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Meme Coin Mania sees the launch of over 138 tokens in April
Meme coins remain a hot crypto narrative during the second quarter of this year, following shocking runs for popular tokens like Dogwifhat in the first quarter.
Blockchain researcher Crypto Koryo noticed CoinMarketCap captured over 138 new memecoins launched under the ERC-20 standard last month.
Although the number has grown more than seven times since April last year, CoinMarketCap lists only a fraction of the tokens distributed. In other words, the number of new memecoins entering the market in the previous 30 days was likely much higher.
Speculation on meme coins is powered by advanced tools
Launching a meme coin, or any cryptocurrency, two years ago was more complex and required technical skills that few had. However, emerging blockchain solutions and tools have made this possible in just a few clicks, encouraging more creators to foray into the market.
New token standards have lowered the barrier to entry, with developers putting out wrappers like the Rune protocol on Bitcoin (Bitcoin) and enrollment types such as SRC-20, DRC-20, and ASC-20 on EVM chains. The introduction of new standards and optimized on-chain transactions has also redirected the liquidity of giants like Ethereum (ET) to competitors like Solana (SOL).
Crypto Koryo, citing data from CoinMarketCap, highlighted Solana as the current hub of meme tokens, effectively dominating the space since last year. Three years ago, users had to speculate almost exclusively on ETH-based projects like Dogecoin (DOGE), Floki Inu (FLOKI) and Shiba Inu (SHIB) to find ample liquidity.
Memecoin on blockchain | Source: Crypto Koryo, CoinMarketCap
Meme coin oversaturation fears
The ability to attract new users and capital into a broader spectrum of meme games has certainly increased, but the new paradigm has its own unique weaknesses despite easier access.
Better tools and improved decentralized networks have led to an oversaturated memecoin market. Crypto Koryo noted on X that most of these tokens will go to zero, making it difficult for traders to seek rewards.
“This isn’t just a bull market thing. The number of memecoins is simply too high now and continues to increase at a rapid pace. Also in terms of strategies, if you follow the fully on-chain approach and try to be early, RR is great when it works but the win rate is low. In contrast, if you follow the social approach by waiting for it to take over CT, the win rate would be higher but you will lose most of the RR.
Crypto Koryo, blockchain researcher