The memefication of the economy holds cultural significance

by Zain Jaffer

Memes were once nothing more than internet jokes, amusing but inconsequential. But they’ve since morphed into a more consequential element of the virtual economy: a digital asset class, a cultural currency, and in some cases, even a financial instrument. From meme coins to viral content tradings, memes are moving beyond digital banter and into economics. Some might write off meme coins as pointless or not ‘real’ investments. But their value is taking a truer form with the developments in Web3, especially with younger generations.

Oxford defines a meme as “an image, video, piece of text, etc., typically humorous in nature, that is copied and spread rapidly by internet users, often with slight variations.” Memes as we know them now started out as funny slices of life photos and images that could break the seriousness of life. But by the traction they’ve gained since the early 2010s, it’s quite telling that these can also be inspirational or emotionally laden things that make an impression on people

The fact that it is digital is also part of the reason why it spreads like wildfire. TikTok, the app that was briefly banned in the US but has since been reinstated, is one example of a digital app that has fast-tracked the virality of meme culture.

This cultural stickiness has translated into financial markets, where meme coins are now a staple of the crypto landscape. In crypto, meme coins gain traction in online communities and skyrocket in value based purely on their cultural appeal. Once you know how to buy or spread it, there are not many restrictions in terms of geography and class status as the Internet is basically everywhere.

Critics say meme coins lack utility. Unlike stocks which are claims to a stream of future revenue cash flows that are discounted to a present value, bonds which are loans with interest from governments or companies, real estate which you can see and touch, or gold that can be held in one’s hand, these digital memes have “no value whatsoever.”

While these critics have a point if we use the vantage point of traditional finance and older generations like Boomers and Gen X, for Gen Z and younger generations, memes do have value. Crypto-native communities have assigned financial worth to them, using blockchain technology to tokenize, trade, and invest in meme-based assets.

We have to remember that these future generations have never really known what it feels like to re-spool a cassette tape or clean an LP album with cotton and water. They sometimes choose Airbnb and Uber over vacation homes and owned cars. In short, the only thing they have known these past few years is a digital lifestyle. And in this digital-first world, meme coins have emerged as the crypto equivalent of collectibles. Traded, speculated on, and in some cases, even held as investments.

For younger people, memes are as real to them as baseball cards and GI Joe and Barbie dolls were to older generations. Perhaps if taken to an extreme these memes really do not contribute to our economy in the same way that a factory that makes cars, airplanes, and chips does. Or a bridge that transports people to work or leisure places

However, in the same way older generations used to collect stamps, or watch a baseball game, a film, or a play, memes could be a way for younger generations to regain and retain their sanity in a world increasingly threatened by wars, threats of job loss by Artificial Intelligence (AI), and other depressing events. Maybe we should think of these memes as digital baseball collector cards for Gen Z. They may not build bridges, but they do build culture — and that, in itself, has economic weight.

Besides, meme coins are already carving out a bigger role in the digital economy, even drawing support from prominent figures. Most notably, President Donald Trump’s meme coin launch just before his January 2025 inauguration signals a shift that can’t be ignored. Say what you will about the politics of it, but a U.S. president’s actions historically hold global influence. If a sitting president is embracing meme-driven finance, it speaks volumes about how deeply embedded this phenomenon has become. In the crypto world, there are the Doge, Shiba, Pepe, Wif, Bonk, and perhaps several hundred thousand other meme tokens.

Maybe it’s time to stop dismissing meme coins as digital fluff and recognize them as cultural assets. If photos of dogs, cats, frogs, and others are bringing together massive communities, inspiring financial movements, and shaping online culture, then their impact is real—whether or not traditional finance approves. At their core, memes operate like digital-era collectibles, much like baseball cards or rare vinyl records once did. People assign value to what they care about, and for Gen Z, memes are a defining part of their cultural landscape. We could perhaps view it simply as a new form of entertainment spending in much the same way we buy sports, music, or film memorabilia.

The future of finance and culture is being shaped by the internet, and memes sit at the heart of this transformation. Whether through viral content, meme stocks, or digital currencies, their ability to generate attention and drive engagement is undeniable. They may not fit into traditional economic models, but that doesn’t make them worthless. If value is determined by what people are willing to exchange, then memes are no small part of the fast-changing digital economy. Meme coins are helping redefine it.

Author Bio

Zain Jaffer is an entrepreneur, investor, and early adopter of emerging technologies, including blockchain and cryptocurrency. He is the CEO of Zain Ventures, which manages over $100 million in assets across real estate, technology startups, and private equity. His background in tech entrepreneurship, including founding and scaling Vungle to a $780M exit, gives him a deep understanding of how transformative technologies evolve from niche markets to mainstream adoption.