Meme coins $rave $myx $coai Might be more like an algorithm for event contracts rather than perpetual contracts.

Event contracts and perpetuals are both extensions of synthetic positions.
Essentially, both assume that the underlying/thing is beyond the control of the participants—then bet on the outcome/conditions of that event, engaging in a game.
Why have synthetic positions? Because only then can they carry betting amounts that exceed the value of the underlying.
For example, in cockfighting, how much is a single chicken worth? But the bet on two chickens fighting can be many times the value of those two chickens.
And the amount wagered on an event contract does not influence the actual outcome of the underlying (unless you’re talking about assassinations, fixed matches, etc.)—there’s no scenario where betting 10 billion on Jesus resurrecting today makes Jesus really resurrect just because the bet value is large enough.
Perpetual contracts go a step further because the outcome of the bet feeds back into the underlying (through arbitrage/convergence), stacking the game.
But in these highly controlled Meme coins, it’s more like an insider version of an event contract (more like gambling on a website with set probabilities), because the result of the contract game does not feed back into the underlying.
In this case, the contract is an experiment of a prediction market presented as a mark-to-market price (since the spot price is no longer meaningful). 🤣
So the question isn’t whether the price of 20 is high or low, but whether the implied volatility of this price is worth your entry?