According to @KookCapitalLLC, the USELESS memecoin has surged to a $100 million valuation by embracing a narrative of being entirely without utility, a move that backers see as the ultimate, most honest form of memecoin. The analysis highlights that one major supporter, Unipcs, invested $382,000, now worth over $2.3 million at its peak, arguing the token is undervalued compared to multi-billion dollar 'useless' peers like Dogecoin (DOGE) and Shiba Inu (SHIB). However, the source also issues a stark warning that this trend is symptomatic of a broken Web3 funding model dominated by 'Ponzi VCs' who prioritize rapid token exits over building sustainable products. This model, described as a 'rolling Ponzi scheme', is attracting increased regulatory scrutiny, evidenced by a recent 97-month prison sentence for a crypto platform co-owner. While market data shows active trading in assets like Ethereum (ETH) around $2,514 and Solana (SOL) at $147, the analysis argues the industry's future is at risk unless capital shifts from hype-driven churn to funding genuine, long-term utility with stricter vesting schedules.

According to Lookonchain, Unipcs (@theunipcs) invested $381.9K to acquire 28.08 million USELESS (USELESS) tokens, now valued at $2.4 million, resulting in an unrealized profit of over $2 million. Despite this significant gain, Unipcs's overall wallet remains in deficit, as he holds positions in 48 different tokens and 44 of these are currently at a loss. Only USELESS has delivered considerable profits, highlighting the volatility and risk diversification challenges in altcoin trading. This situation underscores the importance of portfolio risk management for crypto traders and the outsized impact that a single successful altcoin pick can have on overall portfolio performance. (Source: Lookonchain, June 16, 2025)