MicroPets is a relatively new cryptocurrency token on the Binance Smart Chain. This cryptocurrency has seen a lot of attention because it has had a massive price increase over the past month combined with the fact that it involves memes.
Anyway, this article will explain what MicroPets actually does and whether or not it is a good investment. As usual, this is not financial advice – we are simply discussing a cryptocurrency token. You should do your own research before making an informed investment decision.
What is MicroPets?
MicroPets is an NFT/staking project on the Binance Smart Chain. The basics are that the project allows users to purchase a meme coin NFT using the BEP-20 PETS token.
Now, the NFT is purchased by buying a “crate” that contains a random NFT. The NFT can subsequently be staked. The rarer the NFT; the higher the staking rewards.
The NFTs themselves are randomly generated from a sort of template created by a videogame animator. We must admit that the NFT artwork looks really great. And we are also a big fan of the staking element combined with the randomness element.
Will your crate contain a rare NFT worth a lot of money? Or will it be a common NFT?
We cannot state how much we love that element. In fact, the gambling element likely caused the massive price increase.
MicroPets ($PETS) Tokenomics
The tokenomics of PETS are relatively straightforward. There is a total supply of 10 trillion tokens, which is high but common in the meme coin category of cryptocurrency.
There is a 3% fee for buying and a 12% fee for selling. 2% of the sell fee is added to the liquidity pool while 10% is used for marketing and buying and burning tokens.
MicroPets Future Plans
MicroPets has a promising roadmap with plans to release a pay to earn game, which will give the NFTs some actual use. The tokens will likely serve as the in-game currency if the game is ever released.
The team also plans to release special edition crates and a yield farm at some point in the future.
This is all fairly standard stuff in the industry. It is also important to note that it is all just talk at the moment. The team has not actually released anything other than the NFTs and staking.
Is MicroPets a Good Investment?
Whether or not MicroPets is a good investment comes down to how much faith you have in the meme coin industry. We know, MicroPets is not a meme coin by the strict definition, but it certainly relies on the industry for its marketing.
Anyway, if you have faith that meme coins are something here to stay, then MicroPets is likely a good investment because it tokenizes the cute meme coin logos. On the other hand, if you are bearish on the future of meme coins and NFTs, then you should probably shy away from MicroPets.
Another thing worth mentioning is that MicroPets has already experienced a major run up and crash in price. It was a good investment before the run up, but after the crash is where the real test comes. Can the team garner enough buzz to see a second price increase?
As a rule, most of these meme coin projects only have one major run up, if they even have that, before fading to zero. It is very difficult for these projects to maintain enough interest to have a consistently high price.
We can add that this project is on Binance Smart Chain, which is a blockchain that has a reputation for rug pulls (it’s called Binance Scam Chain for a reason) and fickle investors that jump from project to project.
That is a huge negative in our opinion. And one that would make us use extreme caution before investing in a random project like this.
With that out of the way, we do like that the project uses memes, NFTs, staking, and a gambling element. We would like to see a little more development on the gaming side of things before making an investment, though.
It would certainly be a worthwhile investment if/when the game is fully released.
That covers it for whether or not MicroPets is a good investment. If you believe in the power or memes, then this is certainly the project for you.
Our main gripe is that the team needs to roll out the gaming aspect of this relatively quickly before the project fades to obscurity. If the team can roll out a game for these NFTs, then this project will jump to the top of the list as a solid investment on the Binance Smart Chain.