Jason Derulo

It turns out that almost all cryptocurrencies that are birthed on Solana memecoin creation tool, pump.fun, never see the light of day.
Dune Analytics <a href="https://dune.com/evelyn233/pump-data" target="_blank" rel="noopener nofollow">data</a> shows the success rate of pump.fun crypto tokens making it onto the Solana-based decentralized finance protocol Raydium is 1.41%, which has fluctuated between this and 1.21% since May.&nbsp;Its all-time high of 2.56% was reached on Feb. 16.
“The ‘graduation rate’ of coins on Pump Fun (those that made it to $69k and got listed on a dex) is stagnant around 1.4%,” Cinneamhain Ventures partner Adam Cochran commented in an Aug. 1 X <a href="https://x.com/adamscochran/status/1819053020761526470" target="_blank" rel="noopener nofollow">post</a>. 
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 <img src="https://s3.cointelegraph.com/uploads/2024-08/5749286e-47c6-4e12-b068-0fa56657794e.png" alt="98.6% of memecoins on pump.fun fail to even launch" title="">
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 The total success rate for pump.fun crypto tokens is 1.41%. Source: Dune Analytics
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Cochran further pointed out that no new coins have “really cracked” the $20 million Fully Dilated Valuation (FDV) level — a measure of a cryptocurrency’s total value if all coins were in circulation.
“This all suggests we’re finally rinsing out the meme cycle,” Cochran claimed.
However, other commentators believe that the success rate doesn’t reflect the overall memecoin market. It just indicates how easy pump.fun makes it to create memecoins.
“Pump fun didn’t ruin memecoins, it just pulled back the curtain on how the sausage is made and made it very easy to make the aforementioned sausage,” pseudonymous crypto commentator Bunjil <a href="https://x.com/bunjil/status/1819148259417641086" target="_blank" rel="noopener nofollow">told</a> their 56,900 X followers.
Related: <a href="https://cointelegraph.com/news/meme-coins-play-important-role-in-crypto">Memecoins have an important role to play in crypto</a>
Although only a few ever launch, the fee revenue from those that do has been significant. It is understood that Pump.fun charges a 1% transaction fee until the token reaches a threshold market cap.
There have been several instances where pump.fun revenue has surpassed Ether (<a href="https://cointelegraph.com/ethereum-price">ETH</a>) over the same period.
On July 29, Pump.fun pulled approximately $864,000 over the 24-hour period, approximately 57% more than <a href="https://cointelegraph.com/news/pump-fun-flips-ethereum-24-hour-revenue-generation">the $550,000 that Ethereum clocked</a> during the same period.
<h3 data-ct-non-breakable="true" id="pump-fun-has-become-a-hit-among-celebrities">Pump.fun has become a hit among celebrities</h3>
The tool has become a trend <a href="https://cointelegraph.com/news/celebrity-crypto-tokens-absolutely-catch-sec-attention-say-lawyers">among celebrities to create and promote memecoins</a> with United States-based figures, including Caitlyn Jenner, Iggy Azalea (real name Amethyst Kelly), Jason Derulo (real name Jason Desrouleaux) and many others, who have launched and promoted crypto tokens using their likeness since May.
The memecoin market’s total capitalization stands at $44.94 billion, having dropped 2.67% in the last 24 hours, <a href="https://coinmarketcap.com/view/memes/" target="_blank" rel="noopener nofollow">according</a> to CoinMarketCap data. However, trading volume is up 27.29% over the same period, clocking $4.48 billion.
Among the top 100 memecoins by market cap, Book of Memes (<a href="https://cointelegraph.com/book-of-meme-price-index">BOME</a>) is the only one with a gain over the last seven days since July 26, increasing by 14.79% and trading at $0.009.
Magazine: <a href="https://cointelegraph.com/magazine/cryptocurrency-electric-capital-avichal-garg/">Coinbase will not mention ‘crypto’ in five years: Avichal Garg, X Hall of Flame</a>
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

98.6% of memecoins on pump.fun fail to even launch

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Cointelegraph

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