Cyber Capital founder deems meme coins a form of gambling

Justin Bons enraged the crypto community by also classifying Bitcoin as a meme coin

Justin Bons, the founder of Cyber Capital, has said that investing in meme coins is gambling. He set off a storm among crypto enthusiasts with this remark and divided opinions throughout the community.

Bons said that people who trade meme coins are not investors. True investors do their homework before making any investment decisions based on solid fundamentals, he added. Meme coins lack these essentials by their very nature: they are memes, not real financial assets, according to him.

X (formerly Twitter) went wild after his remarks were made in an X post. Many users expressed their anger and disagreed with him. Podcaster Hotep Jesus challenged his authority to change definitions by calling meme coins gambling tools arbitrarily without providing any reason or evidence for such categorization.

But Bons did not stop at meme coins. He went ahead and labelled Bitcoin a “meme coin”. He reminded everyone about what he said during an episode of Hotep Jesus show that he also considers Bitcoin (BTC) a meme coin referring back to his statement saying BTC has no strong fundamentals.

This statement only added fuel to the fire as it angered those who firmly believe in Bitcoin’s value proposition within the crypto space thereby causing controversy within different sections of the community.

When asked about his investments Bons revealed that Layer 1 assets and decentralized finance (defi) were his main focus areas because they have better foundations which make sense logically from an investment standpoint.

Warren Buffett has been known for long criticizing the intrinsic value of cryptocurrencies terming them as gambling tokens lacking real worth or backing behind them – something echoed by Bons, too.

The chief technology officer of Andreessen Horowitz, Eddy Lazzarin, has also previously referred to meme coins as “risky casinos.” Lazzarin was concerned that meme coins undermine the reputation of the broader cryptocurrency market.

However, there is also an opposing argument. Many have used Bitcoin as a hedge against inflation. Anthony Scaramucci of SkyBridge Capital, pointed out that Bitcoin outpacing inflation is proof of its value.

Additionally, coins such as Dogecoin, Shiba Inu or Dogwifhat continue doing well despite such negative comments made by the likes of Buffet or Bons.

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Written by Silvia Pavlof

Silvia has explored various forms of writing, ranging from content creation for social media to crafting movie scripts. Drawing on her experience as a journalist specializing in the gambling sector, she is currently investigating the impact of cryptocurrencies and blockchain on traditional gambling and iGaming.