Coinbase executives published an article expressing bewilderment over the memcoin craze.
In recent weeks, investors have pounced on cryptocurrencies and non-fiat tokens (NFTs), bringing the market to a peak not seen since 2021.
The number of tokens with low market capitalization is growing, transaction fees in large blockchains are also increasing.
Coinbase mentioned a token named after the Pepe the Frog meme, stating that trading such crypto-assets is extremely risky and many of them could be fraudulent projects.
The PEPE token is issued in honor of Pepe the frog, who first appeared on the Internet about 20 years ago.
Over time it has been used by the alternative right as a symbol of hatred. Last weekend, the capitalization of the meme-token PEPE exceeded $1 billion, but soon its price collapsed by more than 50%.
Nevertheless, PEPE is one of the few meme tokens, along with DOGE and SHIB, which is among the top 100 cryptocurrencies by market capitalization.
The cryptocurrency community, especially PEPE supporters, criticized Coinbase for making bad remarks about the much-loved frog.
Many have even asked Coinbase and its CEO Brian Armstrong to apologize and remove the negative comments about PEPE.
In connection with this, the hashtag “#DELETECOINBASE” became popular on Twitter, so the community is trying to warn the exchange to delete their accounts.
Many users noted that unlike Coinbase, Gemini Exchange announced support for PEPE and added the token to the listing.
Gokhshtein Media founder David Gokhshtein suggested that Coinbase may be losing its customers to PEPE disrespect, and popular digital artist Beeple posted a photo of Pepe’s army taking over Coinbase.
It is likely that Coinbase will not add trading pairs with PEPE, despite requests from users.
In addition, the exchange had a misunderstanding with the U.S. Securities and Exchange Commission (SEC).
In March, the regulator warned Coinbase that it could sue it for selling unregistered securities.