Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesCopyBotsEarn
Solana Dominates Token Launches with 87% Market Share

Solana Dominates Token Launches with 87% Market Share

DailycoinDailycoin2024/10/09 02:57
By:Dailycoin
  • Solana leads in token creation.
  • Memecoins drive much of Solana’s token. 
  • The base chain holds second place.

Solana has recently seen an explosion of memecoin creation on the chain. Thanks to platforms that make token launches easier than ever, developers, influencers, and even celebrities jumped on the trend. 

Sponsored

Recent data shows just how significant this trend was. Solana dominated new token launches, outpacing all other chains by a large margin. 

Memecoins Drive Solana’s Token Launches

New data shows that Solana accounted for 87% of new token launches since September. Specifically, out of 110,180 launched across all blockchains, 96,010 tokens were Solana-based. 

Wow, Solana has absolutely dominated token launches in 2024, accounting for over 87% of new tokens

No doubt a lot of this can be attributed to the huge number of memecoin launches

Incredible rise in monthly token launches just since the beginning of this year, though (up from… pic.twitter.com/fhO466csuu

— Maximus (@maximusham1lton) October 8, 2024

Several reasons exist for this dominance. One is Solana’s scalable infrastructure, which enables fast transactions and low fees. The low fees also translate into the low cost of creating token smart contracts.

Particularly, Pump.fun leveraged these low fees to streamline token creation on Solana. The platform enabled launching a new token in just a few clicks, bringing thousands of new developers to the space. This has a major impact on memecoins, with thousands of new memecoins launched daily. However, this overwhelming volume also led to concerns. 

Solana Memecoins Face Criticism

The explosion of memecoins contributed to a significant uptick in volume on the Solana Network . However, many of these projects faced criticism due to their lack of utility. Others were pump-and-dump schemes, which caused major losses to investors.

For instance, in June 2024, 30 celebrities launched memecoins. These include Andrew Tate’s DADDY, Caitlyn Jenner’s JENNER, and Iggy Azalea’s MOTHER. Just one month later, all of them were down. The average price drop across these tokens was a staggering 94%.  

One of the major reasons behind this low performance is just how easy it is to launch these tokens. The ease of launch attracts inexperienced teams and even outright scammers. 

On the Flipside

  • Despite the launch of a Pump.fun competitor on Tron, the chain did not show up among the top platforms by new token launches. 
  • As the memecoin market is slowing down, Solana is facing declining volumes . This is becoming a potential risk for its price performance and network stability. 

Why This Matters

Solana’s dominance in token launches showcases its robust technology and DeFi ecosystem. However, it also unveils the risks associated with memecoin trading. 

Read more about Solana memecoins: 
Solana-Based Memecoin Religion In Turmoil Amid Rug Pull Accusations

Read more about Solana’s recent performance: 
Solana Challenges Ethereum With Q3 Growth But Faces New Competitor

0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Locked for new tokens.
APR up to 10%. Always on, always get airdrop.
Lock now!

You may also like