98.6% of memecoins on pump.fun didn’t even launch
All cryptocurrencies born on Solana's memecoin creation tool, pump.fun, will never see the light of day.
According to data from Dune Analytics, the success rate of pump.fun crypto tokens for Solana-based decentralized financial protocol Radium is 1.41%, which has fluctuated between this and 1.21% since May. The all-time high of 2.56% was reached on February 16.
Adam Kochan of Cinemahain Ventures wrote in an August 1 X post, “The ‘graduation rate' of coins on PumpFun (those that have reached $69k and are listed on Dex) stands at around 1.4%.
Cochrane noted that none of the new coins have “definitely cracked” the $20 million fully diluted value (FDV) level — a measure of a cryptocurrency's total value if all coins were in circulation.
“All this suggests is that we're finally breaking the meme cycle,” Cochrane said.
However, other analysts believe that the success rate does not reflect the overall memecoin market. It just points out how easy pump.fun makes it to generate memecoins.
“Pump relaxation didn't ruin memecoins, it pulled back the curtain on how the sausage was made and made the aforementioned sausage much easier to make,” fake crypto analyst Bunjil told his 56,900 X followers.
Related: Memecoins have an important role to play in crypto.
Although only a few started, the fee income from those who did was high. It is understood that Pump.fun will charge a 1% transaction fee until the token reaches its maximum market value.
At the same time, there have been several instances where Pump.fun's earnings have exceeded Ether (ETH).
In the year On July 29, Pump.fun raised nearly $864,000 in a 24-hour period, roughly 57% more than Ethereum's $550,000 during the same period.
Pump.fun has become popular among celebrities.
The tool has become a trend among celebrities to create and promote memecoins with images based in the United States, including Caitlyn Jenner, Iggy Azalea (real name Amethyst Kelly), Jason Derulo (real name Jason Desrouilleau) and many others. crypto tokens using their image since May.
According to CoinMarketCap data, the total capitalization of the memecoin market reached $44.94 billion, down 2.67% in the last 24 hours. However, the transaction volume increased by 27.29% in the same period, which reached 4.48 billion dollars.
Book of Memes (BOME) is the only gainer among the top 100 memecoins, increasing by 14.79% and trading at $0.009 in the seven days since July 26.
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This article does not contain investment advice or recommendations. Every investment and business activity involves risk, and readers should do their own research when making a decision.
