Over 1 million new tokens were created in the cryptocurrency market in just 30 days. This explosive growth highlights the rapid development and growing interest in digital assets.
Ethereum (ETH) has seen 372,642 new tokens issued since April 1, with 88% of them on Base, Coinbase's layer 2 blockchain. Meanwhile, Solana (SOL) witnessed a massive influx of new tokens, driven by the popularity of meme coins. This unprecedented activity highlights the dynamic evolution of the cryptocurrency industry.
conor groganA Coinbase director highlighted in a post on X (formerly Twitter) that this number is twice the number of tokens created on Ethereum between 2015 and 2023.
The total value locked (TVL) of the base has surged approximately 630% since the beginning of 2024, driven primarily by meme coin mania.
Solana, on the other hand, witnessed the creation of 643,227 new tokens within the same period, of which a staggering 466,914 were meme coins. This translates to over 20,000 new Solana tokens being created every day.
According to data from step finance and dune analysis Dashboard to track Solana-based meme coins pump.funthe popularity of meme coins on Solana is clear.
According to a report by CoinGecko as of early April, more than 540,000 new crypto tokens have been created in 2024, with an average of 5,300 new tokens launched every day this year.
Given that this already accounts for more than half of the 830,000 new tokens launched last year, the number of new on-chain tokens is on track to surpass that of 2023 in 2024.
It remains to be seen whether the absolute number of new tokens issued will continue to increase gradually year over year or exponentially, especially as the crypto industry looks to bring more real-world assets on-chain. I don't understand.
Using a platform like pump fan Future memecoin seasons may see an even greater proliferation of new tokens as token launches become easier and on-chain transactions become more affordable.
Industry reactions and concerns
The cryptocurrency community has had mixed reactions to this boom. On the other hand, meme coins have become a trend and are attracting a lot of market attention.
On the other hand, critics claim The proliferation of meme coins has led to an increase in scams and rug-pulling.
They believe that when funds are diverted to these speculative tokens, it prevents investment in more legitimate projects.
Additionally, the rise of sniper bots that quickly acquire new meme coins in hopes of making quick profits is also a concern, contributing to the perception that meme coins are a volatile market segment.
Despite these concerns, the creation of nearly 1 million new tokens in just one month is an important milestone. While the popularity of meme coins has fueled important activities, it has also raised important questions about the sustainability and security of these new digital assets.
As the market continues to evolve, stakeholders must navigate these complexities to ensure the long-term success of the cryptocurrency ecosystem.
Disclaimer: Content on this site should not be considered investment advice. Investments are speculative. When you invest, your capital is at risk.
