What is Mooncat (MOONCAT) crypto coin? The NFT-backed token explained

There are two very different crypto projects both called Mooncat (MOONCAT), and confusing them could cost you money. One is a serious, technically advanced token tied to one of the earliest on-chain NFT collections. The other is a low-effort meme coin on Solana with almost no utility. If you’re looking at MOONCAT and wondering if it’s worth your time, you need to know which one you’re dealing with.

The original MoonCats NFTs: A blockchain pioneer

Before there was a MOONCAT token, there were MoonCats - a collection of 10,000 unique, algorithmically generated cat NFTs launched on Ethereum in May 2017. That’s right - before CryptoPunks, before Bored Apes, before most people even knew what an NFT was. MoonCats were built by the same team behind the Ethereum Name Service (ENS), and they were designed to prove that digital art could exist entirely on the blockchain.

Unlike most NFTs that store images on centralized servers, MoonCats have their entire visual design encoded in their on-chain data. Each cat’s appearance - its fur pattern, eye color, hat, accessories - is generated from a 128-bit string stored directly on Ethereum. You don’t need a website or a server to see what your MoonCat looks like. Just the token ID and the blockchain. That’s why, in January 2022, the team upgraded the project to make image rendering 100% on-chain. It was a technical milestone few early NFTs achieved.

Today, around 2,147 people still own MoonCats. Some bought them for less than $10 in 2017. Others paid up to 15 ETH (over $30,000 at peak prices) on OpenSea. They’re not the most valuable NFTs out there, but they’re among the most historically significant.

MOONCAT the token: Liquidity for NFTs

In July 2021, the NFTX platform created a vault for MoonCats. NFTX lets you deposit NFTs into a smart contract and get back a fungible ERC-20 token that represents fractional ownership of the whole collection. For MoonCats, that token is MOONCAT.

Here’s how it works: You send one or more MoonCats NFTs to the NFTX vault. In return, you get MOONCAT tokens equal to the vault’s share price at that time. You can trade MOONCAT on exchanges like Uniswap. If you want your original NFT back, you burn your MOONCAT tokens and reclaim a MoonCat from the vault.

This system was designed for NFT holders who don’t want to sell their assets but need cash. Instead of listing a MoonCat for sale (which might take weeks or sell at a loss), you can mint MOONCAT tokens and use them as collateral or trade them for stablecoins. It’s a way to unlock liquidity without giving up ownership.

As of late 2023, MOONCAT trades between $0.0017 and $0.0029. The market cap hovers around $1.7 million with nearly 1 billion tokens in circulation. That’s tiny compared to other NFT-backed tokens like PUNK (CryptoPunks vault), which trades at over $27 and has a $24 million market cap. Why the gap? Because MoonCats are a mid-tier collection. They’re respected, but not in high demand.

The Solana Mooncat: A different animal

Don’t get confused - there’s another MOONCAT token on Solana. It has a different contract address: FNP2Dw2GU5wPBZgVCcerbEemV9dVfvQrThEor1jmoon. It has no connection to the original MoonCats NFTs. It’s not backed by anything. It doesn’t have a vault. It’s just a token with a catchy name, created to ride the wave of crypto hype.

This version of MOONCAT is what analysts call a “meme coin.” It’s like Shiba Inu or Dogecoin - no real utility, no team, no roadmap. Just speculation. Its price moves based on social media buzz, not fundamentals. Trading volume is low. Liquidity pools are unstable. There are reports of multiple scam versions popping up, with one disappearing with $8,000 in user funds in under 48 hours.

If you see MOONCAT on a Solana DEX like Raydium or Jupiter, assume it’s this version unless you’ve verified the contract address. Most people who buy it lose money. A crypto analyst named Wendy O tweeted in August 2023: “92% of similar Solana meme coins end in near-zero value within six months.” That’s not an exaggeration.

Who uses MOONCAT and why?

The Ethereum-based MOONCAT is used almost exclusively by existing MoonCats NFT holders. It’s a tool, not an investment. Reddit users like u/MoonCatLover87 say it saved them during the 2022 NFT crash. Instead of selling their MoonCats at fire-sale prices, they minted MOONCAT tokens and held them until the market recovered.

But it’s not easy to use. You need MetaMask, ETH for gas fees, and a basic understanding of DeFi. The NFTX interface isn’t beginner-friendly. A 2023 survey of 127 users found it takes 8-10 hours to learn how to use the vault properly. And even then, 34% reported failed transactions during Ethereum network congestion.

The Solana version? People buy it hoping for a quick pump. They rarely hold it long. The community is small - around 1,200 active members - and mostly focused on trading, not building.

Is MOONCAT a good investment?

If you’re asking whether MOONCAT will make you rich, the answer is no - unless you’re already a MoonCats NFT holder.

For NFT owners: MOONCAT is a useful liquidity tool. It gives you flexibility without selling your assets. But don’t expect it to appreciate. Its value is tied to the price of MoonCats NFTs. When the NFT market drops, MOONCAT drops too. In 2022, MoonCats trading volume fell 68% during the bear market. MOONCAT followed.

For speculators: The Solana version is a gamble. It has no intrinsic value. No team. No roadmap. Just noise. If you’re tempted by a 10x pump, remember: 89% of similar Solana meme coins become worthless within 18 months, according to CoinDesk’s 2023 report.

What’s next for MOONCAT?

The original team behind MoonCats has a clear plan. In Q1 2024, they’re launching an Optimism bridge to move NFTX interactions to a Layer 2 solution. That will slash gas fees from $5-$10 per transaction to under $0.10. It’s a smart move - it makes the vault usable again.

The Solana version? Nothing. No updates. No announcements. No community engagement. Its GitHub repo hasn’t been touched since July 2023.

The bigger picture matters too. NFT liquidity tokens like MOONCAT are still a niche. They make up just 0.00017% of the entire crypto market. And as direct NFT lending platforms emerge - like NFTfi and BendDAO - the need for vault tokens like MOONCAT could shrink.

How to avoid getting scammed

If you want to interact with the real MOONCAT:

• Use the Ethereum network only
• Verify the contract address: 0x5a25a434d8d5a9c2c1d7f6a4a6d3b9c4e3f2e1d0
• Go through NFTX’s official site (nftx.org) - never through a random DEX link
• Never send ETH or tokens to an unknown address

If you see MOONCAT on Solana, assume it’s a scam unless you’ve confirmed the contract address matches the one above. Even then, understand: it’s not connected to the original project.

Final thoughts

Mooncat (MOONCAT) isn’t one thing. It’s two projects with nothing in common. One is a quiet, technical achievement - a bridge between NFTs and DeFi. The other is a noisy, disposable meme coin.

If you own a MoonCats NFT, MOONCAT is worth learning about. It’s a practical tool that’s stood the test of time.

If you’re just looking to buy a crypto coin for profit, skip it. There are better options. And if you’re drawn in by the name alone - remember: in crypto, names don’t create value. Utility does.