Crypto traders bet millions on squirrel-themed memecoins as story of a euthanized pet named Peanut becomes an election issue

Traders are betting on various squirrel-themed memecoins on the Solana-based platform Pump.fun following news that New York wildlife officials euthanized a pet named Peanut. 

The squirrel, something of a minor internet fascination before being detained on Oct. 30 and put to death two days later, has become the latest cause célèbre among conservative commentators who describe the incident as a gross misuse of state power. 

Peanuts virality, and subsequent immortalization on the blockchain in the form of memecoins, speak to the strange political environment ahead of the U.S. presidential election on Tuesday. Some believe that memecoins act as a barometer for public interest.

Two of the largest squirrel tokens by market cap, Pnut and Nut In Profit, have over $37 million in bets riding on them — though dozens of tokens have been launched to capitalize on Peanut's legacy and politicization. Nut in Profit (ticker: NIP) was launched just six hours ago before publication time. 

Pump.fun is a platform that enables anyone with access to launch a token. The platform uses a unique bonding curve mechanism that increases token prices as demand increases along a predefined curve, rewarding early buyers. Once a token’s market cap reaches $69,000, it is automatically migrated to the leading Solana decentralized exchange, Raydium.

Former President Donald Trump and his running mate J.D. Vance have both commented on Peanut, using the rodent’s death as a metaphor for the "misguided priorities" of the Democrat party. 

Elon Musk, who has endorsed Trump, has also posted several times about Peanut’s untimely demise. Musk is known in crypto circles for his ability to drive attention towards memecoins, particularly Dogecoin.