Avalanche Foundation, the non-profit organization behind the Avalanche ecosystem, has launched the first phase of a $1 million liquidity mining incentive program dubbed Meme Coin Rush.

According to an announcement seen by CryptoPotato, the first phase has been kicked off with participation from liquidity management and decentralized market-making platform SteakHut and decentralized exchange Trader Joe.

Avalanche Begins Memecoin Rush

Meme Coin Rush was created to help scale liquidity and drive momentum for the community coin ecosystem on Avalanche. Community coins refer to meme coins, non-fungible tokens (NFTs), and similar cryptocurrencies designed by community members for cultural expression and interaction.

The program is a continuation of Avalanche Rush, an ongoing liquidity mining initiative that has helped boost Avalanche’s decentralized finance (DeFi) sector since 2021. Together, the two programs represent the Foundation’s commitment to creating a more accessible, decentralized, and cost-effective ecosystem.

In this first phase, the Foundation will provide $1 million AVAX as incentives and select community coins to liquidity providers on SteakHut and Trader Joe. These platforms are tasked with adding liquidity strategies for the chosen assets. Avalanche will unveil additional participants in the coming weeks.

“Meme coins have become a cornerstone of Web3, representing the uniqueness and interests of diverse crypto communities. Meme Coin Rush will be a showcase for users to see the diversity of Avalanche-native DeFi protocols and to dive into vibrant communities at the forefront of culture on Avalanche,” commented Eric Kang, BD Manager at Ava Labs.

Avalanche Acquires Community Coins

For SteakHut, liquidity providers will receive their Uniswap V3 liquidity mining program ​​rewards in several community coins, including Coq, NoChill, Tech, and Kimbo.

On the other hand, Trader Joe will release incentives with single-sided, time-locked staking vaults for select tokens based on holder and market cap criteria. Participants can earn points for staking into pools. At the end of each epoch, rewards will be distributed in AVAX and community coins like Coq, Kimbo, Husky, and Meow.

The launch of Meme Coin Rush’s first phase comes shortly after the Avalanche Foundation announced its acquisition of community coins following the introduction of an eligibility framework for supported tokens. The initiative allocates a significant portion of its $100 million NFT incubator fund to purchase the tokens.

Some criteria the meme coins must meet include positive social sentiment, substantial holders, liquidity, and project maturity.