Anyone who has noticed Pepecash flirting with the top 100 on CoinMarketCap is probably wondering how exactly this meme coin rose to such a position. Pepecash, which is named after Pepe the Frog, a popular meme, is currently trading at around 700 satoshi. It currently boasts a market capitalization of over US$75 million.

Pepecash is a CounterParty (XCP) asset, similar to BitCrystals and Databits. Pepecash serves the function of registering Rare Pepes on the XCP asset layer on top of the Bitcoin blockchain. It is also used as the primary currency to buy and sell these pepe assets. There are currently 1,500 Rare Pepes registered on the blockchain through the Pepecash protocol. Registrations happen through regular submission periods. Each period is known as a “series”. So far, there have been thirty series since this asset launched just over a year ago.

While registering memes on the blockchain is a fun novelty, it doesn’t explain the close to nine-figure market cap of Pepecash. One aspect of Pepecash that supports its rising valuation is the deflationary nature of the asset. Before they can be published, Rare Pepes require a Pepecash fee. The Pepecash accrued from these fees are burned, and forever removed from circulation. As a result, over one-third of the initial supply of Pepecash has already been burned, and that number stands to continually increase.

Beyond that, the Japanese crypto market is a major factor behind Pepecash’s strong valuation. Pepecash is one of just a handful of cryptocurrencies whitelisted for exchange in Japan. Much of Pepecash’s volume comes from popular Japanese exchange Zaif, where it is typically traded at higher values than on Zaif’s Western counterpart, Tux Exchange. Coins whitelisted in Japan have typically experienced very strong price support, and Pepecash is no exception. The token has historically maintained a steady BTC value, and has even seen appreciation in its BTC value amidst Bitcoin surges, when most altcoins tend to bleed.

Lastly, some of Pepecash’s market value can be attributed to speculation regarding the upcoming release of Rarepepe.party. Rarepepe.party is a Hearthstone-like trading card game implementing all 1,500 of Pepecash’s Rare Pepes. Community members have been racing to expand their Rare Pepe collections as much as possible in recent weeks, causing a surge in usage of and demand for Pepecash.

Unlike many cryptocurrency projects, Pepecash doesn’t strive to change the world or revolutionize a major industry. However, Pepecash plays a significant role in the culture of Bitcoin and the overarching cryptocurrency community. It’s evident there is a tight-knit group supporting this coin. This community has had a lot of fun with Pepecash up to this point, and they continue to “hodl” in anticipation of much more fun ahead.