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- New token listings on memecoin platform Pump.fun have dropped by over 80%
- Most of the tokens don’t complete the bonding curve to be listed on a DEX
- Activities on the platform have also generally declined
Activities on Solana-based memecoin platform Pump.fun have greatly declined with new token listings dropping by over 80%. According to data from Dune Analytics, tokens aren’t attracting enough initial liquidity to complete the bonding curve and enter the public trading phase on Solana’s top DEX Raydium. The number of new listings on the platform started plummeting towards the end of January, indicating that the memecoin hype may be over.
New Tokens Drop From 1,175 to 98
According to Dune, 1,175 tokens had successfully completed the bonding curve and entered active trading on January 24. The tokens dropped to 862 on the following day before rising to 1,161 on January 30.
On February 26, the number dropped to 215 and stood at 98 on February 27. Apart from the number of tokens that have finished the bonding curve declining, the amount of fees generated on the platform has also been on a free fall since January 24.
On January 24, for example, activities on Pump.fun generated $15.5 million in fees compared to the $1.07 million recorded on February 26. Pump.fun’s misfortunes in February partly emanated from scandals plaguing the Solana memecoin ecosystem.
There’s been news of insider trading activities on newly-created memecoins like the LIBRA token that’s allegedly endorsed by Argentine president Javier Milei. TRUMP memecoin holders have also reportedly lost roughly $2 billion since January.
Pump.fun Also Contributed to the Fall
Pump.fun has also had its share of shortcomings. In November last year, for example, the platform had to deactivate its livestreaming feature after community backlash.
The community argued that memecoin creators are using the feature to conduct dangerous stunts to attract investors.
With activities on Pump.fun declining, it’s likely that the memecoin industry will experience a slump in the foreseeable future.
