A new analysis from Galaxy Research indicates that while meme-based digital currencies attract new participants to blockchain technology, the primary financial beneficiaries are the platforms facilitating their creation and exchange.
The research, released on October 1, revealed that most individual traders of these tokens experience financial losses, often approaching the activity as a form of rapid speculation.
See the study here.
Conversely, the services supporting these transactions, encompassing token creation tools, decentralized exchanges (DEXs), and automated trading systems, accumulate substantial revenue by processing the transactional volume.
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Consider Pump.fun, a platform operating on the Solana
Since its inception in early 2024, tokens initiated on this platform have attained a collective valuation of approximately $4.8 billion. Of the roughly 32 million tokens in existence on Solana, almost 13 million originated from Pump.fun, marking a nearly 300% surge in under two years.
Galaxy Research highlighted the platform’s role in streamlining and democratizing the process of token creation on Solana.
The report further noted a reduction in the holding periods for meme coins. The average holding time for Solana-based meme coins has decreased to just 100 seconds, down from 300 seconds in 2024.
The research also pointed to platforms like Axiom, which has generated over $200 million in fees with a relatively small team. Galaxy observed that Axiom earns these revenues by implementing fees on high-frequency meme coin transactions.
Tools such as BONKbot and Trojan similarly profit by enabling users to automatically execute token purchases upon launch.
Meanwhile, California’s Governor, Gavin Newsom, is also trying his hand by making a meme coin called the “Trump Corruption Coin”. Want to know what he said?
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