecosystem of Web3 products, BONK is still a meme coin. You should be fully aware of this if you want to acquire it.
If you still want to buy BONKhere are the steps to follow on Bitpanda, a secure and regulated platform in France (PSAN):
Get your €50 bonus with Bitpanda!
- Create an account on Bitpanda (affiliate link) and confirm your KYC;
- Deposit euros to Bitpanda via bank card or transfer;
- Once your euros are on Bitpanda, click on “Trade” then on the “Buy” button;
- Search for the BONK token then enter the amount of your purchase before clicking on “Go to summary”;
- If everything is correct, click on the button “ Buy now » to buy the BONK crypto;
- Congratulations! You have purchased BONK!
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Who created the BONK cryptocurrency?
The creation of BONK is attributed to a team of 20 Solana developers who are not publicly known. They launched this token to revitalize the Solana ecosystem after the collapse of the FTX platform.
Regarding Bonk DAO, the team manages over 15% of all BONK tokens, making it the largest holder of this memecoin.
As part of the project's governance, they voted to use BONK tokens in hackathons, liquidity pools, and partnerships within the Solana ecosystem.
Recently, Bonk DAO made headlines by investing in Colosseum, a fund dedicated to supporting projects built on Solana.
Our opinion on the BONK memecoin
In short, BONK is a memecoin that helped revitalize the Solana ecosystem after a difficult period marked by the collapse of FTX. With a dedicated team of developers and strong community support, BONK quickly established itself as one of the most popular memecoins in the crypto ecosystem.
BONK's success is based on several key factors: a token burn mechanism that reduces the circulating supply over time, fair distribution through a massive airdrop, and integration into various DeFi and NFT projects.
Additionally, the Bonk DAO plays a crucial role in making strategic decisions for the future development of the token, including investments in promising projects like Colosseum.
However, despite these characteristics that give it more utility than other memecoins, it is important to remember that, like all tokens of this type, BONK is highly speculative and subject to high volatility.
In conclusion, BONK represents an interesting opportunity in the memecoin world, especially for those who believe in the resilience and growth of the Solana ecosystem.
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I first immersed myself in the world of blockchain in 2016, following a captivating discussion with a friend about Bitcoin. My journey since then has been driven by a constant quest for technical innovation and the development of revolutionary solutions that redefine our interaction with technology.
Ambroise Lalloz
18 articles
