Memecoins Attract Users, but the Real Profits Go to Platforms and Bots

The memecoin frenzy shows no signs of slowing down – and while these tokens often bring new users into the crypto world, the real winners aren’t the small traders. Instead, it’s the launchpads, exchanges, and trading bots that rake in the biggest profits. That’s the conclusion of the latest Galaxy Research report, which breaks down where the money from the memecoin mania actually goes.

Memecoins: A Gateway for Users, a Goldmine for Platforms According to the study, most short-term traders in the memecoin market lose money. On the other hand, infrastructure providers – from launchpads and decentralized exchanges to sophisticated bots – earn millions of dollars by enabling and charging for trading. The biggest winner is Pump.fun, the Solana-based launchpad that has become a symbol of industrialized memecoin creation. Since its launch in early 2024, tokens created on the platform have reached a fully diluted market cap of $4.8 billion. Out of 32 million tokens launched on the Solana network, nearly 13 million came through Pump.fun, marking a staggering 300% surge in less than two years.

Memecoin Holding Time Shrinks to 100 Seconds The report also revealed that the average holding time for Solana memecoins has dropped to just 100 seconds, down from 300 seconds a year ago. This highlights the dominance of bots and scalpers chasing lightning-fast trades instead of long-term investments. Platform Axiom, operating with fewer than 10 employees, generated more than $200 million in fees from memecoin trading. Similarly, tools like BONKbot and Trojan profit by charging users fees for automated sniping of newly launched tokens, pulling in millions in revenue.

Pump.fun Keeps Growing – $500M ICO in Just 12 Minutes The Pump.fun boom is far from over. On July 12, the platform launched its own PUMP token, raising $500 million in just 12 minutes during its ICO, which offered 125 billion tokens. According to DefiLlama, Pump.fun generated $13.48 million in fees between August 11 and 17, its strongest week since February. Meanwhile, trading volumes remain massive – on September 14, Pump.fun surpassed $1 billion in daily volume, up from $942 million the day before. Over the past 30 days, the launchpad has generated roughly $120 million in fees.

Bottom Line While memecoins may look like a “trader’s playground,” the numbers show the real profits flow to launchpads, exchanges, and bots. For retail investors, the reality is often different – short holding times, quick rotations, and frequent losses. Still, memecoins continue to play a key role in onboarding new users into blockchain ecosystems.

#memecoins , #solana , #CryptoMarket , #altcoins , #pumpfun

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