Meme coins are no longer just a joke in the crypto world.
A new study from Gemini shows that tokens born on the internet have become the entry point for more than 30% of new crypto users in major markets such as the United States, the United Kingdom, and Australia.
According to the 2025 State of Crypto report by Gemini, meme coins like Dogecoin and PEPE not only attract first-time investors but often serve as stepping stones to more established digital assets such as Bitcoin (BTC) and Ethereum (ETH).
These findings highlight a broader shift in investor behavior and a growing convergence between retail trends and institutional access.
Gemini report finds meme coins act as a gateway into crypto
The report draws on survey data from 7,205 respondents across six countries and reveals that meme coins are an early training ground for new investors.
In the United States, 31% of people who own both meme coins and traditional cryptocurrencies said they purchased meme tokens first.
This pattern appears in other markets as well: 30% in Australia, 28% in the UK, 23% in Singapore, 22% in Italy, and 19% in France follow a similar path.
This shift in entry behavior reflects the growing role of meme coins in demystifying wallets, decentralized exchanges, and token economics.
Gemini’s data shows that 94% of meme coin holders eventually invest in major cryptocurrencies.
That progression underlines the fact that meme tokens often function as gateways rather than endpoints in many investors’ crypto journeys.
Institutional access rises alongside meme coin popularity
The growing legitimacy of meme coins coincides with a significant institutional push into digital assets.
Gemini’s report found that 39% of U.S. investors now hold cryptocurrencies through exchange-traded funds (ETFs).
These regulated instruments have introduced new credibility to the space and have started to overlap with retail-driven segments such as meme coins.
According to CoinGecko, the combined market cap of meme coins currently sits at $74.4 billion.
What began as imitation has evolved into a meaningful vertical within the broader crypto market.
The synergy between viral meme content and specialized investment tools suggests that crypto adoption is maturing in both scale and complexity.
Political developments in the United States have added momentum. President Donald Trump has expressed support for cryptocurrencies and even proposed the idea of a strategic Bitcoin reserve.
His stance aligns with broader regulatory shifts, including approvals for spot Bitcoin ETFs.
Taken together, these factors have fostered an environment that values both the entertainment appeal of meme coins and the financial rigor of traditional crypto investments.
Community engagement now drives meme coin valuation
Industry voices increasingly frame meme coin investing as a serious pursuit.
Justin Sun, founder of Tron and advisor to Huobi Global, has commented on this trend.
He emphasized that success for meme coins requires more than viral moments—it requires genuine community engagement.
For Sun, the focus should be not just on follower counts but on real levels of participation and interest.
He described meme coin projects as needing the same degree of commitment from their communities and teams to gain traction and achieve long-term viability as other major crypto platforms.