The cryptocurrency market has seen the creation of over one million new tokens in just 30 days. This explosive growth highlights the rapid development and increasing interest in digital assets.
Ethereum (ETH) has seen 372,642 new tokens since April 1st, with 88% on Coinbase’s layer-2 blockchain, Base. Meanwhile, Solana (SOL) has witnessed a significant influx of new tokens, driven by the popularity of memecoins. This unprecedented activity underscores the dynamic evolution of the crypto landscape.
Conor Grogan, Coinbase Director, highlighted in an X (formerly Twitter) post that this number is double the number of tokens created on Ethereum between 2015 and 2023.
The Total Value Locked (TVL) on Base has surged by around 630% since early 2024, driven primarily by the memecoin mania.
Meanwhile, Solana has witnessed the creation of 643,227 new tokens within the same period, with a staggering 466,914 being memecoins. This translates to over 20,000 new Solana tokens being created every day.
New SPL tokens. Source: StepFinance
According to data from Step Finance and a Dune Analytics dashboard tracking Solana-based memecoins on pump.fun, the popularity of memecoins on Solana is evident.
As per the report by CoinGecko , over 0.54 million new crypto tokens have been created in 2024 as of early April, averaging 5,300 new tokens launched daily this year.
Number of tokens created quarterly on DEXs. Source: coingecko.com/research
Given that this is already more than half of the 0.83 million new tokens launched last year, 2024 is on track to surpass 2023 in the number of new tokens onchain.
It remains to be seen whether the absolute number of new tokens launched will continue to increase gradually or exponentially year-over-year, especially as the crypto industry seeks to bring more real-world assets onchain.
With platforms like Pump.fun making it easier to launch tokens and onchain trading becoming more affordable, future memecoin seasons may lead to even greater spikes in new tokens.
Industry reactions and concerns
The crypto community has had mixed reactions to this boom. On the one hand, memecoins have become a trend, capturing significant market attention.
On the other hand, critics argue that the proliferation of memecoins leads to increased scams and rug pulls.
They believe that the diversion of funds to these speculative tokens hampers investments in more legitimate projects.
Additionally, the rise of sniper bots, which quickly acquire new memecoins hoping for rapid profits, has been a concern, contributing to the perception of memecoins as a volatile market segment.
Despite these concerns, the creation of nearly one million new tokens in just a month is a significant milestone. While the popularity of memecoins drives significant activity, it also raises important questions about the sustainability and security of these new digital assets.
As the market continues to evolve, stakeholders will need to navigate these complexities to ensure the long-term success of the cryptocurrency ecosystem.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
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