Vine Meme Coin Soars As Elon Musk Considers Resurrecting App

A meme coin launched by a cofounder of Vine has had a lucrative start, following Elon Musk’s suggestion that the app could soon make a comeback.

On Wednesday, Rus Yusupov, one of three founders of the now defunct short-form video app, announced the launch of $VINE. Within hours, the token’s market capitalization had surpassed $200 million, and one crypto trader speculated this could soon reach $500 million.

As of 7 a.m. ET, the token is trading at just over 22 cents, and boasting a market cap of $231.2 million, according to CoinMarketCap.

Newsweek asked Yusupov for comment via X, formerly Twitter.

Why It Matters

The immediate enthusiasm shown for the meme coin—characteristically volatile cryptocurrencies without inherent financial utility and inspired by cultural trends or famous personalities—comes amid speculation that Donald Trump’s administration will foster a boom for the wider crypto market.

Trump’s rhetorical support has prompted a recent rally for Bitcoin, the world’s leading cryptocurrency, which has climbed some 48 percent since his victory over former Vice President Kamala Harris in the 2024 Presidential Election.

What To Know

The launch of $VINE follows Elon Musk’s suggestion about the potential return of the app, which was owned by Twitter before being discontinued in early 2017.

“We’re looking into it,” Musk posted to X on Sunday, after one user asked whether the app should be brought back following the ban on the analogous app, TikTok.

Musk had earlier hinted at reviving Vine, conducting a poll on X last April, in which nearly 70 percent voted in favor. In October 2023, only days after purchasing Twitter, anonymous sources informed Axios that Musk had directed the company’s engineers to start working on rebooting the app.

The $VINE token also follows Donald and Melania Trump introducing their own meme coins, sparking ethical and legal objections from those skeptical over a sitting president owning such a volatile and potentially profitable financial asset.

Economic historian and independent cryptocurrency researcher Dr. Garrick Hileman, in response to the launch of Trump’s meme coin, compared such tokens to “musical chairs,” given the initial high-volume trading of these assets.

Despite his past skepticism regarding digital currencies—describing these in 2019 as “highly volatile and based on thin air”—Trump marketed himself on the campaign trail as America’s first “crypto president,” while chastising former president Joe Biden for his heavy-handed regulation of the industry.

In July, Trump told the crowd at Bitcoin Conference 2024 that, during his presidency, regulations covering the space would be “written by people who love your industry.”

Hileman said that the current administration’s “pro-crypto stance” would potentially protect the flagship digital currency “from excessive regulation.”

What People Are Saying

One prominent crypto trader on X, citing Musk’s comments regarding a Vine reboot, wrote: “$VINE will be all over the headlines soon. I think we found the next $1BN meme. Just a matter of time, the narrative is there.”

Vine cofounder Dom Hofman rejected the possibility of launching his own rival token, writing: “I’m not involved and will never be involved with any meme coin.”

Dr. Garrick Hileman Hileman told Newsweek: “I think the financial desperation that many young people, in particular, feel is driving the speculative craze in not just meme coins, but also sports gambling, social media stunts, etc. There is not enough discussion of the underlying root causes of these phenomenon.”

Peter McCormack, host of the “What Bitcoin Did” podcast, expressed to Newsweek his skepticism toward all cryptocurrencies, especially meme coins: “Meme coins, in particular, hold no appeal for me. They are more akin to gambling or a night in Vegas, where the odds overwhelmingly favor losses. I wish those investing in meme coins would instead channel their resources into Bitcoin, which offers a meaningful path to financial sovereignty.”

What Happens Next?

The launch of $VINE was seemingly prompted by Musk’s support for resurrecting the app following the ban on TikTok. However, Trump’s recent decision to pause the enforcement of the ban through an executive order puts both the app’s return, and the continued success of the meme coin, in question.

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