From an economist’s perspective, token burns can be an effective scarcity mechanism, but their impact depends on broader market dynamics. A $1 million burn may reduce supply, but if demand isn’t organically increasing, the long-term effect on price could be minimal. Many meme coins have attempted similar moves, only to see short-lived spikes followed by stagnation.
What really matters is utility and adoption. Without real-world use cases or sustained investor interest, a burn alone won’t create lasting value. Projects that integrate demand-driven mechanisms like staking, governance, or index-based exposure tend to hold stronger over time.
That’s why
Meme Index ($MNDX) takes a different approach. Instead of relying solely on hype and burns, it provides diversified exposure to top meme coins, balancing risk while capitalizing on market trends. True value comes from strategy, not just supply reductions.