While traditional cryptocurrencies like Bitcoin were developed to solve specific problems, such as creating a decentralized form of currency, meme tokens are usually created for fun, entertainment, or satire. For instance, Bitcoin and Ethereum have clearly defined purposes, like serving as a digital store of value or supporting smart contracts, respectively.

On the other hand, the primary “purpose” of a meme token is often tied to a cultural reference, a meme, or a joke, and its value is primarily driven by its community's passion and interest.

Meme tokens thrive in their communities. Unlike most cryptocurrencies that gain value from use cases or technology, the success of a meme token often depends on how strong, engaged, and enthusiastic its community is. The memes, jokes, and viral trends surrounding these tokens foster a sense of belonging and collective effort to push the token's popularity and value forward.

Most meme tokens are highly speculative assets. Since they are primarily driven by hype, their prices can be extremely volatile. A single tweet from a well-known figure or a trending social media campaign can significantly impact a meme token’s value, causing rapid increases or decreases. This speculative nature stands in contrast to other cryptocurrencies, which often have intrinsic value tied to specific technology or use cases.

Meme tokens are generally cheap to acquire. Unlike Bitcoin, which can have a high cost barrier to entry, meme tokens are often available at a low price, making them more accessible to a wide range of investors, particularly those who are new to cryptocurrency or are simply looking to join a viral trend.