According to a new report from Galaxy Research, MemeCoins could attract new users to the blockchain, but profits are primarily flowing to platforms that launch and trade tokens.
A survey released Wednesday revealed that most traders are losing money in the short-term gambling market, but infrastructure providers such as launchpad, decentralized exchanges and trading bots will earn millions of revenue by promoting memocoin trading.
Solana’s Pump.Fun is MemeCoin Launchpad, which debuted in early 2024, and according to the report, tokens on the platform are summing up their fully diluted market value to earn tokens on the platform.
Galaxy added that of Solana’s 32 million tokens, roughly 13 million people through Pump.Fun, has increased nearly 300% within two years. “This platform involves creating simple industrialized tokens in Solana,” says Galaxy Research.
The report also shows that the median hold time for Solana Memecoins collapsed from 300 seconds in the previous year to around 100 seconds, highlighting the control of bots and mezzes in Memecoin trading.
One trading platform, Axiom, has generated more than $200 million in fees with less than 10 employees thanks to MemeCoin’s activities. “Axiom (…) has expanded to millions of people in monthly income by collecting fees from Memecoin traders.” Other tools like Bonkbot and Trojan earn money by charging users to automatically snipe new tokens at launch.
Related: Kathy Wood: hyperliquid ‘It reminds me of Solana before.”
Pump.Fun continues to run
While MemeCoins offers little utility beyond cultural values, platforms like Pump.Fun continue to grow.
On July 12th, the platform launched its own token, Pump, selling it raised $500 million in less than 12 minutes. The first coin product (ICO) provided 125 billion tokens.
Defillama data showed that between August 11 and August 17, Pump.Fun generated $13.48 million in revenue, marking its strongest week since February.
Cointelegraph reported that Pump.Fun processed more than $1 billion in trading volume on September 14, reaching $1.02 billion after hitting $942 million the previous day.
Over the past 30 days, Defillama metrics show that Memecoin Launchpad has generated approximately $120 million in fees.
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