Memecoin Investor Murad Says He Lost $81 Million in Unrealized Gains

WHY IT MATTERS

This story illustrates an important concept for anyone new to crypto: the difference between unrealized and realized gains. Unrealized gains are profits that exist only on paper — like owning a house that has gone up in value but you have not sold yet. Until you actually sell, those gains are not locked in and can disappear if the price drops. A 'roundtrip' is when the price goes up and then comes all the way back down, leaving you with nothing extra despite having once been significantly ahead. Memecoins — cryptocurrencies often created around internet jokes or trends — are among the most volatile assets in crypto, meaning their prices can swing dramatically in short periods. This story highlights the risks of holding through extreme price swings without taking any profits along the way.