-
Only 68 tokens were graduated today compared to 215 yesterday
-
Daily launches dropped over 51% during the past two weeks
-
The graduation rate has dropped to its lowest level since May 2024
Whale Insider’s data shows that the number of tokens graduating the cryptocurrency launchpad, Pump.fun has dropped dramatically. Only 68 tokens graduated today compared to the 215 tokens that graduated the day before.
This latest report shows a decline in token launches and graduations at Pump.fun. Daily launches have dropped by 51% over the past two weeks. From approximately 54k launches on February 11, to roughly 26k launches on February 25, this is a significant drop.
The graduation rate has also fallen to its lowest level since May 2024. Less than 1% tokens launched on 25 February have graduated.
Revenue and user activity could suffer
The drop in graduations may have a negative impact on Pump.fun’s revenue and overall activity.
If fewer token launches are successful, this may lead to a decrease in user engagement and transaction volume. This could force the platform to change their strategies or add new features in order to boost participation.
It’s difficult to say why this is happening. However, the reduced graduation rate could reflect a cautious investor approach in light of current market conditions. This trend is likely due to factors such as increased market volatility, regulatory uncertainty, or a change in investment focus.
Pump.fun – Instant Token Launchpad explained
Pump.fun, launched in January last year, is a cryptocurrency launchpad that allows users to create tokens and trade them immediately. Pump.fun tokens follow a discrete bonding curvature pricing model where prices increase when market cap milestones are reached.
To graduate, a token must reach a certain market cap (roughly, 86 SOL), which signifies sufficient investor interest and liquidity. It is then listed on decentralized exchanges such as Raydium. Graduation can lead to increased exposure for the token and increased trading activity.
Too Many Tokens, or LIBRA Fiasco?
Some users attribute this decline to a surplus of tokens. Pump.fun, since its launch, has created nearly 8 million tokens. Some of these tokens were inadequate from the start.
The slump is also likely due to the LIBRA token fiasco and its subsequent collapse. This incident has made users and investors more cautious, which has contributed to less activity on platforms such as Pump.fun.
Whatever the reason, we will need to see if Pump.fun can overcome its current problems.
This site is for entertainment only. Click here to read more
